[Urbannizer]

On Hold

https://www.ctbuh.org/news/construct...pment-in-wuhan

A subsidiary of China’s largest construction group has suspended work on one of the nation’s tallest skyscrapers after the developer became the latest in a string of companies to default on a payment. The default highlights the growing challenges faced by China’s construction groups as the slowing economy trims credit supply, putting the once runaway mega-tower building boom under stress.

In an October 30 letter, China Construction Third Engineering Bureau Company (CCTEBC) said it would halt construction on the 476-meter-high Greenland Center in the central city of Wuhan. It said Greenland Group, one of the nation’s largest property companies, had failed to make “a significant” project payment.

“Unfinished supertall skyscrapers, which cost a huge amount of funds to build, are a typical sign of economic recession,” said Yan Yuejin, an analyst at Shanghai-based E-house China Research and Development Institution. “They are financed by credit and will run into trouble when lenders begin to scale back.”

China reported year-on-year economic growth of six percent in the third quarter, its slowest pace in 30 years. Other cash-strapped property developers have also been struggling to keep their tall-building projects afloat. Construction of more than a dozen super tall skyscrapers, defined as buildings higher than 300 meters, have been postponed or are behind schedule.

Wuhan Greenland Center: The 1500 ft tall Dissapointment by Brady Cloud, on Flickr