Real Estate Map | Scanning for high-quality land parcels in core cities, Yuexiu, China Resources, and Poly leading the land acquisition rankings

Ask AI · Why are central state-owned enterprises buying up land against the trend in the winter of the land market?

While most real estate companies choose to “tighten their belts” to get through the winter, central state-owned enterprises such as Yuexiu Group, Poly Developments, China Resources Land, and China Jinmao are still “purchasing en masse” in core cities. In the first quarter of this year, the total land acquisition amount of the TOP 100 developers dropped nearly 50% year-on-year, but core plots in Guangzhou, Hangzhou, and Shanghai repeatedly sold at high premiums. The “Matthew Effect” in the land market has further intensified, with the strong getting stronger and the weak withdrawing. This is not only a contest of capital but also a re-vote on the future urban landscape.

In the first quarter, land acquisition by the top 100 developers exceeded 140 billion yuan

After the Spring Festival holiday, land launches and transactions across various regions have resumed, with hot plots in cities like Shanghai and Hangzhou being released. Developers’ land acquisition efforts have increased, and the decline in land purchase amounts has narrowed. According to data from CRIC Research Institute, from January to March, the total land acquisition by the TOP 100 companies was 146.52B yuan, down 49.4% year-on-year, with the decline narrowing by 3.0 percentage points compared to January-February.

In the CRIC’s list of the top 20 developers by new land value from January to March, most are state-owned enterprises, central enterprises, or local urban investment platforms. Among them, leading companies show a clear gap in land acquisition scale, with Yuexiu Group leading with 71.1B yuan in new equity value, far surpassing the second-place China Resources Land’s 24.3B yuan, forming a typical “stepwise lead” pattern. Notably, only five companies have new equity value exceeding 8B yuan, including Yuexiu Group, China Resources Land, Poly Developments, China Jinmao, and Ningbo Yinzhou Urban Development.

It is worth noting that some companies show a large difference between total new land value and equity-based new land value, indicating reliance on joint land acquisition models, such as Shanghai Shiji Chengkai and Shanghai Zizhu.

From the first quarter, Yuexiu Group, China Resources Land, Poly Developments, and China Jinmao have large-scale land acquisitions, high equity ratios, nationwide layouts, and strong capital and financing advantages, serving as the “ballast” of the current land market. Among them, Yuexiu Group is the leader, with a land acquisition scale far exceeding others, reflecting its expansion determination and financial strength; moreover, Yuexiu Group acquires land 100% on equity basis, without joint development.

Due to Yuexiu Group’s dominance, its subsidiary Yuexiu Properties was spun off for separate ranking this year. Yuexiu Properties also performed well in land acquisitions, ranking 11th in new equity value.

In fact, currently China Resources Land, Poly Developments, and China Overseas Land & Investment mainly focus on independent development, with a high proportion of equity-based land acquisitions. However, China Overseas Land & Investment’s land market performance in the first quarter was poor.

Additionally, local urban investment and platform companies deeply cultivate their local markets, including Ningbo Yinzhou Urban Development, Shijiazhuang Urban Development Investment, Nanjing Jiangbei New Area Industrial Investment, and Yiwu State-owned Assets. Their characteristic is focusing land acquisitions within their own cities, almost all on a 100% equity basis, making them important local land market players, responsible for urban renewal and infrastructure.

According to CRIC analysis, from the perspective of land acquisition companies, the pattern of “central enterprises leading, urban investment platforms mainly” continues, and overall land acquisition willingness remains cautious. Among the top 100 companies by sales, less than 30% have land reserves recorded.

High demand for quality plots in core cities drives up average premium rates

Despite the overall cooling market, scarce plots in core cities still attract strong interest, with developers continuing to focus on high-quality assets with higher certainty. For example, on February 25, the Phase I plot at Guangzhou Racecourse was auctioned after 9 hours and 243 rounds of bidding, with Yuexiu Group winning at 8B yuan, a premium rate of 26.6%. The total transaction price ranked second in Guangzhou history, and the residential floor price set a new record for Guangzhou residential buildings.

On March 6, in Chengdong New City, Shangcheng District, Hangzhou, a residential land parcel was auctioned after 109 rounds by Poly Developments, winning at a total price of 3.22 billion yuan with a premium rate of 51%, and a floor price of 44,985 yuan per square meter. Originally designated for commercial and office use, it was converted to purely residential use in April 2025, with the floor area ratio reduced from 3.0 to 2.2, significantly enhancing residential attributes. On March 13, Qingpu Xujing land in Shanghai was won by Greentown China after 26 rounds, with a total price of 2.67 billion yuan and a premium rate of 6.6%, with a floor price of 31,972 yuan per square meter. This was the only land parcel among Shanghai’s first batch of land supply to sell at a premium, with significant locational advantages.

Compared to the hot land in core areas of these cities, most other cities’ land markets remain subdued, with Qingdao, Fuzhou, Wuhan, and Tianjin offering land at bottom prices. This is partly due to slowed land supply and fewer high-quality plots in core areas; also, developers’ funding remains tight, leading to a focus on high-certainty plots in core cities and cautiousness toward non-core areas.

Regarding premium rates, CRIC Research Institute statistics show that, amid slowed supply this year, the overall premium rate across 300 cities remains low. Data indicates that in the first quarter, the average premium rate for residential land in 300 cities was 5.0%. January was relatively flat, but in February, driven by high-premium plots like Guangzhou Racecourse, the rate rose to 10.7%; in March, the average premium rate was 3.3%.

CRIC analysts believe that the land market in the first quarter continued the pattern of “total volume shrinking and structural differentiation.” Under cautious land acquisition by developers, high-quality plots in core cities still attract fierce competition from leading central and state-owned enterprises, reflecting strong market preference for high-certainty assets. Meanwhile, land supply strategies across regions are increasingly focused on quality and efficiency, with policies emphasizing controlling supply increase, optimizing offerings, and managing inventory. Looking ahead, with urban renewal and demand for improved housing, the land market is expected to gradually stabilize and rationalize amid structural adjustments.

For the second quarter, CRIC analysts predict a “partial recovery and overall cautiousness” in the land market. As high-quality core city plots come to market, land auction activity may see a phased rebound, but the overall cautious pattern among enterprises will likely persist. Central and high-quality local state-owned enterprises will continue to deepen their presence in first- and second-tier cities leveraging financing advantages; urban investment platforms will support third- and fourth-tier cities; a few financially stable quality private firms may opportunistically replenish their land reserves, but overall land acquisition capacity remains limited.

Beijing News Shell Finance Reporter Yuan Xiuli

Editor Yang Juanjuan

Design Xu Xiao

Proofread Zhao Lin