Soho China CEO Zhang Xin is confident that the listed Chinese developers will ride out the current difficulties. She describes the difficulties as temporary and to a large extent caused by government policies as the Beijing government tries to control inflation.
Meanwhile, the lack of readily available credit is actually causing opportunities for a cash-rich commercial real estate developer like Soho China.
The company focuses on prime locations—particularly the city’s central business district.
Zhang Xin said the company will be changing its strategy to sell virtually all of its property projects and gradually increase the portion of investment properties on its books.
She said, ‘In five years, we plan to hold about 1 million square metres of commercial space in central Beijing, which will represent 70% of our net asset value.’
Much more on this HERE.