not existed in China have been introduced in Shanghai (a
pilot rate of between 0.4 percent and 0.6 percent on newly
purchased homes based on per-square-meter price of the
property has been established), and speculation is being
discouraged through higher interest rates and larger down
payments on multiple homes.
ASPIRING TO ASSET MANAGEMENT
Speaking at the inaugural, held in tandem with the first
asset management symposium in Shanghai, IREM President Ron Goss, CPM, drew upon both similarities and
differences between the U.S. real estate market in 2008
and the current market in China. Goss made the case
for real estate investment to adopt a new business model
based on a return to the fundamentals and for property
management to assume a more important and visible role
in the real estate arena.
“Now is the time,” said Goss, “for property management
to be recognized as the value-added service that can turn
around troubled properties and squeeze returns out of
Goss went on to challenge the more than 200 real estate
professionals at the forum, most of whom were property
managers, to manage the asset—not just the building.
“As managers of these assets,” he said, “we are shouldering an increasing degree of responsibility for financial
planning and strategic tasks. We are being expected to run
our properties as the business enterprises they are.”
The Shanghai Chapter—which currently has 35 CPM
Members—comprises the administrative divisions of
Shanghai, Jiangsu and Zhegiang, a fast-growing and affluent region that encompasses a population of nearly 150
million. The chapter formed from an agreement signed in
2008 between IREM and the Shanghai Weston Real Estate
Management Institute, a division of Brawman International Group. IREM and Weston also signed an agreement to form a real estate management research center,
which will provide members with professional resources,
tracking of the property management sector and solutions to issues that emerge in the property management
industry in China.
Liu said these new partnerships will provide resources
[RIGHT] Qi Liu, CPM,
president of the IREM
Shanghai Chapter No. 118.
[BELOW] Guests of honor
and presenters at the
First Real Estate Asset
Management Forum in
of scientific know-how and professional networking
opportunities to local real estate managers, which will
definitely have a far-reaching impact on the industry of
property management in the Yangtze River Delta and will
progressively enhance the level of property management
“We, CPM designees in China, will spare no effort to
dedicate ourselves to the better tomorrow of real estate
management in China,” said Liu.
And tomorrow is coming sooner than expected. Aside
from Shanghai’s visible revival along the Bund River area,
Liu said that Shanghai’s highly educated and skilled labor
force is raising its professional stature, attracting more
talent from throughout China and abroad, and making it
appealing to overseas investors.
Liu said that spreading the Institutes’ theories and
practical model of property management practices would
contribute to a higher standard in China and promote the
exchange between real estate managers and their counterparts in overseas countries.
“[The formation of our new chapter] will surely be
recorded as a milestone event for the China property
management sector,” said Liu. n