Manhattan Property Attracts Buyers from Hong Kong and China

Cover Story:  Manhattan Property Attracts Investors From Hong Kong and Mainland China
Hong Kong and mainland investors see the Big Apple as a less risky place to buy

Wednesday, 29 August, 2012, 12:00am

Peggy Sito

Hong Kong resident Jacky Yeung is going to complete the purchase of two Manhattan flats in one go.

Like many buyers of New York property, the purchases were made, he said, based on the drawcard of the city's status as an international financial centre.

China's wealthy buying New York luxury condo apartments

Wealthy buyers from mainland China buying New York luxury condos.  New York Times article in which I was interviewed.

The boxy glass 15 Union Square West appeals to Chinese buyers, brokers say.

By CLAIRE WILSON

Published: August 12, 2011

China's Millionaires

Hurun report on China's millionaires and lifestyle preferences

Hong Kong, China buyers investing in Manhattan

I'm currently writing from Midlevels in Hong Kong, enjoying the cool winter weather on Christmas day.  Some property notes when comparing Hong Kong/China vs New York.  

- South China Morning Post reported that Beijing, China appreciated the most last year, 40%.  Hong Kong 17%, Manhattan 10%, London 20%.

China over-dependent on property, no demand

Quite a long video.  Summary:
1.  60% of China's GDP driven by real estate construction.
2.  They are building property at US prices that people can't afford, sitting empty.
3.  Consumption is only 5% of GDP

Bottom line - China is over-reliant on construction which has no demand.  Problem........

China Property Bubble

Link to article:  China Property Bubble

As posted on Bloomberg.  In Shanghai, prices up 54% through Sept 2009.
In Beijing's Chaoyang district, housing prices at $300 per square foot, is 80X annual income !
People talk about real estate riches at the dinner table, no longer about their businesses or factories.