Empresas estatales participan, subastas de terrenos de Beijing recaudan 2.607 mil millones de yuanes en una semana

Beijing’s first quarter land auction concludes with a total revenue of 2.607 billion yuan.

On March 20th, parcels CP00-1201-0013 and others in the East Zone Phase IV of Zhongguancun Science Park, Changping District, were auctioned. Mingjia Real Estate won with a starting bid of 1.688 billion yuan, with a floor price of approximately 25,800 yuan/m².

Prior to this, on March 17th-18th, the parcel 05-02-21-1 in Shunyi New Town, Renhe Town, was acquired by Beijing Renhe Risheng Real Estate Co., Ltd. for 348 million yuan, with a floor price of about 15,400 yuan/m². Another parcel, SY00-3101-0037, a land development project at Hedong Station on Line M15 in Shunyi District, was purchased by Beijing Zhuzong Jing Shun Real Estate for 571 million yuan, with a floor price of approximately 14,000 yuan/m².

Zhang Kai, head of land market research at the China Index Academy, stated that the three parcels were sold at reserve prices, all supported by state-owned enterprises, reflecting current market sentiment and regional competition patterns. High-quality, low-density land remains reliant on state-owned enterprises for support under the dual constraints of capital and confidence. Additionally, after entering the market, how to stand out in fierce competition has become a key test of later-stage operational capabilities.

Changping parcels surrounded by competitors

The parcels in Phase IV of Zhongguancun Science Park East Zone, Changping, were sold with backing from district-owned state enterprises.

This includes a land parcel composed of three residential plots (0013, 0015, 0039) and a kindergarten plot (0016).

Among them, plots CP00-1201-0013, 0015, and 0039 are designated for second-class residential use, with land areas of approximately 0.99 hectares, 1.98 hectares, and 3.51 hectares, respectively. The above-ground building scales are about 1 hectare, 2 hectares, and 3.54 hectares, with a floor area ratio of 1.01, height limit of 18 meters (some parts up to 24 meters), and green space ratio of 30%. Plot 0039 is the largest and most regular, while the other two are irregular quadrilaterals, which may affect subsequent building layouts. Relevant documents encourage connectivity between plots 0013 and 0015 underground.

Plot 0016 is a kindergarten site with a land area of about 0.48 hectares, a floor area ratio of 0.8, a building scale of approximately 3,840 m², a height limit of 16 meters, and a green space ratio of 30%. It is planned to build a kindergarten with 12 classes.

Geographically, the land is located outside the Sixth Ring Road in Changping South Shao area, about 2.5 km from the South Shao Station of Changping Line. Nearby, there are commercial and educational resources such as the Joy City Changping Wuzhong Middle School. To the west, it borders Baifuquan Wetland Park, highlighting ecological resources, and features the “ecologically superior, transit-oriented” characteristics of the area.

Industry insiders believe that under the planning conditions of a floor area ratio of only 1.01 and a height limit of 18 meters, the land has been endowed with a purely “villa-level” gene. Future products are expected to focus on low-density improvements such as stacked villas and courtyard houses.

Overall, despite the good quality of the land, surrounding areas are in a state of “hunting” by competitors.

Adjacent is the already mature low-density community Rongchuang Changtan No.1, mainly consisting of stacked villas and mountain-view apartments, which has accumulated a customer base in the region. Currently, second-hand housing prices are about 42,000 yuan/m².

About two kilometers north, there are three large projects on sale, with a 2023 launch price of 26,000 yuan/m² for Jiandafang Tangfangfu. Nearly 1,800 units have been sold, mainly for first-time and improved housing needs. Also launched in the same year, Wutongshan Yu has 1,200 units, with over half already signed. The most recent is Longfor Enxiang Lingyun Song, opened less than half a year ago, with fewer than 50 units signed.

Furthermore, new projects such as Wutong Xingchen, Zhuzong Qingyuefu, and Beijing Construction Jia Jingli are in stock in the Shahe Higher Education Park area, just one metro stop away. In total, there are nearly 4,000 units across six active projects.

Zhang Kai noted that only one company registered for this land auction, and it was sold at reserve price, reflecting cautious attitudes toward low-density, long-cycle projects outside core areas. Despite some advantages in floor price, competition within the sector is fierce. After entering the market, projects will face pressure from existing properties like Jiandafang Tangfangfu, product strength challenges from Longfor Lingyun Song, and price competition from Wutongshan Yu. Future success will depend on differentiated positioning, such as “low total price stacked villas.”

Industry experts say that land prices are controllable, but the very low floor area ratio limits development to high-premium products like villas and apartments. In a market dominated by first-time buyers and renovation needs, developers must sell luxury homes while ensuring quick absorption, posing a significant challenge for this district-owned enterprise’s development and marketing capabilities.

Shunyi’s two parcels attract 919 million yuan

Two low-density parcels in Shunyi were also supported and acquired by state-owned enterprises.

One parcel, in Renhe Risheng, was purchased for 348 million yuan by Beijing Shunyi Chengguan Garment Factory, which is 100% owned by Beijing Shunyi Chengguan. The company is a grassroots state-owned enterprise responsible for land development, resettlement housing, and asset management in Renhe Town.

The parcel covers 1.57 hectares, with a planned construction area of about 22,600 m², a low floor area ratio of 1.44, and a height limit of 60 meters, aiming to develop low-density, improved residential products. This aligns with the recent shift in Renhe from “entry-level housing” to “quality renovation.”

Located in the core of Shunyi Old Town, the area’s ecological and public service facilities are mature. It is adjacent to Renhe Park and Shunyi Park, providing dual green lungs, and near Beijing Children’s Hospital Shunyi Women and Children’s Hospital, with commercial support from Shangpin City Outlet, forming a reasonably sized livable circle.

The M15 line Hedong Station A parcel in Shunyi was acquired by Zhuzong for 571 million yuan. A poster from Beijing Urban Construction Xiangye also features both Beijing Urban Construction and Xiangye logos, indicating joint development by Zhuzong and its sister company Beijing Urban Construction.

This parcel shows strong marginal optimization potential. Its floor area ratio is only 1.3, lower than other nearby parcels and competitors, providing a basis for planning high-yield apartments. The transaction floor price of 14,000 yuan/m² also offers a safety margin in costs. The site is about 400 meters straight-line distance from Fongbo Station on Line 15, with river views along the Chaobai River, offering “efficient commuting + ecological premium” value.

Although surrounding amenities are still in the planning stage and the urban interface is immature, the cost advantages give developers more room for quality refinement. Future pricing can target both first-time buyers and improved housing needs, with strategic flexibility.

Zhang Kai commented that among Shunyi’s districts, Renhe has a distinctive positioning. The Xin Guozhan/Tianzhu area focuses on high-end improvements, attracting developers like Mawan known for luxury projects; Mapo is similar but more focused on government services and mature neighborhoods; Renhe, with lower entry barriers and prominent ecological landscapes, emphasizes cost performance. These districts form a complementary pattern, while the East Wind Shopping Mall area in Shunyi Old Town remains irreplaceable due to scarce land supply.

According to the Beijing Urban Planning and Land Commission’s 2026 land supply plan, commercial residential land supply is set at 200-240 hectares, continuing the four-year trend of reduced land supply from 240-300 hectares in 2025.

“Market segmentation is deepening, showing a clear K-shaped trend—core parcels remain fiercely competitive, while non-core suburban parcels are adjusting prices and floor area ratios to focus on ‘price stability’ and ‘absorption security,’” Zhang Kai concluded.