The Shanghai real estate market has never been quite so active since the boom days of 1933. Trading is brisk, properties changing hands without too much bargaining and haggling, since buyers have learnt that dilly-dallying for lower prices to-day generally results in the property being bought by more enterprising investors who believe "that land is better than "fapi" states Mr. Eric Cumine in "Finance Commerce."
Trading for the past month has not been confined to French-town and "unoccupied" Settlement areas. Despite the fact there have been severa! bridgehead closures due to terroristic activities in Hongkew, much more confidence is shown in the Yangtzepuo and Hongkew property. The biggest transaction of the month was the sale of the terrace houses in the Dixwell Road area for over five million dollars companies, by one of the largest landholding
Central District trading has been in ihe nature of profit-taking for some of the earlier speculators. Many consider that property in this district has touched peak prices in view of the low returns. This is quite true if we view the fall.of the Chinese dollar not in relation to foreign exchange but in terms of cost of living; 1937 values have thus been reached.
The courts have not altogether changed their ideas on rentals but they are allowing minor increases. In a number of recent cases owners, after a great legal to-do, have been able to Place upon the tenants the onus of the water rates. This has been a great relief.
In one particular instance, the intended sale price of a large vert of a Central District lot at the beginning of the month was a little over two million dollars, but during the month the owners succeeded in having the water rates maid by the tenants: Immediately the sale price was don-bled. Previously the rent receivable just about covered the water rates Av, Joffre Land in Demand The prices of Avenue Joffre land keep rising. A lorre vacant lot at the top of Avenue Joffre was reported to have been sold for $95.000 ver mow. A vacant lot between Routes Say-Zoong and Doumer was sold for Pbout $200,000 per mow. The kon-elusion drown from this is that the west of Western district lots, ie tatao areas, are due for a rise.
Building permits in this district are easily obtainable by applvine to the WASP and paving a small fee. This Aitectly woposite to conditions in the French Concession where most buitfers might reckon on two months Aelav of the plans on the Public Works Department checking desks "There is a very steady demand for detached residences with immediate recubation. Most brokers will agree that they would be able to sell at least two or three of these a week if they had any available, There is, however, complete lack of supply. The case ary of one particular residence ju Route Culty will be interesting to show the market conditions.
In October last a fine. well-bui! large eistitroomed residence, with Amole services. on about six' mow was sold for U.S.$18.000. It was kent and held Jater for U.S.$25,000, and within a few Mr. Ickes. dave was sold once more for US $98,000. Last week it was finally re-morted thet it was prrchaced ^y the future occupant for U.S.$34,000. As the prices were always in US euro rency it is clearly shown that the rise ix not duo to the drow in the value of the dollar but to the rise in land values.
"Newlv built houses of eight or nine rooms on about half a mow of land im French-town are being sold for Aver three lakhs each, Terrare houses, with declaration of trust titles in the esse of split terrace lote. will re-aliso twice the sums that were paid for them in Avril this year. These three-storied houses pre reported to hova chanced hands for as much as $75.000 exch but. of course, in such eases delivery is guai during the past three years, would continue to buy new cars upon their arrival in Shanghai next ye It was also revealed that near! all the leading agencies in Shanghai had already placed orders with factories in the United States and England. It remains to be seen, however, whether Government restrictions on output would allow these cars to be shipped into the city, those questioned pointed out.
dari t Shanghai was always an important centre in China for the sales of automobiles, many engaged in the car business here stated that it was extremely doubtful that shipments would not be allowed into China. Next year would Probably see a boom in the business here, it was declared at the same time. Customers have already made out orders to be filled out in 1942, it was added.
Text read from the printed page and cleaned; old type leaves the occasional error.