GRA Market Weekly (2026-05-29)

Policy Watch

State Council issues the 15th Five-Year Plan for Urban Renewal

On 28 May, the State Council formally issued the 15th Five-Year Plan for Urban Renewal (Guo Fa [2026] No. 12), the first time the national government has systematically deployed urban renewal work in the form of a five-year plan. The plan sets out ten quantitative indicators, six key tasks, seven policy measures and fourteen major programmes, marking China's formal transition from "incremental expansion" to a new era of "upgrading existing stock". Multiple institutions estimate the total urban renewal market at RMB 15-20 tn over the plan period.

State Council moves to dismantle hukou barriers

On 22 May, the State Council formally issued the Implementation Opinions on Providing Basic Public Services at the Place of Habitual Residence (Guo Fa [2026] No. 11), calling for the gradual decoupling of basic public services from household registration, so that non-registered permanent residents enjoy education, housing, social security, healthcare and other basic public services on equal terms with registered residents. This is the first dedicated national document on delivering basic public services by place of habitual residence. The policy aims to break down hukou barriers and marks a shift in China's public-service provision logic from "registration-based" to "residence-based".

Market Watch

Shanghai: fourth-batch land sales see multiple plots clear at high premiums

On 28-29 May, Shanghai's fourth centralised land auction of 2026 kicked off. Core plots drew fierce contests: a residential plot in Hongkou's Ruihong area went to Shanghai Chengtou for RMB 1.93 bn after 63 rounds of bidding, at a 35.63% premium and an accommodation value of c. RMB 108,500/sqm; the Pujin plot in Minhang went to Dahua Group for RMB 3.655 bn after a marathon 136 rounds, at a 40.72% premium and c. RMB 43,600/sqm, setting a new premium-rate record for Shanghai land auctions this year. On 29 May, the Ouyang Road plot in Hongkou drew six bidders over 27 rounds, ultimately secured by Poly Developments for RMB 1.43 bn at a 17.21% premium.

Beijing: Hebei private developer wins a Second Ring Road residential plot after 165 rounds, its first in two years

On 26 May, Beijing offered two residential-use plots. The Puhuangyu plot in Fengtai District was won after 165 rounds of bidding by Hebei private developer Hebei Xinjie for a total of RMB 1.0476 bn, at a blended accommodation value of RMB 52,810/sqm, a residential accommodation value of RMB 62,220/sqm and a 16.4% premium.

Hangzhou: land sales raise RMB 3.637 bn; Binjiang takes the Beiganxi plot at a 42%+ premium

On 26 May, Hangzhou offered two residential-use plots, in the Zhuantang unit of Xihu District and the Beiganxi unit of Xiaoshan District. The Beiganxi residential plot started at RMB 1.710 bn (RMB 20,000/sqm accommodation value) and was ultimately won by Binjiang Group for RMB 2.430 bn, at RMB 28,419/sqm and a 42.09% premium.

Suzhou: China Overseas pays RMB 68,920/sqm for a low-density plot fronting Jinji Lake, a new Suzhou record

On 29 May, Suzhou offered four residential-use plots with a combined starting price of RMB 2.742 bn. A lakefront plot by Jinji Lake in Suzhou Industrial Park went to China Overseas for RMB 1.688 bn, at an accommodation value of RMB 68,920/sqm and a 30.04% premium - a new high for residential land in Suzhou. In July last year, a plot on the south side of Jinji Lake was won by Greentown for RMB 4.667 bn at RMB 65,242/sqm.

Nanjing: Beigu Real Estate wins a low-density plot south of Purple Mountain at a 50% premium

On 29 May, Nanjing held a new round of residential land sales, with six plots transacting for a combined RMB 3.493 bn. The Xiaolingwei G16 plot was won after 90 rounds of bidding by Nanjing Beigu Anjia Real Estate for RMB 308 m, at an accommodation value of RMB 25,881/sqm and a 50% premium.

Project Watch

Beijing: insurance consortium takes over Zhongguancun's Dinghao DH3 with a RMB 6.1 bn fund

Recent reports confirm the establishment of Tianjin Jiading Equity Investment Fund Partnership (Limited Partnership), sized at RMB 6.1 bn and backed by Dajia Life, AIA Life and Manulife-Sinochem among others; the fund will formally take over the Dinghao Building project in Zhongguancun, Beijing. Dinghao DH3, formerly the Dinghao Electronics Building, sits at 3 Haidian Street in Haidian District, at the core of the Zhongguancun National Independent Innovation Demonstration Zone. Opened in 2003 with a GFA of c. 180,000 sqm, the building entered a multi-year renovation from 2019. In 2025 the project was fully completed and relaunched as Dinghao DH3, a high-quality tech-office complex now home to numerous technology companies.

Nantong: Evergrande's Venice hotel goes to Qidong state capital at a 70% discount

On 23 May, the Evergrande Ocean Venice property No. 1606 was hammered down on the JD.com judicial auction platform. The transaction price of RMB 69.49 m represents about 56% of the RMB 124 m market appraisal. The buyer, Qidong Canlan Scenic Area Management Co., Ltd., is ultimately controlled by the Qidong Municipal Finance Bureau. The project was first listed in January 2025, when the appraisal exceeded RMB 200 m, the reserve price was RMB 141.72 m and bidders had to post a RMB 15 m deposit - but it failed for lack of registrants. This time the reserve was cut c. 20% to RMB 69.49 m, closing at roughly 30% of the original 2025 appraisal of RMB 202 m.

Corporate Watch

Greystar: asset-light takeover of a core long-term rental project in Shanghai's Qiantan

On 28 May, Greystar, the largest apartment operator in the United States, announced a partnership with Shanghai Guocun Fund and Everbright Jin'ou to take over, on an asset-light basis, exclusive operation and management of "LIV'N The Cove", a core long-term rental apartment project in Qiantan's nine-grid area. The project sits at Lane 163, Yuqiu Road, Pudong New Area, Shanghai (Nos. 1-16), close to Taikoo Li Qiantan, with above-ground GFA of 34,000 sqm, 225 apartments and c. 300 leasable parking spaces.

Sun Hung Kai: RMB 320 m for the remaining stake in Guangzhou's IGC complex

On 26 May, R&F Properties and KWG Group simultaneously announced the sale of their stakes in Guangzhou Fujing Real Estate Development Co., Ltd. to Sun Hung Kai Properties (China) for an initial aggregate consideration of RMB 320 m. The company is a joint venture among R&F, KWG and Sun Hung Kai (China), holding, operating and managing Guangzhou's Tianhui Plaza (the IGC mall), the Conrad Guangzhou hotel and associated underground parking, with total GFA of c. 459,500 sqm. On completion, Sun Hung Kai holds 100% of the project company.

Hillhouse: acquisition of an Australian alternative asset manager

Rava Partners, Hillhouse's real assets platform, announced the acquisition of a majority stake in Australian alternative asset manager Barwon Investment Partners ("Barwon"); the consideration was not disclosed. On completion, Rava gains control of Barwon, which manages c. AUD 3 bn (c. RMB 14.6 bn). Barwon is a home-grown Australian fund manager focused on alternative assets - healthcare real estate, real estate credit and private equity.

PDG: weighing a sale of its China data-centre assets at a valuation of up to USD 1 bn

On 22 May, it was reported that Princeton Digital Group (PDG), the Warburg Pincus-backed Asian data-centre operator, is evaluating a sale of its data-centre assets in China, with a potential deal value of up to USD 1 bn. According to PDG's website, the company holds c. 286 MW of data-centre capacity in China, with facilities concentrated in and around core node cities including Beijing, Shanghai, Langfang, Nanjing, Nantong, Foshan and Xi'an.

Gaohe Capital: first mixed-use equity-type institutional REIT with JD Property

The JD-Gaohe Modern Infrastructure Holding-Type Real Estate Asset-Backed Plan was recently established on the Shanghai Stock Exchange, with a total investment scale of c. RMB 4.2 bn - the market's first benchmark mixed-use equity-type modern infrastructure institutional REIT backed by warehousing and logistics as underlying assets.