By the Numbers
$3 billion
The value of Chinese investment in U.S. commercial properties in 2013, more than 142 times the $21 million invested in 2008.
83 percent
Counting Chinese cash Investors from China poured $2.5 billion into NYC in 2013, more than any other group
I
t’s not headline news that Chinese investors are parking their cash in New York City real estate, but the magnitudes of those investments is. In 2013, investors from China for the first time poured more money into bricks and mortar in New York City than their counterparts from any other country in the world. Those investments included a $1.4 billion stake in the high-profile GM Building, the $725 million purchase of 1 Chase Manhattan Plaza, and a 70 percent share of Forest City Ratner’s Atlantic Yards development in Brooklyn. And that’s not to mention all of the highpriced residential properties Chinese buyers are snapping up. Indeed, residential powerbroker Dolly Lenz recently called Chinese buyers “the new Russians,” on CNBC: “It used to be when you said, ‘I have a Russian client, I Wang Jianlin want to see the apartment, I want to schedule an appointment,’ you know the Red Sea parted … and now that’s true for the Chinese.” Below is a look at how Chinese real estate investments stack up. By Jill Noonan and Eileen AJ Connelly
The percent of the $3 billion deployed in NYC in 2013. That $2.5 billion made China the top foreign investor in the city for the year.
53
Average age of a Chinese billionaire, about 12 years younger than the average billionaire age in the U.S.
18
Number of China’s richest 100 that made their fortunes in real estate.
$2 trillion
The combined net worth of the 515 billionaires in the U.S., compared with the $384 The ranking of the billion that China’s GM Building as 157 billionaires are the most valuable worth. However, a Zhang Xin office property in recent survey by Wealth-X, a the country, at $3.4 billion, wealth research firm, found after Chinese real estate that billionaire wealth is developer Zhang Xin and growing faster in Asia than Brazilian banking magnate anywhere else in the world. Moise Safra paid $1.4 billion for a 40-percent stake in the property.
1
$3,017
Cost of rent per square foot at Hong Kong’s Causeway Bay, the most expensive retail location in the world in 2013. By comparison, NYC’s Fifth Avenue ranked second, with retail rents at $2,500 per square foot.
$1.12 trillion
The total value of real estate development that took place in China in the first 10 months of 2013, compared with $908 billion in the U.S.
$14.1 billion
The net worth of Wang Jianlin, the real estate mogul who ranked No. 1 on Forbes list of Chinese billionaires in October. By comparison, New York’s richest real estate billionaire, Richard LeFrak, is worth $5.6 billion.
22.3
The ratio of housing prices to annual household income in Beijing, illustrating the steep cost of housing in the city. By comparison, the ratio is 6.2 percent in New York. Sources: Real Capital Analytics, Cushman & Wakefield, International Business Times, Forbes, International Monetary Fund.
The Field Team Wishes You A Successful 2014
NIKKI FIELD Senior Global Real Estate Advisor, Associate Broker | 212.606.7669 | nikki.field@sothebyshomes.com | www.nikkifield.com
Compiled by Yaffi Spodek
East Side Manhattan Brokerage | 38 East 61st Street, New York, NY 10065 Operated by Sotheby’s International Realty, Inc. Sotheby’s International Realty® is a registered trademark. 01-14_Version-2.indd 1
22 January 2014 www.TheRealDeal.com
12/18/2013 4:14:37 PM