Description:Through mergers and acquisition, the Beijing Capital Development Holdings Co Ltd has become the largest-scale enterprise, with assets totalling more than 50 billion yuan (US$6.21 billion).Combined sales revenues of the top 10 firms, in terms of comprehensive strength, reached 68.66 billion yuan (US$8.53 billion) last year, accounting for 5.2 percent of the nation's market share.In 2004 and 2003, sales revenues of the top 10 firms stood at 50.55 billion yuan (US$6.3 billion) and 35.68 billion yuan (US$4.44 billion) respectively, taking up 4.87 per cent and 4.65 per cent of the industry's total sales revenues.
Total sales revenues of the top 10 increased 35.84 per cent and 92.45 per cent from 2004 and 2003, a trend showing the increasing influence the top 10 enterprises have on the Chinese real estate market.In addition to enterprise scale, development potential, profitability and comprehensive strength, which are the major features studied in 2004 and 2005, an enterprise's financial liquidity and social responsibility are also considered in this year's report.
The results have become one of the important standards for judging the operational strength of Chinese real estate enterprises.
Predicting a sustained growth of the industry, most of the real estate firms are actively reserving land resources for future development.
For example, China Vanke focuses its core business on housing development for the common people. Through co-operation with other partners, it has increased its land reserves and increased its marketability.
China Overseas Land & Investment Ltd targets high-end customers in the cities. Its competitiveness comes from continuous innovations and brand building.
Forte Group, however, focuses its operations in Beijing and Wuhan, while China Merchants Property Development Co Ltd has launched 18 projects in nine big cities in China, with a business scope covering high-end office buildings and residential projects geared toward various consumer groups.
Guangzhou Henda has placed its operational emphasis on forging strategic partnerships with other famous-brand companies, as well as controlling costs.
Increasing land reserves through purchasing, government land auctions and co-operation with partners are the common features of the top 10 firms.
Through purchasing and participating in government land auctions, Poly Real Estate's land reserves reached 10 million square metres last year
With respect to the assets scale, Beijing Capital Development Holdings Co Ltd ranked first on the top 10 list, with assets totalling more than 50 billion yuan (US$6.22 billion), followed by China Vanke, Shanghai Industrial Real Estate, China Overseas land & Investment and Shandong Luneng Estate.