BREAKING NEWS: China's Evergrande has officially defaulted

[K_Bin_W]

Is this default something similar to the 3 Gorges dam collapse?

 

[letsrock]

My house is by the river. Next to the house is the embankment of the Xiang River and a highway along the river. There are not many cars and people. The biggest noise may come from the basketball court on the riverbank.


The Xiang River embankment which near my house:
View attachment 792214View attachment 792215View attachment 792216

Surroundings look beautiful. And its ok if there is some noise. Absolute quietness on a balcony is not the only criteria for a good house - especially when you have so many facilities nearby. I just asked as balcony was prominent in the picture.

 

[patero]

Bloomberg reporting that the three overdue bond interest payments have been received narrowing averting defaults again, there is a bit of confusion with contrary reports and no clarity from the embattled property developer itself. I think it more than likely the interest payments have been made, it buys some time before the principals are due in February.

 

[MH.Yang]

Surroundings look beautiful. And its ok if there is some noise. Absolute quietness on a balcony is not the only criteria for a good house - especially when you have so many facilities nearby. I just asked as balcony was prominent in the picture.

China has a large population and is not rich. Unlike American suburbs, most Chinese people live in high rise buildings rather than villas. Therefore, noise has always been a common residential problem, especially the noise from upstairs. The fourth generation building has just begun to be popularized in China. Everyone is not familiar with it, and I don't know the sound insulation effect.

 

[letsrock]

China has a large population and is not rich. Unlike American suburbs, most Chinese people live in high rise buildings rather than villas. Therefore, noise has always been a common residential problem, especially the noise from upstairs. The fourth generation building has just begun to be popularized in China. Everyone is not familiar with it, and I don't know the sound insulation effect.

Highrise buildings in my opinion a conscious choice by chinese. They could have lived in rowhouses which are also compact and space efficient. Highrises do open up more space in terms of parks below but then you have these noise issues, But i thought chinese construct with concrete and steel and that should make noises really less.

 

[MH.Yang]

Highrise buildings in my opinion a conscious choice by chinese. They could have lived in rowhouses which are also compact and space efficient. Highrises do open up more space in terms of parks below but then you have these noise issues, But i thought chinese construct with concrete and steel and that should make noises really less.

Highrise buildings in my opinion a conscious choice by chinese. They could have lived in rowhouses which are also compact and space efficient. Highrises do open up more space in terms of parks below but then you have these noise issues, But i thought chinese construct with concrete and steel and that should make noises really less.

In fact, the population density of China is lower than that of Japan. But the Japanese live in "いっこだて", while the Chinese live in high-rise buildings. And I think this should not only be to save land, but also to give birth to a huge business district. Also, I think the govt may be forcing the construction industry to improve technology and innovative thinking faster through tight land policy. If there is revolutionary advances in controlled nuclear fusion technology, the city will inevitably move towards vertical development, and we will eventually need these more advanced high-rise building technologies.

 

[nang2]

Latest news, not sure how real it is as it doesn't mention DMSA at all.

Evergrande Set to Avoid Default After Paying Overdue Interest

(Bloomberg) -- China Evergrande Group again averted a default in its biggest test since a liquidity crunch at the property developer began earlier this year, just as the nation’s efforts to limit fallout from the crisis gather steam.Most Read from BloombergWhy Hong Kong Is Building Apartments...

finance.yahoo.com

 

[nang2]

Latest news, not sure how real it is as it doesn't mention DMSA at all.

Evergrande Set to Avoid Default After Paying Overdue Interest

(Bloomberg) -- China Evergrande Group again averted a default in its biggest test since a liquidity crunch at the property developer began earlier this year, just as the nation’s efforts to limit fallout from the crisis gather steam.Most Read from BloombergWhy Hong Kong Is Building Apartments...

finance.yahoo.com

Here is another news that gives more interesting analysis, particularly about anonymity of the sources that claimed paid interests.

Evergrande bond payments again sugar-coated by anonymous sources, but bankruptcy could come in "matter of days" | Asia Markets

Led by veteran German credit analyst, Dr Marco Metzler, DSMA (German Market Screen Agency), recently purchased Evergrande bonds, not to make money, but to test Metzler's hunch that Evergrande is in fact not meeting it debt obligations, despite media reports suggesting payments have been made.

www.asiamarkets.com

Here is another news that gives more interesting analysis, particularly about anonymity of the sources that claimed paid interests.

Evergrande bond payments again sugar-coated by anonymous sources, but bankruptcy could come in "matter of days" | Asia Markets

Led by veteran German credit analyst, Dr Marco Metzler, DSMA (German Market Screen Agency), recently purchased Evergrande bonds, not to make money, but to test Metzler's hunch that Evergrande is in fact not meeting it debt obligations, despite media reports suggesting payments have been made.

www.asiamarkets.com

Here is the story on why DMSA got itself involved.

Evergrande bankruptcy cover-up claims as more debt deadlines loom | Asia Markets

As the China Evergrande Group scrambles to offload corporate jets, luxury property and business units in what appears to be a fire sale to meet debt obligation, one respected financial analyst has suggested a cover-up of monumental proportions could be underway.

www.asiamarkets.com

 

[nang2]

It is possible that bond investors colluded to remain hush-hush in a vague hope that China government will eventually prop up Evergrande and thus save their money. Filing bankruptcy proceedings may destroy this hope and end up only getting a small fraction of their money back.

 

[nang2]

It is possible that bond investors colluded to remain hush-hush in a vague hope that China government will eventually prop up Evergrande and thus save their money. Filing bankruptcy proceedings may destroy this hope and end up only getting a small fraction of their money back.

Or they simply are buying time to offload these bonds onto unsuspecting individual investors knowing full well that they are junks.

 

[siegecrossbow]

My house is the 4G of housing, which has just begun to be popular in China. That is not an open balcony, but a garden. China's 3G houses usually use closed balconies.
View attachment 792218
View attachment 792219
The appearance of the 4G housing is like this:
View attachment 792220

Wouldn't the vegetation attract mosquitoes?

 

[MH.Yang]

Wouldn't the vegetation attract mosquitoes?

I don't know, but the real estate sales told me there would be no mosquitoes. In fact, I'm most worried about snakes. But I heard that many 4G buildings have been put into use in Milan, Madrid, and some Chinese cities. There is no problem for the time being.

 

[letsrock]

In fact, the population density of China is lower than that of Japan. But the Japanese live in "いっこだて", while the Chinese live in high-rise buildings. And I think this should not only be to save land, but also to give birth to a huge business district. Also, I think the govt may be forcing the construction industry to improve technology and innovative thinking faster through tight land policy. If there is revolutionary advances in controlled nuclear fusion technology, the city will inevitably move towards vertical development, and we will eventually need these more advanced high-rise building technologies.

whats the relation between nuclear fusion and vertical development ?

 

[ziaulislam]

China only problem is low population growth and gender mis match
It would need alot of innovation to tackle this problem

 

[FairAndUnbiased]

In fact, the population density of China is lower than that of Japan. But the Japanese live in "いっこだて", while the Chinese live in high-rise buildings. And I think this should not only be to save land, but also to give birth to a huge business district. Also, I think the govt may be forcing the construction industry to improve technology and innovative thinking faster through tight land policy. If there is revolutionary advances in controlled nuclear fusion technology, the city will inevitably move towards vertical development, and we will eventually need these more advanced high-rise building technologies.

Japanese houses are disposable one time use items and not expected to last longer than 20-30 years. They are specifically built from weak, thin wood to be easy to destroy.

There is equal house construction in Japan as the US but Japan has 1/3 the population.

Raze, rebuild, repeat: why Japan knocks down its houses after 30 years

Unlike in other countries, Japanese homes become valueless over time – but as the population shrinks, can its cities finally learn to slow down and refurb?

www.theguardian.com

Chinese buildings are steel and concrete. Steel and concrete lasts for centuries. Look at New York, London or Berlin buildings that are 100+ years old.