Hangzhou Sees First Land Auction of the Year, Fetching 15.3 Billion Yuan

Hangzhou, capital city of Zhejiang province in eastern China, has seen its first land auction of the year, with three plots of residential land selling for a total of 153 billion yuan (approximately 22.5 billion USD).

The three plots of land, located in Yuhang and Linping districts, were sold through open bidding, with the highest bidder winning each plot. The starting prices for the three plots ranged from 12.3 billion yuan to 26.1 billion yuan.

One of the plots, designated as Hangzhou Municipal Storage [2024]164, is located in Yuhang district and has a total area of 49,595 square meters. The plot has a starting price of 81.99 million yuan per square meter and was sold to Zhoushan Real Estate Development Co., Ltd. for 94.99 million yuan per square meter, representing a premium of 15.85%.

Another plot, designated as Hangzhou Municipal Storage [2024]165, is located in Yuhang district and has a total area of 9,825 square meters. The plot was sold to Taihe Property Co., Ltd. at the starting price of 148.85 million yuan per square meter.

The third plot, designated as Hangzhou Municipal Storage [2024]166, is located in Linping district and has a total area of 24,983 square meters. The plot was sold to Hulunber Real Estate Development Co., Ltd. for 431 million yuan, representing a premium of 65.11%.

According to data from the China Index Research Institute, the expected sales price for new homes in Hangzhou is around 3.5-4 million yuan per square meter. The institute predicts that the housing market will continue to be driven by demand and supply factors, with prices likely to rise further in the coming year.

Commenting on the land auction results, a research fellow at the China Index Research Institute said that the housing market is expected to continue its upward trend in 2025 due to the strong demand for housing and the government's efforts to promote housing construction. The fellow also noted that the