1、 Watchlist the stock on Insights Direct to receive prompt updates ed-JS/sa-CS/AH Lessons from Japan and path to outperformance Chinas property market faces similar headwinds to Japans Lost Decades,but proactive measures in place should support a much faster recovery Referencing Japans lessons,transi

2、tioning into real estate investment managers(REIMs)could be the most viable path for Chinese developers Property stocks could outperform the market despite a mediocre sector outlook;consecutive months of price stability in core locations and developers accelerated transition pace could trigger share

3、 price re-rating Favour developers further along in their transition into REIMs:CR Land(1109 HK)and Longfor(960 HK)Regulators Regulators tooktook notes fromnotes from Japan.Japan.Slow fiscal policy actions,persistent deflation concerns affecting spending confidence,and demographic challenges have ar

4、guably placed Chinas property sector in a position similar to Japans“Lost Decades”.Given similar headwinds,Japans development roadmap may provide valuable insights about the future path of Chinas property sector.R Regulators egulators seem seem to have conducted to have conducted in in-depth depth s

5、tudies studies of of JapanJapan,aiming to steer the property sector towards a“two-pronged”development model that includes affordable rental housing,mirroring Japans shift towards public rental housing.Proactive measures such as swift containment of systematic risk and the introduction of transition

6、tools(PERE and CREIT)have been implemented to address hurdles Japan faced.These efforts position China for a much faster recovery.Diversification is Diversification is essentialessential;REIM;REIMs s could be the could be the preferred pathpreferred path for transition.for transition.Following the p