Despite residential properties continuing to hold a high proportion in new project expansions, the period also witnessed a notable peak in project withdrawals.

This is primarily driven by factors such as high vacancy rates or low owner payment rates, prompting property management companies to proactively exit projects to stem losses.

During this period, the market-driven expansion momentum for sampled property firms cooled compared to the previous reporting cycle.

Firms primarily focused on moving into previously secured projects, leading to an overall decline in the number of newly won bids or signed contracts.

By sector, residential projects still accounted for a significant share of new expansions, yet the period simultaneously saw a surge in exits.

Meanwhile, the trend towards diversification persisted, with new projects broadly covering public facilities, urban services, commercial offices, retail, cultural tourism, and industrial parks.

Notably, new project expansions geographically involved not only mainland China and Hong Kong but also overseas markets, with some firms exporting smart cleaning and operational systems.



KWG LIVING

On May 15th, KWG LIVING introduced that its smart cleaning solutions have been implemented in several benchmark projects in Indonesia, including Poins Mall and South Quarter Office in Jakarta.

The former is a core regional shopping center catering to the consumption and daily needs of a large local population.

The latter is a benchmark Grade A office building, with tenants including numerous multinational corporations and Fortune 500 companies.

Focusing on major property types, the situation for residential property management remains severe due to high vacancy rates or low owner payment rates.

Project exits are predominantly proactive withdrawals aimed at "cutting losses," while forced exits due to non-renewal of contracts are relatively rare.

Overall, the current wave of concentrated withdrawals represents a proactive structural adjustment for the industry, shifting from "scale expansion" to "quality and efficiency priority."

This reflects a strategic pivot by companies to strictly control losses and focus on high-quality assets, also propelling the entire industry towards a faster return to service fundamentals and healthy market-based competition.

In the commercial property sector, services are evolving towards a full-trusteeship plus deep co-creation model.

This involves taking over overall project operational rights and forming deep, systematic partnerships with property owners in core areas such as quality refurbishment, low-carbon management, and digital energy efficiency.

For office properties, services are undergoing a deep transformation from basic property management to full lifecycle asset operation and management.

This entails greater involvement in the renovation and operation of existing assets, emphasizing customized,精细化 service solutions and smart property management technology to assist owners in achieving asset rejuvenation, upgrades, and long-term value appreciation.

In the industrial park property sector, firms are targeting projects anchored to advanced manufacturing core engines.

By establishing service footholds in high-energy industrial development zones and leveraging mature facility management systems and standardized operational processes, they aim to create efficient and comfortable office environments to enhance corporate operational效能.

The public facilities property sector, encompassing ports, schools, hospitals, and scenic spots, maintained high activity in expansion, showing clear focus and deepening efforts within specific sub-sectors.

In urban sanitation services, automaker Chery's环卫 subsidiary, Green Beauty City Creation, won a bid on May 12th for the integrated urban-rural sanitation service procurement project in Gaozhou City, Guangdong Province.

The winning bid amount is approximately 337 million yuan, with a three-year service period.

Information indicates that Green Beauty City Creation is pursuing跨regional development, having already secured three projects in the Guangdong market with cumulative total contract values exceeding 600 million yuan.