【文章內(nèi)容簡介】 supply and demand in the Shanghai property market:19992000200120022003GFA pleted (m2 million)GFA sold (m2 million)(Source: [Shanghai Statistics Bureau]) [China’s residential market can broadly be divided into four segments: lowend, midtier, uppermid tier and highend. In Shanghai, properties sold at over RMB10,000 per . with an average price of approximately RMB15,000 per . are regarded as highend properties. Last year, a total of million . of highend properties with the value of approximately RMB billion were sold in Shanghai, representing some 19% of the entire Shanghai real estate market in terms of sales revenues. Management to confirm source of inform.] Revenue of approximately RMB121,634 million was generated from the sale of real properties in Shanghai in 2003, which represents an increase of % from 2002. Approximately RMB110,986 million was generated from the sale of residential properties, which represents an increase of 50% from 2002. The average selling price per . also increased from RMB 3,102 in 1999 to RMB [5,118] in 2003. We set out below a table showing the total sales volume and average selling price per . of real properties in Shanghai from 1999 to 2003:19992000200120022003Sales volume (RMB billion)Average selling price per m2 (RMB)3,1023,3,4,[5,118](Source: [])REAL ESTATE MARKET IN BEIJING Beijing is the capital city of China and a major economic and cultural center. It has an area of over 16,800 . and a population of approximately million as at the end of 2003. The table below sets out selected indicators of Beijing’s economy:1990199519961997199819992000200120022003GDP (RMB billion)50140162181201217248285313361GDP/Capita (RMB)4,87813,08515,04416,73518,47819,84622,46025,32328,44931,613Per capita annual ine (RMB)2,0676,7497,9468,74210,09810,65512,56013,76913,253[]Per capita disposal annual ine (RMB)1,7878,8686,8867,8138,4729,18310,35011,57812,46413,883Per capita savings (RMB)2,20911,75815,83918,19720,95524,37426,39535,51038,63136,346(Source: [2003年北京市國民經(jīng)濟和社會發(fā)展統(tǒng)計公報，北京市統(tǒng)計局]) High economic growth has contributed to the rapid development of Beijing’s real estate market. In 2003, Beijing’s GDP reached RMB361 billion, and GDP per capita reached RMB31,613. Beijing outpaced the national GDP for five consecutive years. According to Beijing’s Tenth Five Year Plan, the following targets are set to be achieved in Beijing between 2001 and 2005: increase GDP to RMB370 billion by 2005 (growth of 9% per annum from 2001 to 2005)。 increase local fiscal ine by 10% per annum。 create over 1 million new jobs between 2001 and 2005。 and lower the unemployment rate [in urban area] to less than 2%.Key Drivers for Beijing Real Estate Market Pursuant to Beijing’s Tenth Five Year Plan, various government policies have been issued to improve town planning and urban living conditions in Beijing. These policies aim at strengthening Beijing’s image as an efficient and modernized metropolis, reducing overcrowding, improving traffic congestion and increasing green areas in the city. Total investment in the real property sector reached RMB[16,590] million for the first quarter of 2004, accounting for % of Beijing’s total investment in fixed assets during the same period and representing an increase of % from the first quarter of 2003. Annual disposable ine per person averaged RMB13,883 in Beijing in 2003, which was approximately [] times that of 1990. Accordingly, more money was spent on residential property in Beijing. According to the [Beijing Statistics Bureau], annual spending per person on residential properties averaged [RMB ] in 2003, which was approximately 4 times that of 1995. In addition, the 2008 Olympics will be held by China in Beijing. The Beijing government has announced plans to invest RMB180 billion preparing for the 2008 Olympics, of which approximately billion will be used on sports venues and related facilities, RMB15 billion on basic utilities such as water, power and gas supplies, RMB30 billion on basic information technology and telemunication infrastructure and billion on urban infrastructure construction. The Beijing government also announced plans to improve the transportation system. By 2008, the Beijing government plans to extend the metro lines to more than 100 km in length and add an additional 700 km of roads. According to [the Beijing Municipal Bureau of Tourism], it is expected that the 2008 Olympics will attract over half a million visitors to Beijing and are expected to create business opportunities for local acmodation.