A Research To The Market Analysis And Development Trend Of Wuhan’s Commercial Real Estate

For a long time, the booming real estate industry has played a crucial role in promoting the development of China’s national economy. However, from2008, several market indicators of the real estate industry have hit record highs, especially in many domestic first-tier cities like Beijing and Shanghai. The overheating investment in real estate has sounded the alarm of the real estate industry bubble. In order to keep a healthy and sustainable development of the real estate market, our government has gradually set up a series of policy of macro regulation and control. Against this background, many leading real estate developers began to aim at real estate investments of the second, third-tier cities which have a larger market space and relatively more stable land prices.In recent years, in order to stimulate a rapid economic growth, Wuhan government began to develop real estate industry of Wuhan region by selling large areas of land at lower prices and rebuilding urban villages, which has achieved initial results. Since2000, the total real estate investment of Wuhan has been growing rapidly by more than20%per year. With the policy adjustments of "Rising of Central China" in China’s12th Five-Year Plan, the development of real estate markdet in Wuhan will reach a new high. In2014, Wuhan’s total investment in real estate industry is expected to exceed200billion RMB.Some transformations have shown in Wuhan’s real estate market in recent years-more and more investment flowed into commercial real estate market instead of the original residential real estate market. This new trend can be attributed to the house purchasing limit policy which is issued by the government in2011. In response to the expected inflation and policy risk, real estate investors started to put their funds into commercial real estate projects, which directly contributed to the flourish of the commercial real estate market.In this paper, the research is based on the development status of the commercial real estate market in Wuhan City. Specific consideration was given to measure major commercial projects in current Wuhan according to a variety of factors including the location, business volume, the strength of the developers, property management and soAmong eight major business districts of Wuhan City, most representative and competitive commercial projects were selected as high-quality property samples. After collecting all the needed commercial real estate data, location, form of business, characteristics and market performance were analyzed in depth. On the basis of those projects, this paper gave a preliminary forecast of the supply distribution and trend of commercial real estate development of Wuhan City in the near future.