Domestic downturn triggers $20bn Chinese overseas property stampede

Tower Place London

Chinese overseas property stampede: Faced with a downturn in the domestic property market, Chinese investors spent more than $20bn on overseas property assets last year, according to latest estimates from Savills,  up 42% from 2014.  Major deals included Anbang Insurance’s acquisition of  the US Waldorf Astoria hotel chain ($1.95bn); the $1.7bn the China Investment Corporation spent on Investa’s Australia office portfolio; and Ping An Insurance’s purchase of London’s landmark Tower Place ($460m).

Waldorf Astoria New York

The US, the UK and  Australia have become China’s  favourite investment targets, Savills reports, with Chinese insurance companies now major players in Britain’s property market, focusing on office buildings in business centres. Investment from China is expected to keep booming in 2016 as the domestic property market has yet to see a full recovery amid the slowdown in the country’s  overall economy.

Source: chinadaily