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Transport, Storage and Post
Wholesale and Retail Trades
Hotels and Catering Service
FinancialIntermediation
Real Estate
Others
12%
24%
4%10%9%
41%
The Knowledge Report|2008|Nanjing Off ce and Retail Property Markets
Nanjing’s once shining history as a “capital of six dynasties” has been
a long forgotten legend behind the limelight of Shanghai. Yet on the
heels of Shanghai’s economic development, the city is re-inventing
itself, leveraging on its provincial capital status as the political and
economic center of Jiangsu Province. As commercial activities gather
steam, this has injected impetus to the City’s property market which
begins catching attention of foreign and domestic investors.
The Nanjing economy has some unique characteristics differentiating
from its peers in the Yangtze River Delta region. Although the size of
Nanjing’s economy and per capita GDP took a back seat to its peers such
as Suzhou, Hangzhou and even Wuxi, a closer look at its economic struc-
ture reveals the rapid growth in the City’s services sectors. The City’s
tertiary industry takes up a 48% share in its economy, the highest among
all 2nd-tier cities in the Yangtze River Delta region. Furthermore, the
centering of the City’s commercial activity within a highly concentrated
CBD area has manifested in a very buoyant commercial atmosphere,
underpinning development of the off ce and retail markets.
南京，作为六朝古都的传奇历史与荣耀曾经被遗忘在上海的世纪
繁荣背后。然而，紧跟上海经济发展的步伐，并凭借省会城市行
政及经济中心的地位，南京这座城市正欲重振，腾飞。商业活动
的日益活跃成为推动南京地产行业的动力；国内外的投资商也开
始对这个城市投入更多的关注
与长三角地区其他的城市相比，南京经济有其独特之处。尽管南
京经济规模和人均GDP与其同类城市，如苏州、杭州甚至无锡相
比仍然相对靠后，但对南京经济结构深入的剖析可以揭示出该城
市服务业的迅速发展。南京第三产业占国民经济比重为48%，在
长江三角洲二线城市中处于首位。此外，城市商业活动集结在高
度集中的CBD区域，形成非常活跃的商业气氛，成为写字楼及零
售地产市场发展的坚实支撑
Figure 1
GDP of Cities in Yangtze River Delta (2006)GDP (2006)
0.00
2,000.00
4,000.00
6,000.00
8,000.00
10,000.00
12,000.00
SHSZHZWXNBNJSXJXYZ
100 Million RMB ()
Figure 2
Nanjing GDPGDP
)(50
100
150
200
250
300
350
2001200220032004200520062007
Billion RMB
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
Nanjing GDP
GDP
GDP Growth Rate
GDP
Figure 3
Nanjing Per Capita GDPGDP10,000
20,000
30,000
40,000
50,000
60,000
2001200220032004200520062007
RMB ()
0%
2%
4%
6%
8%
10%
12%
14%
16%
Per Capita GDP
GDP
Growth Rate
Figure 4
Nanjing’s Tertiary Industry Growth Rate43%
44%
45%
46%
47%
48%
49%
2002200320042005200620070%
2%
4%
6%
8%
10%
12%
14%
16%
18%Share of Tertiary Industry in GDP (LHS )Growth Rate of Tertiary Industry (RHS )
Figure 5
The Composition of Nanjing’s Tertiary Industry in 2006COLLIERS INTERNATIONAL3
The Knowledge Report|2008|Nanjing Off ce and Retail Property Markets
过去几年，南京一方面接受到上海发展辐射效应的影响，不仅如
此，另一方面其自身的繁荣，尤其是服务业的支持作用，也同样
带动了周边地区，如江苏省北部地区及安徽省部分地区的发展
服务业的振兴及活跃的消费给南京写字楼及零售物业市场注入了
持久的动力
–
2001年以前，南京暗淡的写字楼市场很难得到跨国公司的青睐
与其他二线城市相似，近几年来，浸于有待成熟的商业环境中的
南京写字楼市场以中端的普通楼宇为主要存量，而商住两用房更
为普遍。开发市场以本地开发商为主，而他们中的大多数，普遍
选择分割销售的投资机制。此类物业占超过95%的市场比例。分
散的产权模式阻碍提升物业管理质量成为必然的结论
南京仅有很少几栋标准甲级写字楼分布于南京CBD区域，如新街
口、鼓楼和珠江路。从地理位置上看，这三个地区距离接近，并
有地铁交通相互连接。惠于市政府政策激励的支持，今后几年，
新的CBD也将逐渐在老城区西南的河西地区形成
进入千禧年以来，南京主城区写字楼市场供应基本保持平稳状
态。2007年底，中高端写字楼存量达到390万平方米。值得注意的
是，尽管南京经济规模明显偏小，且大多数写字楼宇品质较低，
但南京中高端写字楼存量与上海甲级写字楼存量相若。然而，此
市场供给仍与市场需求大致匹配
Over the past years, Nanjing has managed not just to leverage on the
radiation effect from Shanghai. Its own prospering economy also is
built upon providing services, including those supporting production, to
other cities in North Jiangsu and East Anhui provinces. The booming
services sector and vibrant consumption have injected growing momen-
tum to the City’s off ce and retail markets in recent years.
THE OFFICE MARKET – JUMPING HIGH UP THE SKY
Nanjing’s lackluster off ce market before 2001 has drawn little attention
of foreign companies. Similar to other 2nd tier cities, not until recent
years Nanjing’s off ce market had been stocked by the mediocre qual-
ity off ce buildings amidst the immature business environment. Build-
ings for residential-commercial use are not uncommon. The market
is dominated by local developers, and strata-title sale is a popular exit
strategy for most of them, contributing over 95% of the off ce market. A
corollary of the dispersed ownership leads to diff culties upholding good
property management.
There are a few Grade A off ces and most of them are located in Nan-
jing’s CBDs as Xinjiekou, Gulou and Zhujiang Road. Geographically,
the three districts are close to each other and interlinked by metro line.
Supported by the district government’s policy incentive, Hexi area is
emerging to be a new CBD in the south of the City in the coming years.
Nanjing’s downtown off ce market maintained generally steady supply
on entering the millennium. At the end of 2007, the stock ofmid-to-
high end off ce space amounted to 3.9 million sq m. It is interesting to
note that the stock of such off ces in Nanjing is comparable to that of
Grade A off ces in Shanghai despite the signif cantly smaller size of the
Nanjing economy, though most of these off ces in Nanjing are of lower
quality. These supply nevertheless matched well with the prevailing
market demand.
Map 1
Nanjing’s Major CBDsGulouShanxi Road CBD
鼓楼-山西路 CBD
Zhujiang RoadGuangzhou Road CBD
广州路-珠江路 CBD
XinjiekouDaxinggong CBD
新街口-大行宫 CBD
Hexi CBD
河西 CBD
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The Knowledge Report|2008|Nanjing Off ce and Retail Property Markets
Figure 7
Nanjing Mid-to-High End Off ce Rental1.81.81.72.0
2.12.22.5
2.72.9
3.0
3.13.1
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
1999200020012002200320042005200620072008F2009F2010F
RMB/sq m/day
Figure 6
2003-2010 Nanjing Mid-to-High End Off ce Market Forecast
6100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
200320042005200620072008 (F)2009 (F)2010 (F)
sq m ()
0%
5%
10%
15%
20%
25%
30%
35%New Supply Take-up Vacancy Rate
Currently, 44% of the mid-to-high end off ce stock is located in the
Xinjiekou area, reinforcing the traditional importance of this area as
the business hub of Nanjing. The Gulou district is another CBD, and
the presence of many government off ces there distinguishes it from
Xinjiekou. Partly boosted by the hosting of the National Games in
2005, the off ce market in Hexi area started to pick up since 2005.
The annual supply of Nanjing’s mid-to-high end off ces increased by
0.68 million sq m in 2005, 0.77 million sq m in 2006 and 0.66 million
sq m in 2007.
Based on the current available information, overall vacancy rate is
estimated to hover at a high level of over 20% before 2005 and edged
down slightly to around 15-20% in more