Core Insights - The recent land auction in Shenzhen saw intense competition, with the total sales amounting to 39.52 billion yuan for two residential plots, indicating strong demand for prime real estate in the area [2][10]. Group 1: Auction Details - On December 8, two residential plots were successfully auctioned in Shenzhen, located in Nanshan and Guangming districts, with a starting total price of 30.02 billion yuan [2]. - The Nanshan plot was won by China Overseas Land & Investment for 31.86 billion yuan after 95 rounds of bidding, resulting in a floor price of approximately 77,400 yuan per square meter and a premium rate of 42.49% [2][4]. - The Guangming plot was acquired by Longfor Group at the base price of 7.66 billion yuan [2]. Group 2: Market Context - The Nanshan plot is strategically located near major corporate headquarters and has a compact size of approximately 11,800 square meters, with a total construction area of about 41,184 square meters [4]. - The area has limited residential offerings, with the only new housing project priced at an average of 133,000 yuan per square meter, while second-hand listings range from 140,000 to 180,000 yuan per square meter [6]. - China Overseas has now secured two residential plots in the Shenzhen Bay Super Headquarters Base area, reinforcing its position in the high-end market [6][8]. Group 3: Overall Land Supply Trends - Shenzhen has successfully auctioned 11 residential plots this year, covering an area of 229,400 square meters and generating over 28 billion yuan in total sales [10]. - The highest premium rate recorded was 86.1% for a plot in Qianhai, while the highest total price was 8.64 billion yuan for a plot in Bao'an, indicating a competitive land market [10]. - The overall trend in land supply across the country shows a reduction in quantity but an increase in quality, with a 16% year-on-year decrease in residential land transactions in 300 cities from January to November [12].

Core Viewpoint - The recent land auction in Shenzhen demonstrates intense competition for residential land, with significant price increases and high premium rates, indicating strong confidence from leading real estate companies in core urban assets despite market adjustments [1][4]. Group 1: Land Auction Details - On December 8, two residential plots were successfully auctioned in Shenzhen, with a total revenue of 39.52 billion yuan, including a competitive bid of 31.86 billion yuan for the Shenzhen Bay Super Headquarters Base plot [1][2]. - The Shenzhen Bay Super Headquarters Base T207-0068 plot saw a total of 101 rounds of bidding, resulting in a floor price of approximately 77,360 yuan/m² and a premium rate of 42.49%, setting a new high for premium rates in the area [1][3]. - The total area of the T207-0068 plot is about 11,833.61 m², with a total construction area of approximately 41,184 m², including residential and commercial spaces [2]. Group 2: Market Trends and Company Strategies - China Overseas Land & Investment has acquired three residential plots in Shenzhen this year, totaling 8.62 billion yuan, with an average premium rate of 51.87%, reinforcing its leading position in the high-end market [4][6]. - The competitive bidding for the Shenzhen Bay plot reflects the resilience of the luxury housing market, as top-tier assets continue to attract strong interest from major developers [4][8]. - The overall land supply in Shenzhen has been optimized, with 11 residential plots successfully auctioned this year, generating over 28 billion yuan in total revenue [6][8].