BUSINESS

Greentown Management’s New Project Contracts Tumble as Government Clients Pull Back

Published: Aug. 27, 2026 3:19 a.m. GMT+8

00:00

00:00/00:00

Listen to this article 1x

Greentown Management held an earnings briefing on Aug. 26.

Hong Kong-listed Greentown Management Holdings Co. Ltd. said its newly contracted project-management business fell about 32% in the first half of 2026, as land purchases by its core local-government clients declined.

The sharp drop underscores how China’s prolonged property downturn is pressuring the once-fast-growing constrcution management sector, as developers and local government financing vehicles pull back on land acquisitions and delay construction.

You've accessed an article available only to subscribers

Subscribe today for just $.99.

VIEW OPTIONS

Unlock exclusive discounts with a Caixin group subscription — ideal for teams and organizations.

Subscribe to both Caixin Global and Bloomberg - for the price of one.

Share this article

Open WeChat and scan the QR code

DIGEST HUB

Digest Hub

Back

Explore the story in 30 seconds

Greentown Management's H1 2026 new project-management contracts fell 32% to 13.5m sqm; fees dropped 32% to 3.4b yuan, exceeding industry decline of 8.2%.
Decline tied to local government financing vehicle clients halving land purchases and stricter project-entry standards.
Revenue rose 6.7% to 1.5b yuan; net profit increased 5.9% to 271m; backlog of 120m sqm supports 3–5 years.

AI generated, for reference only

Who’s Who

AI generated, for reference only

What Happened When

2023 to 2025：: Annual new contracts across the industry totaled about 160 million to 170 million square meters each year.

Mid-2025 to Mid-2026：: Local government financing vehicles in top-tier and second-tier cities sharply reduced land purchases, impacting Greentown Management's core client base.

First Half of 2025：: Higher-tier cities accounted for 64.3% of new contract fees, up 5.2 percentage points from a year earlier.

First Half of 2026：: Newly contracted project-management business fell about 32%, with newly contracted gross floor area dropping to 13.5 million square meters and new contract fees falling to 3.4 billion yuan ($506 million). Land purchases by local government financing vehicles roughly halved for the company's core clients, while industrywide new contract scale dropped 8.2%.

As of End of June 2026：: Greentown Management had an order backlog of about 120 million square meters of gross floor area, supporting operations for the next three to five years (through approximately 2029 to 2031).

By First Half of 2026：: About 400 million square meters of land acquired by local government financing vehicles remained undeveloped; only about 20% of land parcels bought between 2021 and the first half of 2024 had started construction.

Tuesday (August 25, 2026)：: Greentown Management released its earnings report for the first half of 2026, showing revenue rose 6.7% to 1.5 billion yuan and net profit increased 5.9% to 271 million yuan.