[CCTV-2] Evergrande Town in Hefei Attracts Thousands of Customers at a Discount of 15%

CCTV-2 Economic News 2010-5-16

Welcome back to Economic News. Today we will continue our serial observations on the real estate industry. One month has passed since the new policy was launched on April 14. During this period, Evergrande has become a focus of the real estate market. On May 6, Evergrande launched a promotional activity involving more than 40 projects for sale across China.

The news came as a big splash on the real estate market, as it is the first large real estate development enterprise taking the lead in lowering the price in the new background of real estate control policy. Today, a new project under Evergrande is launched in Hefei, Anhui, again at a discount of 15%, attracting thousands of buyers queuing for purchase.

Now, let s take a close look.

At Evergrande Town on Wu Jingzi Road, Hefei, more than an hour ahead of the opening, we can see thousands of buyers are already waiting.

Buyer: 4785 yuan per square meter. That s the starting price.

Reporter: What do you think about the price, compared with that of surrounding projects?

Buyer: The price is much lower. Most of the surround projects are sold at 5,000 to 6,000 yuan per square meter. This price is quite reasonable, considering its advantageous location.

Buyer: I have learned about many projects in Nanjing and Hefei. The price here is relatively lower. That s why I am here today.

Reporter: Why do you choose to buy at this time when many people are still waiting and seeing?

Buyer: I have missed many chances when the price was lower. I don t know the tendency of the industry. Who knows what will be tomorrow like.

Evergrande Town is located outside the loop highway around Hefei. In spite of the faraway location, the price is still quite attractive. The attraction of the price, 4,780 yuan per square, at a discount rate of 15%, is coupled further with fine decoration worth 1,500 yuan per square as gift, while the average price of the surrounding buildings has increased to 5500 yuan per square meter. It seems that low price is still an effective attraction.

Mr. Xia Haijun, Vice Chairman of the Board of Directors and President of Evergrande Real Estate Group, says, We hope to offer a reasonable price for the population. I think products of high performance-cost ratio will be appreciated. Whatever change occurs on the market, products of high performance-cost ratio are always what people are pursuing.

It is learned that Evergrande has put totally 839 suits for sale and 402 suits have been subscribed, at an average price of 5,434 yuan per square.