In 2025, China’s real estate industry has been undergoing a deep cleansing this year, with frequent changes in top leadership and investigations into controlling shareholders of real estate companies. Several major mainland real estate companies have seen top executives resign one after another.
Recently, Jiangsu JinXinCheng Property Services Co., Ltd. announced that one of the company’s actual controlling persons, Xu Peixin, is under compulsory measures by the Pudong Sub-bureau of Shanghai Public Security Bureau for investigation.
According to Tianyancha, JinXinCheng Property Services Co., Ltd.’s controlling shareholder is JinXinCheng Property Group Co., Ltd., with Xu Peixin and his wife Li Jin holding 100% of the shares of JinXinCheng Property.
Public records show that JinXinCheng Property Group was founded in 2002, headquartered in Zhangjiagang, and started as a regional real estate company in the Yangtze River Delta before expanding nationwide. Since 2018, they have ventured into Guangdong, Hunan, Tianjin, and acquired numerous real estate projects.
Before Xu Peixin’s investigation, several private real estate company controlling shareholders had been investigated or detained this year.
On January 20, Zhengrong Real Estate Holdings Co., Ltd. announced that its controlling shareholder Ou Zongrong was under compulsory measures for suspected illegal activities.
On August 22, Taihe Group announced that Chairman and General Manager Huang Qisen was detained by the Supervisory Committee of Xinmin City, Liaoning Province, for suspected illegal activities.
In addition to private real estate company controlling shareholders, several executives of state-owned real estate enterprises have also been investigated recently.
On September 28, Huang Guoxian, the former Party Secretary and Chairman of Foshan Construction Development Group Co., Ltd., was investigated for serious violations of discipline and laws.
On August 11, Chen Wei, Deputy General Manager of Shanghai Guosheng (Group) Co., Ltd., was investigated for serious violations of discipline and laws.
On August 6, Shan Junwei, former General Manager of Beijing Wangfujing Property Investment Co., Ltd., was investigated for serious violations of discipline and laws.
This year, many real estate executives have also resigned abruptly for various reasons.
On October 13, Vanke Corporation announced on the Hong Kong Stock Exchange that Chairman Xin Jie resigned as a non-executive director and chairman for personal reasons.
On October 1, Huafa Group announced that Zhang Wei no longer serves as Executive Vice President for personal reasons. In June, Huafa Group also announced that Zhang Yanshen resigned from the 10th Board of Directors, as Executive Vice President, and all positions in affiliated subsidiaries.
On March 27, Green City China announced on the Hong Kong Stock Exchange that Zhang Yadong resigned as Executive Director and Chairman of the Board due to work arrangements.
Reports from the First Financial on October 28 revealed that the real estate industry has seen frequent upheavals in top leadership positions this year.
An industry insider commented that the investigations into several real estate company controlling shareholders or executives have exposed violations such as irregular financing, fund embezzlement, project manipulation, and debt evasion in the current real estate sector.