Core Insights - Lanzhou Rural Commercial Bank is auctioning nearly 200 properties on JD Asset Platform, with prices ranging from tens of thousands to billions, primarily as debt recovery assets [2][3] - Other banks, including Agricultural Bank, Construction Bank, and several city commercial banks, are also engaging in direct property sales, with smaller banks showing larger volumes [2][5] - The properties are mainly collateral for loans that borrowers failed to repay, leading to non-performing loans, and banks are establishing departments to manage these assets [2][7] Property Auction Details - Among the properties listed by Lanzhou Rural Commercial Bank, nine have starting prices exceeding 100 million, with the highest being 550 million for 471 commercial units in Tianshui [3] - A significant portion of the properties, 156 units, are located in the Yucai Yipin community in Liaoning, with starting prices below 200,000, and the lowest starting at around 80,000 [4] - The bank has a total of 720 properties listed, with 630 newly listed in 2025, including over 140 residential units and 180 shops in Hainan [4] Comparison with Other Banks - Lanzhou Bank has listed 1,130 properties for sale in 2024 and 1,779 in 2025, while Agricultural Bank has 649 properties listed since 2025 [4][5] - Other banks like Jilin Bank and Tianjin Bank have also listed significant numbers of properties, with Jilin Bank at 2,099 and Tianjin Bank at 1,227 [5] Non-Performing Loan Management - The traditional methods for banks to handle non-performing loans include selling the debt at a discount or judicial auctions, but direct property sales can maximize recovery rates [7][9] - Many of the properties are tied to corporate loans, requiring collateral from businesses or individuals, and the process from default to sale can take one to three years [9] Market Dynamics - The properties listed by banks often have lower prices than market rates, making them attractive to buyers, although the transaction rates remain low [11][12] - For example, properties in Yucai Yipin community are priced at 2,300 per square meter, significantly lower than the market price of 33,000 to 46,000 per square meter [11] Risk and Buyer Perception - Direct sales from banks are perceived to have lower risks compared to judicial auction properties, as banks have a more robust risk management system [12] - However, there is a gap in awareness among potential buyers, particularly in lower-tier cities, regarding the availability of these properties [13][14]