FACTBOX: China's up-and-coming cities for property investors

Tue Jul 14, 2009 3:43am EDT
 
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By Langi Chiang and Kevin Lim

BEIJING/SINGAPORE (Reuters) - China's efforts to speed up economic development in the western, central and northern regions have helped second-tier cities such as Tianjin and Chongqing grow faster than cities like Shanghai and Beijing.

Following is a brief description of the up-and-coming cities most favored by property industry executives:

Tianjin

Population: 11.76 mln; GDP Growth: 16.5 pct

Port city in northeastern China about 120 km from Beijing. Under China's 11th five-year plan, Tianjin -- one of China's four autonomous municipalities* -- will be the center for the revitalization of the northeast once China's industrial base.

Western firms with large operations in the city include Airbus (EAD.PA) and Boeing (BA.N) while Singapore conglomerate Keppel Corp (KPLM.SI) is leading the development of a 30-sq km ecological township in the Binhai area.

Property consultancy Jones Lang LaSalle (JLL) says Tianjin has the greatest potential to become China's fifth Tier-1 municipality after Beijing, Shanghai, Guangzhou and Shenzhen.

Dalian

Population: 6.13 mln; GDP Growth: 16.5 pct

Northern port city with a strong indigenous IT industry. Intel (INTC.O) recently announced the construction of a $2.5 billion chip plant that is expected to employ 1,500 people when completed in 2010. Some people in Dalian speak Japanese and Korean and the city has several call centers serving the two countries.

Foreign investors in Dalian include Taiwanese property and construction group Farglory (5522.TW) and Morgan Stanley

(MS.N).

Chengdu

Population: 12.71 mln; GDP Growth: 12.1 pct

Capital of Sichuan province and well connected to the rest of western China through network of roads and rail. The central government has named Chengdu and Chongqing key centers for the development of China's western region. International firms with operations in the city include IBM (IBM.N) and Nokia  Continued...

 

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