Major Chinese cities including Shanghai are witnessing a significant uptick in commercial property transactions, as investors snap up space in prime locations in the expectation that the market may finally be on the road to recovery.
The value of office buildings, hotels and shopping malls across China has slumped in recent years amid a prolonged real estate crisis. But with prices in some cities now starting to stabilise, investors are hunting for potential bargains, according to analysts.
“For assets such as office buildings, prices have already retreated significantly, plunging 30 to 40 per cent from their peaks,” said Candice Wang, head of capital markets for eastern China at commercial property services firm CBRE.
“We believe there is limited room for further [price] declines. Consequently, we think a strategic opportunity to enter the market is offered to investors this year.”
In Shanghai, the number of commercial property deals jumped 77 per cent year on year in the first half of 2026, while the total value of those transactions was up 18 per cent at 27.4 billion yuan (US$4.05 billion), CBRE data showed.