The Rise of China’s Institutional Investors
David Hand, Head of Investment, China
China’s real estate investment market is currently shifting from overseas dominated to domestic players, largely SOEs. With recent regulatory changes, large domestic companies, including insurance, can invest in RE and may be primary drivers in changing the local market and eventually enter the global RE investment landscape. New institutional players (sovereign wealth funds, pension funds) and vehicles (REITs) will enhance transparency and quality as well as likely compress yields in the market. Given today’s market dynamics, both domestic and foreign investors are adapting and shaping China’s new investment landscape.