The Chinese government has stepped up its efforts in years to mitigate the unprecedented slowdown in the country’s property sector.
One of China’s main promoters is now on the radar of the authorities for the risk of default. A major Hong Kong builder is asking lenders to increase their loans. Another industry pair are touting an iconic but largely empty shopping mall for grocery shopping in Beijing.
As China’s property debt crisis enters its fifth year, there’s little indication that distressed developers are finding it easier to repay debt as a slump in home sales continues. Their dollar bonds are still trading at deeply distressed levels, their debt issuance has nearly dried up, and the sector is a notable laggard in stock markets.