China'based Anbang Insurance bought the Waldorf Astoria in 2014.
Rumor has it that China is going to clamp down on outbound investment. What does it mean for the billions of dollars flowing into American real estate by Chinese nationals?
Last Monday, China's National Development and Reform Commission, The People’s Bank of China, The Ministry of Commerce and The State Administration of Foreign Exchange issued a joint statement that made investors nervous. Aside from saying that all outbound investment transactions would remain subject to the existing registration and filing procedures next year, they also said they would scrutinize outbound investment deals more closely to better manage capital flight.
The move is important for American real estate developers, many of which use EB-5 immigration visas for investors in order to finance real estate development projects. Moreover, a number of Chinese insurance companies and developers have also been acquiring American real estate.
Anbang Insurance bought the iconic Waldorf Astoria for around $2 billion back in 2014.
China developer Greenland is busy spending over a billion dollars redrawing the Los Angeles skyline.
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