8 April 2014
Colliers International’s integrated capital markets platform has just scored another success by helping Greenland Holding Group, one of China’s biggest state-owned property developers, to acquire its second project in Sydney, Australia. The deal is for a 10,130-square-metre residential plot on George Street, in the city’s Central Business District (CBD). The completed development will consist of five towers containing about 300 deluxe apartments.
According to Eric Lam, the Managing Director of Colliers International South China, “The units are scheduled to go on the market officially during the fourth quarter of 2014, and we expect them to sell quickly.”
Lam also points out that Sydney has become a top-tier international metropolis in recent years. “The government’s economic stimulus policies, the city’s population growth, and a long-term shortage of stock mean that the Sydney residential market still has enormous potential for value appreciation in the coming few years.”
More than 50% of buyers in Sydney’s CBD are Asian nowadays. Most of them are Mainland Chinese attracted by Australia’s streamlined immigration policies and the well-established local Chinese community. That is in line with the accelerating trend for Asian real estate investors to extend their geographical boundaries to include Europe, Australia and the United States.
The total value of investments from Asia elsewhere in the world has grown rapidly, from around US$1 billion in the year 2000 to more than US$30 billion in 2013. Mainland China, Hong Kong and Singapore account for the lion’s share of those investments.
“Greenland Holding’s latest deal highlights its optimism about the Sydney property market, and it reflects Colliers’ own in-depth understanding of both the local market and the specific goals and requirements of Chinese investors seeking overseas property assets,” adds Terence Tang, the Managing Director of Colliers’ Asia Capital Markets and Investment Services. “Seamless collaboration is key in cross border transactions. The Australian and the South China teams worked closely to deliver the best solution to Greenland. Our integrated capital markets platform enables us to connect Asian investors with overseas property opportunities.”