Chinese anatomy of a property boom on its last legs
By Ambrose Evans-Pritchard – Telegraph Blogs
So now we know what China’s biggest property developer really thinks about the Chinese housing boom.
A leaked recording of dinner speech by Vanke Group’s vice-chairman Mao Daqing more or less confirms what the bears have been saying for months. It is a dangerous bubble, and already deflating.
Prices in Beijing and Shanghai have reached the same extremes seen in Tokyo just before the Nikkei boom turned to bust, when the (quite small) Imperial Palace grounds were in theory worth more than California, and the British Embassy grounds (legacy of a good bet in the 19th Century) were worth as much as Wales.
Keep reading Ambrose Evans-Pritchard – Telegraph Blogs.
