Housing Disaster Areas

The article below lists some areas of concern for developers Vanke, Shimao, Hengda and Greentown, mainly due to properties in areas such as Hangzhou that have seen heavy discounting.

楼市重灾区房企调查 万科降价加剧市场震动

Lower prices, housing prices as a hanging sword of Damocles over the head of a threat this year's sales performance.

First quarter, Hangzhou multiple cities, Changzhou, Wuxi, Shijiazhuang, Tangshan, Qinhuangdao and other price information continued to spread, the behavior of individual cities and even promotional items interpreted as a price Running. We tried through Vanke [ Introduction News ], Shimao [ Introduction News ], Hengda [ Introduction News ], Greentown, several ward rate in urban projects above the distribution price statistics, intuitive feel "price" for Housing Enterprise Performance impact. Currently only a quarter, for example, when there is a more profound impact upon semi-annual report of the outcome.

Vanke

Against the industry leader in this title, Vanke's "price behavior" can easily lead to or exacerbate market shock, and thus will be accused of the owners of the real estate industry and the thousands of "irresponsible." But look more ferocious Vanke cut prices on several projects layout of the city, you will understand the "price to go first" in terms of how urgent for China Vanke. Previously exposed the Mao Daqing internal speech in an article has revealed that an average of 21 months Vanke as a risk cordon, but now includes a number of cities, Wuxi, Ningbo, Hangzhou, Shanghai, Tangshan and other stock has far exceeded this alert line.

Disaster warning: Vanke project currently has 15 in Hangzhou, where in 2013 four new projects: Xiaoshan project, Vanke everyone Qiantang House [ News Price apartment Comments Total], Qianjiang New City, Liangzhu Town, Vanke attributable GFA 285,000 square meters; Suzhou of eight projects, including VC town of 2013 new projects, Vanke attributable GFA of 212,000 square meters; Tangshan five projects in 2013 added a new milestone, Golden Mile Island A- 04 plots the two projects, Vanke equity building area 163,000 square meters; Wuxi four projects, two projects in Qinhuangdao, China Vanke City project last year, added in Changzhou (235,000 square meters).

Disaster situation: a quarter of total sales area of ​​4,150,000 square meters, the amount of sales 54.23 billion yuan, an increase of 11.7% and 24.2%, respectively, the average selling price fell slightly. Among them, the Guangzhou-Shenzhen area, Shanghai area, Beijing region, Chengdu regional contribution to results accounting for respectively 27.6%, 24.5%, 23%, 13.8%. Thanks to last year's sales potential, Vanke first quarter results are not significantly affected by the market, but year on year growth area and the amount of monthly sales point of view, Vanke data before April show a gradual downward trend, especially in April year growth rate down to single digits, the subsequent performance remains to be seen.

Shimao Property

In this price cut wave, the Shimao Hangzhou West Lake Project, "a play of fame." The fortune of the Shanghai company from Fujian, fluctuations in the price cuts, just from the data analysis, several indicators of a serious decline. However, the layout of the 39 cities veteran housing prices, and did not take countermeasures. Perhaps some of the city's projects, you can also let it be filled for some time.

Disaster warning: in Hangzhou, Wuxi and Changzhou in the three major cities built in the sale of a total of seven projects with a total construction area of ​​3.945 million square meters, while Shimao total reserves of 11 million square meters of land. Hangzhou, which has five hardest hit, with a total area of ​​2,103,000 square meters.

Hangzhou: WTO Jiang Project: The total construction area of ​​250,000 square meters, last March, to go Sunac Group a 49% stake; WTO Ushida items: 1.03 million square meters; WTO West Lake: 470,000 m2; Shimao Riverside Garden: 196,000 m2; Qiantang Royal View: 157,000 square meters. Wuxi Shimao Capital: 482,000 square meters. Changzhou WTO champagne Lake: 1.36 million square meters

Disaster situations: a quarter of sales area decreased by 17% year on year, sales rose only 0.1 percent, the cash inflows fell 12%. According to a quarterly report, Shimao Property sales contracted value 4.03 billion yuan, representing an increase of 0.1% year on year; achieved contracted sales area of ​​281,000 square meters, down 17%; operating cash inflow of only 1.69 billion yuan, down 12% accounted for only 42% of the current contract amount; weighted average return on net assets decreased from 0.66 to 1.68 percent.

Among them, the sales mainly from sales of lions, Jinan, Suzhou, Qingdao, Nanjing and other parts of the project. According to the reporter, the lions as Shimao chairman Hui Wing Mau 's home, from the beginning of last year launched a three million in the market. In mid-last year, has sold about 6.0 billion. It seems that, in the case of other cities bad, but also expect the lions this market.

Coping strategies: For the price cuts, Shimao did not change in strategy too. Its insistence on or before the "sales quotas" and diversification strategy. The so-called "market ability" is ready to adjust production according to sales.

The diversification is that "cloud services" concept, that is, to a joint educational resources, health maintenance, high-end hotels in many fields, custom designed, consumer and leisure companies, joint excavation has Shimao clients. Although the concept and it did not realized, but the idea is fairly clear.

Evergrande (Hengda):

For a wide net of housing prices, the price may not be part of the city's great fluctuations on overall sales. However, Evergrande may vary so. The situation can now Hengda "front wolf tiger" to describe: the rear is the excess tier cities, in front of a second-tier cities the price cut wave. To accelerate the transformation of Hengda, can survive it, but also to market the final say.

Disaster warning: the price in five cities of Changzhou, Hangzhou and other construction (in the sale) A total of 12 projects, these projects include several major product lines Hengda, including Evergrande City Evergrande Oasis, Royal Bay of construction an area of ​​1.9 million square meters. Proportion of the total construction area of ​​4.8%.

Changzhou: Emerald Terrace 161,000 square meters; Hangzhou: Hengda Bayview 246,000 m2; Wuxi: Hengda oasis Hengda City, Evergrande Royal Scenic 727,000 square meters; Shijiazhuang : Evergrande City, Hengda Nga, Evergrande Oasis, Hengda, Royal Peninsula, Splendor 394,000 square meters; Qinhuangdao: 372,000 m2 Evergrande City

Disaster situations: a quarter of sales, sales area and average price increase downward trend. According to a quarterly report, Evergrande contract sales amount to approximately 30.51 billion yuan, the contract sales area of ​​approximately 4.34 million square meters during the period, the average selling price 7029 yuan per square meter, an increase of 72.2% compared to the same period in 2013, 52.9% and 12.6%.

Hengda increase in recent years in these three indicators are gradually reduced. Hengda first four months according to the situation, which, respectively, an increase of 77.7% three, 61.6% and 10.0%. Hengda the same period in 2010, an increase of 150.8% of these three, 85.2%, 35.5%.

Coping strategies: From the second half of 2013, Evergrande accelerate the layout of a second-tier cities. Especially this year in April at any cost, a cost of 4.16 billion yuan to get huangcun plots are hoping to ease the three-tier cities trap.

But now, the price cut wave in Hangzhou, Shijiazhuang and other second-tier cities, making Hengda distress "worse."

In any case, a second-tier Hengda transformation strategy is correct. But whether out of problems, but also the market have the final say.

Attachment: Hengda get to the situation this year.

January 30, Hengda 15.7 billion won in Taiyuan Jiancaoping District 5 plots of 502 acres.

April 23, Hengda to total 1.114 billion yuan, 22.55 percent premium to beat Blue Run Property competing Chengdu Qingyang District Su Wan Jia Wan communities south slope street block, enter the main city of Chengdu.

April 24, Masahiro Properties Limited's Beijing cost 4.16 billion yuan was competing in Daxing District HUANGCUN 0201 and other owner-occupied housing plots, premium rate up to 180%.

Greentown Group:
As a base camp in Hangzhou Greentown Group, this wave of price cuts and a direct impact on the Greentown huge: only a quarter of zero growth in sales and average selling price for March were down about three thousand dollars per square meter. Affected by this, although Greentown two strategies proposed in this year to hope to reverse the current predicament. But as a stubborn idealist, Greentown can implement these two strategies are still unknown.

Disaster warning: 2014 Greentown salable area of ​​4.01 million square meters, Hangzhou, Wuxi, Changzhou salable area of ​​1.518 million square meters, accounting for 37.9%. Including Hangzhou, 13 projects with a total construction area of ​​1.028 million square meters, Changzhou, a project with a total construction area of ​​197,000 square meters, Wuxi two projects with a total construction area of ​​293,000 square meters.

Disaster situations: a zero-quarter sales growth. According to available data, the Greentown Group cumulative total salable area of ​​approximately 530,000 square meters, the contract sales of approximately 12.1 billion yuan, an increase of 0%, while in 2013 an increase of 162% over the same period. Since March sales and changes in the project, in March Greentown sales price decline of about 3,000 yuan per square meter.

Coping strategies: First, push the plate change strategy in March 2014, Greentown Group had a total of 17 new projects or phases of projects launched, with total salable area of ​​approximately 350,000 square meters. Which in March of major new push real estate 7, located in Qufu, Jinan, Hangzhou, Deqing, and Shanghai three projects. Second, the introduction of low-end projects through increased sales to adjust the structure to achieve faster inventory turnover and is the key to this year.