The Evolution of Shanghai from 1990 to 2010

Real estate investment can be extraordinarily profitable — provided it is made at the right moment. This is what that looks like over twenty years of one city.

1990: buying in early

Shanghai is at the very start of its economic ascent, and land plots can still be acquired cheaply.

Developing the land

The plots become a residential area — a green environment with easy access to community facilities and retail shops. People move in, and the area thrives.

2010: the return

A booming economy and heavy rental demand drive up both rents and property values.

And it is not only the apartments. The land plots themselves have delivered a comparable return.

Also see

• Purchases and Sales of Land Plots — how land value is determined, and the downtown strategy this scenario demonstrates.
• Enhanced Simulation of Apartments and Commercial Buildings
• City Dynamics — why quality of living drove the population growth behind this.