[Translated to keep my skills alive, so only slightly reviewed and not spell- checked XD] Original article (Chinese): http://www.chinareviewnews.com/doc/1018/7/1/0/101871041.html?coluid=59&kindid =0&docid=101871041&mdate=1017091150 Shortened: http://bit.ly/nj4Buk A money-maker and a ghost town: China's real estate boom Excerpts taken from article published in "Voice of Germany" The Chinese saying, "Rather play real estate than be a banker," provides backdrop to understanding the hottest investment asset in China over the past several years - real estate. In China's Inner Mongolia province, an entire city was built not for current habitation but for future housing price hikes. Anyone visiting the New Cambaxe District of city of Ordos, Inner Mongolia, will be immediately struck by a major difference between this city and China's other crowded metropolitan areas: there aren't many people here! A visitor will see an eight-lane highway sit without much traffic, a broad plaza teem with manicured greenery but has few visitors, the modern city library lack borrowers, and rows of beautifully-appointed apartments stand empty. Despite all that, housing ads continue to be seen everywhere, and construction sites dot the landscape. This is because the New Cambaxe District was not constructed to be lived in, but for the Chinese rich to invest in. Invest not reside This new investment model "with Chinese characteristics" is fully realized here in the New Cambaxe District. A financial analyst, who requested his name not be used, said, "A house is either purchased to live in, or to hold until it appreciates. Real estate is regarded as a relatively safe investment. All investors have positive outlooks on the potential or Ordos, although no one lives here now." Residents in nearby neighborhoods call this area "Ghost Town" because you rarely see people there, but in fact just about all real estate units here are already sold, and many units still under construction have been pre-sold as well. This is evidence of Ordos's allure to investors. A rich Chinese has few avenues of investment; leaving the money in the bank earns little interest, while investments abroad are much-restricted. Real estate is the best investment under these circumstances, and the past years have proven that. This reporter met two young ladies by chance; they are the rare visitors to the area, hailing from nearby regions. ONe of them said, "This used to be desert, and it's now a pretty city, and not as crowded as Beijing or Shanghai either." Not used does not mean not valued The New Cambaxe District will remain empty, at least for a while longer, because the people who work here - cleaners, construction workers, gardeners - cannot afford the units here. However, "not used" does not mean it's "not valued." Other seemingly ludicrous construction projects include the New Cambaxe District Racetrack, designed and built with the best, but now hosts more racecars than attendees. The city of Ordos gave the construction rights [translator's note: should be construction and operating rights, for the subsequent to make sense] of this racetrack to a private cnostruction firm. The firm's owner, Mr. Yiao, said that although he does not make money from the track, he hopes to win more bids from the city. It is evident that all investors in New Cambaxe District are hoping for better rewards in the future. Although economists have been repeatedly predicting the bursting of China's real estate bubble sooner or later, but when? That is the real question no one can answer. [comments welcome, but in English please.] -- 'Cause it's a bittersweet symphony, this life Trying to make ends meet, You're a slave to money then you die -Bittersweet Symphony, The Verve --

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