The southern part of Beijing will become a new focus for development in the capital city, industry experts have said.
Southern Beijing is considered an important strategic area in the development of the Beijing-Tianjin-Hebei region.
"The application of national strategies like Xiongan New Area has fueled the fast development of the Beijing-Xiongan economic corridor," said Peng Jianbo, a researcher with the Beijing Tsinghua Tongheng Urban Planning & Design Institute.
According to a report by JLL, an international real estate consultancy, government policies on commercial real estate in Beijing have led to two major trends: the limiting of core supply and the redirecting of demand to outer areas.
This has in turn led to three main types of investment options: core assets, value-added opportunities, and government-backed emerging areas.
Considering the potential in development along the Beijing-Xiongan corridor, some property developers are betting big.
"In the future, the company will take the construction of Beijing-Xiongan development corridor as the company's strategic focus," said Zhang Xinliang, deputy general manager of the Longjitaihe Group (Southern Beijing).
Longjitaihe Group specializes in urbanization in Beijing that incorporates real estate development, business, trade, logistics and clean energy.
Founded in 1995, it is a leading force in the development of Beijing, Tianjin and Hebei and the largest beneficiary of this national strategy.
"Redirecting demand to the outer areas of the city should not be viewed as a threat to the core market.
"In fact, dispersing demand to the surrounding areas will help facilitate core district upgrades and improve living standards in Beijing," said Michael Wang, head of capital markets, JLL North China.
Yang Pengyu contributed to this story.