A Guide to Real Estate Prices in China
China’s supply of industrial real estate is consistently expanding to accommodate for the influx of investment. Prices for industrial manufacturing and logistics facilities vary widely throughout the country, but tend to be higher near its economic centers on the southern and eastern coasts.
China’s industrial parks, located throughout the country, attract foreign companies by simplifying the investment process. Many industrial parks conduct brokerage services in-house, eliminating brokerage fees, but also make it more difficult for investors to conduct market research and make comparisons between competing development areas. Despite these drawbacks, investors receive the benefits of newer facilities, property tax incentives, and even subsidized access to utilities from competition between industrial parks.
Several major American commercial real estate brokerage firms operate branch offices in China, offering comprehensive market research data to foreign companies seeking to invest.
Below is a list of the average facility costs for renting an industrial facility in the indicated region.
| Province/Region | 2011 RMB/sq. meter | 2010 RMB/sq. meter | 2011 USD/sq. meter | 2010 USD/sq. meter |
|---|---|---|---|---|
| Beijing | 29- 43 | 23.7 – 27.9 | $ 0.42- 0.62 | $0.41 |
| Binhai | 21- 30 | 12 | $ 0.30- 0.43 | $0.18 |
| Chongqing | 14.8 | 13.5 | $ 0.21 | $0.21 |
| Fujian | 14.4 | 8 – 17 | $ 0.21 | $0.25 |
| Gansu | 20- 80 | 96 – 168 (purchase) | $ 0.29- 1.19 | $1.94 |
| Guangdong | 19.4 | 25 – 30 | $ 0.28 | $0.40 |
| Hainan | 10-20 | 3 – 7 | $ 0.14- 0.29 | $0.07 |
| Hebei | 16.8- 18.6 | 15 – 21 | $ 0.24- 0.27 | $0.29 |
| Heilongjiang | 18- 20 | 35 – 116 (purchase) | $ 0.26- 0.29 | $1.10 |
| Henan | 22 | 11 – 15 | $ 0.31 | $0.19 |
| Hong Kong | 53 | 53 – 88 | $ 0.76 | $0.78 |
| Hubei | 16.6 | 15.8 | $ 0.24 | $0.24 |
| Jiangsu | 11.5 | 11.7 | $ 0.16 | $0.17 |
| Liaoning | 19.9 | 18.8 | $ 0.28 | $0.28 |
| Macau | 24.3 | 17 – 27 | $ 0.35 | $0.25 |
| Pudong | 30.38 | 31 | $ 0.43 | $0.46 |
| Shanghai | 25.6 | 22 – 37 | $ 0.37 | $0.44 |
| Shantou | 9-20 | 6 – 12 | $ 0.13- 0.29 | $0.13 |
| Shenzhen | 26.9 | 28.5 | $ 0.38 | $0.43 |
| Sichuan | 18 | 17.9 | $ 0.26 | $0.26 |
| Tianjin | 26.9 | 25.5 | $ 0.38 | $0.38 |
| Xiamen | 15 | 17 | $ 0.22 | $0.25 |
| Zhejiang | 12.5- 13.5 | 14 – 16 | $ 0.18- 0.19 | $0.22 |
| Zhuhai | 15 | 12 – 16 | $ 0.22 | $0.21 |
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