Beijing Market Outlook 2016
- 2016 Beijing Commercial Property Market to Maintain Steady Development;
- Commercial property development and transition are driven by urban development strategies.
- An increase in new supply to further release demand;
- Tertiary industry growth underpins increasing leasing demand; domestic enterprises dominate, with firms from the financial and IT industries the most active;
- Landlords to opt for a steady leasing strategy in the face of large amounts of new supply; competition to vary among the different submarkets;
- Inactive investment market with stable yield and price.
- Future supply to moderately rebound; prime-quality projects to stimulate market demand;
- The evolution of consumption trends is altering retail formats; the role of physical stores is transforming;
- Rental growth continues to slow down; effective operation is key to enhancing the value of properties;
- Value-added properties are sought-after; experience in operation and management becomes an essential trait to successful retail property investment.
- Economic and consumption structural adjustment promotes the upgrading of logistics demand;
- The state of short supply to ease in the short term; the supply gap to remain a prominent feature of the market over the long term;
- Projects in mature districts to lead the overall rental growth;
- Logistics property investment activity to increase.