Investment Rating - The industry investment rating is "Positive" and maintained [13] Core Insights - In July, the supply of core land in major cities continued to slow down, while there was a marginal improvement in land supply in lower-tier cities. Overall land transactions remained flat, with only lower-tier cities showing a year-on-year improvement [2][10] - Major developers such as China Overseas, Greentown, and Zhaoshang actively participated in the land market in July, with strong land acquisition intensity observed in the first seven months from Jinmao, Jianfa, and Greentown. Jinmao and Jianfa also performed better in sales [2][8] - Among the key projects acquired by sample developers in July, the expected profit realization for Binjiang was relatively better, while Greentown, Zhaoshang, and China Overseas acquired land in higher-quality locations [2][9] Supply Summary - In July, the supply of core land continued to decline, with lower-tier cities seeing an increase. From January to July 2025, the cumulative area of residential land launched in 300 cities decreased by 17% year-on-year, with first-tier cities up by 23%, second-tier cities down by 2%, and third and fourth-tier cities down by 21% [6] - The monthly supply of residential land in July for 300 cities decreased by 22% month-on-month, but was still higher than the monthly values from January to May [6] Transaction Summary - The overall land transaction volume in July was flat, with a year-on-year improvement in lower-tier cities. From January to July, the cumulative area and transaction amount of residential land in 300 cities decreased by 6% and increased by 25% year-on-year, respectively [7] - In July, the transaction volume decreased by 16% month-on-month, with a transaction premium rate of 8.4%, showing a marginal increase, and the auction failure rate further decreased to 7.6% [7] Developer Insights - In July, China Overseas, Greentown, and Zhaoshang were active in the land market, with the top three developers in terms of total land acquisition amount being China Overseas (14.9 billion), Greentown (13.9 billion), and Zhaoshang (6.8 billion) [8] - The cumulative land acquisition amount from January to July for the top three developers was Greentown (62.1 billion), Jianfa (61.7 billion), and China Overseas (55.3 billion), with several developers seeing over 80% year-on-year growth in land acquisition amounts [8] Investment Recommendations - Focus on medium to long-term structural opportunities, emphasizing leading developers with regional advantages, strong product capabilities, and light inventory, as well as stable cash flow from leading brokerage firms, commercial real estate, and state-owned property management companies [10]

Investment Rating - The industry investment rating is "Positive" and maintained [12] Core Insights - In June, the overall land supply volume increased month-on-month, but the pace of core land supply continued to slow down. The overall transaction volume also saw a month-on-month increase, with the premium rate continuing its downward trend since March, while the auction failure rate remained low [2][10] - Major players such as Jianfa, Zhonghai, and Poly were active in the land market in June, with Jianfa, Jinmao, Binhai, and Greentown showing strong land acquisition intensity from January to June. Jianfa, Greentown, and Jinmao achieved better sales performance [2][8] - The quality of land acquired by sample real estate companies in June was higher for Greentown, Jinmao, and Jianfa, reflecting a focus on regional advantages, product strength, and low inventory among leading companies, as well as stable cash flow from leading brokerage, commercial real estate, and state-owned property management companies [2][10] Summary by Sections Supply - In June, the overall land supply volume increased by 38.4% month-on-month compared to May, but the supply of core land decreased compared to April and May. From January to June, the cumulative launched residential land area in 300 cities decreased by 17.3% year-on-year, with first-tier cities seeing a 23.9% increase, while third and fourth-tier cities saw a 23.3% decrease [6][10] Transactions - The transaction volume in June increased by 43.5% month-on-month, with the transaction amount rising by 98.3%. The cumulative transaction area and amount in 300 cities from January to June decreased by 4.3% and increased by 28.0% year-on-year, respectively [7][10] Real Estate Companies - In June, Jianfa, Zhonghai, and Poly were the top three in land acquisition amounts, with total acquisition amounts of 21.9 billion, 11 billion, and 8.9 billion respectively. From January to June, Jianfa, Poly, and Jinmao led in total land acquisition amounts, with 59.2 billion, 50.9 billion, and 49.2 billion respectively [8][10] Investment Recommendations - The report suggests focusing on medium to long-term structural opportunities, emphasizing leading companies with regional advantages, product strength, and low inventory, as well as those with stable cash flow [10]

Investment Rating - The industry investment rating is "Positive" and maintained [14]. Core Insights - The supply of land is increasingly concentrated in core areas, with both the scale and quality of land supply declining since Q1 2025. In the first five months of 2025, the cumulative launched residential land area in 300 cities decreased by 16.9% year-on-year, with first-tier cities seeing an increase of 33.8% [3][7]. - The transaction volume and premium rates for land have also decreased in April and May 2025, primarily due to declining supply quality and uncertain absorption rates. The cumulative transaction area and amount in the first five months of 2025 for 300 cities showed a year-on-year decrease of 6.3% and an increase of 24.6%, respectively [8][11]. - Leading real estate companies such as Poly, China Resources, and Zhaoshang have increased their land acquisition efforts, while companies like Jinmao and Yuexiu have shown strong performance in both land acquisition and sales [9][11]. Summary by Sections Supply Side - The land supply has further concentrated in core areas, with a notable decline in both scale and quality since Q1. In May 2025, the launched residential land area in 300 cities decreased by 13.0% month-on-month compared to April, and the core six cities saw a 16.8% increase in launched area [7][8]. Transaction Side - The transaction volume and premium rates have decreased, with the cumulative transaction area in the first five months of 2025 showing a year-on-year decline of 6.3%. The core six cities experienced significant increases in transaction amounts, with a year-on-year increase of 156.1% [8][11]. Real Estate Companies - In May 2025, leading companies such as Poly, China Resources, and Zhaoshang were active in the land market, with total acquisition amounts of 11.1 billion, 9.8 billion, and 5.3 billion respectively. The top three companies in cumulative land acquisition amounts from January to May 2025 were China Resources, Poly, and Greentown, with amounts of 42.7 billion, 42.0 billion, and 37.5 billion respectively [9][11]. Quality of Land Acquisition - In April and May 2025, companies like Yuexiu and Greentown demonstrated superior land acquisition quality. The overall land acquisition quality scores indicated that companies such as China Resources, Yuexiu, and Greentown had higher regional capability and expected profitability [10][11].