Inside the Great Wall:Market consolidation speeding up in Qingdao

Media reported that there were a total of 56 residential and commercial landplots (2,592 mu in land area) in 1H17, reaching the lowest level since 2013.

    However, during the same period, over 5,000 mu in land area was acquired inthe secondary market by developers. An industry participant commented thatthis is due to strong property sales last year, along with developers’ strongerwill to replenish their land bank. (Hexun)Deutsche Bank’s comment: Many leading developers are seeking methods forfurther expansion in scale, with ample cash on hand from strong sales last yearand this year. Competition in the land market has intensified. More M&As couldhelp speed up market consolidation. Market share expansion among topdevelopers this year is faster than expected.