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Opinion
Nisha Gopalan

China's Great Property Pullback

Investors from Sydney to London would be wise to stand clear.
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Photographer: Simon Dawson/Bloomberg

That whoosh you just heard? It's Chinese money pulling back from property in London to New York.

Capital centers globally should brace for tumbling real-estate prices as Beijing manages to do what Brexit and higher interest rates haven't. Reflecting tighter regulations, China overseas direct property investment could drop 84 percent to $1.7 billion this year and about another 15 percent to $1.4 billion in 2018, according to Morgan Stanley.