Edira Opportunities 1 • China

This project gives investors an excellent opportunity to start investing in real estate project developments in the growth regions of China. With significantly better investment conditions and higher returns, there is an opportunity to benefit from the enormous development of these markets.

 

The investments are made in residential project developments in Nanjing. Projects are selected by a local management partner with extensive experience in handling investments and project developments in emerging markets.

 

The city of Nanjing, located 300 km from Shanghai, is the capital of the province Jiangsu and is the second largest city after Shanghai in the Yangtze Delta, one of China's largest economic zones. It is the political, cultural, economic and transport centre of the province of Jiangsu. Nanjing has an officially registered population of approximately 11.2 million. This means that around 0.80 percent of the Chinese population lives in Nanjing.

 

HIGHLIGHTS OF THE PLANNED PROJECT

  • planned amount of the annual refund approx. 6.0 %
  • term from fund closure, approx. 6 years (including reinvestment after 3 years)
  • annual refund from the 1st year after closure of the fund
  • regularly reporting on the investment status
  • high forecasting reliability due to short fund terms
  • local project partners invest at least 50 % in the project
  • on-site project management

 

Why China?

  • second largest economy in the world
  • low inflation of 2.9 %
  • low unemployment rate of 3.84 %
  • stable currency - currently EUR 1.00 to CNY 7.79
  • stable government with few external threats
  • government support for the real estate market - as a significant share of GDP
  • macro policies are defined through the current "Five-Year Plan 2016-2020"
  • planned annual growth of at least 6.5
  • 60 % urbanisation
  • 50 million new jobs
  • increase in disposable income
  • improving infrastructure

 

Why residential construction in China?

  • proven housing needs in Tier 2 cities*
  • rising land prices with limited supply
  • project development companies focus on Tier 2 cities*
  • rising prices of housing
  • increasing demand for housing
  • financial incentives and support from the government
  • change from one to two-child policy
  • high liquidity available for the acquisition of housing

 

 

*Nanjing, Hangzhou, Tianjin, Shenyang, Wuhan, Chongqing, Chengdu, Jinan, Xi’an, Wulumuqi = Ten regional central cities with a high level of economic activities and industrial development.

 

KEY DATA

  • two housing developments with 900 residential units and 99,500 sqm living space
  • well-developed region with very good infrastructure (schools, hospital, shopping facilities)
  • railway station in proximity
  • minimum investment volume EUR 10,000,000 (approx. CNY 78 million)
  • experienced project partner
  • company guarantee of the return of capital and interest
  • assignment of the project partner's shares in the project company