China Retail Property Market Watch
In the second half of 2011, the Chinese government tightened control on the residential property
sector, imposing purchase restrictions in 46 first and second-tier cities. Meanwhile, developers
were under increasing funding pressure after increases in the deposit reserve and base lending
rates. Investors and developers, therefore, shifted to the less heavily regulated commercial property
market. Poly Real Estate Group (600048.SZ), for instance, raised its investment in the retail property
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