SHANGHAI REAL ESTATE DEVELOPMENT : THE PERSPECTIVE OF A FOREIGN DEVELOPER

Abstract

On his visit to the southern provinces in 1992, Chinese leader Deng Xiaoping said that one of the mistakes in China's economic reform was to overlook Shanghai's potential as a growth area. Following this, many policies from the Chinese Central Government and Shanghai Municipal Government have been directed at the growth of Shanghai. The development of Pudong (East of Yangpu River), infrastructural developments, urban renewal and so on were just some of the key projects. These propelled a capitalist fever and accelerated economic growth. Foreign investors flowed in bringing with them the much needed capital and expertise. Increased economic activities and sustained growth have opened a new frontier for real estate development . What awaits the overseas developer in Shanghai? What are the opportunities and its uncertainties? How do Chinese and foreign developers view the Central Government's measures and attempts to cool down the overheated economy? How does the development process differ from that in other countries?