Ke Rui Property Management: The top 50 companies added approximately 53.38 million square meters of new contract area in February, and the scale of leading companies continues to expand.

Ke Ruirui Property Management released the top 50 Chinese property service companies with newly added contract area in February 2025. In February, the top 50 companies added approximately 53.38 million square meters of contract area, with 46.71 million square meters of third-party expansion scale. The scale of leading companies continued to expand. In February, the expansion enthusiasm of companies decreased, with a total of 482 projects expanded, an 8% decrease compared to the previous year. The top three business formats in third-party expansion scale this month were schools, offices, and residential properties, with schools accounting for 23.4%, offices accounting for 21.9%, and residential properties ranking third at 17.4%. In terms of urban service projects, the Jindi Wisdom Service project with a contract amount of 140 million yuan became the champion in the urban service project contract amount for February. This project is the urban management service project by the Longgang District Pinghu Street City Steward, with a service period of 3 years. In February 2024, the top 50 companies added approximately 53.38 million square meters of contract area, with the top 10 companies adding 32.61 million square meters, accounting for 61.1%. The China OVS PPT added the highest contract area of 7.61 million square meters this month. The competition intensity for top companies' expansion scale slightly decreased this month, with a 37.9% decrease in the top 10 threshold compared to the previous month, to 1.53 million square meters. Third-party expansion analysis 1. New total third-party project scale of 46.71 million square meters In February, 50 companies added a total of 46.71 million square meters of third-party expansion scale. Only 2 companies reached a total expansion scale of 5 million square meters, accounting for 28.9% of the top 2 expansion scales; 13 companies had expansion projects between 1 million square meters and 3 million square meters, accounting for 44.5% of the expansion scale; and the proportion of companies with expansion scale below a million square meters was 26.6%. In February, CHINA OVS PPT expanded 15 full commission projects, with a scale of 6.85 million square meters, leading other companies to rank first. SHIMAO SERVICES ranked second with a full commission project scale of 6.64 million square meters, and CHINA RES MIXC ranked third with an expansion scale of 2.93 million square meters. 2. Diversified business layouts, increasing popularity of school business formats According to monitoring data, the top three business formats in third-party expansion scale this month were schools, offices, and residential properties, with schools accounting for 23.4%, offices accounting for 21.9%, and residential properties ranking third at 17.4%. Industrial park projects accounted for 15.6%, while public construction, hospital, and commercial projects had scale proportions of less than 10%. Leading companies excelled in diversified business expansion. More and more property companies are expanding into non-residential business formats to enrich their service offerings and find new sources of profit growth. Leading companies have obvious competitive advantages in expanding into various business formats. This month, SHIMAO SERVICES had the largest expansion scale in office, residential, and commercial projects, with 1.12 million square meters, 1.54 million square meters, and 750,000 square meters respectively; CHINA RES MIXC had the largest expansion scale in industrial park projects at 1.98 million square meters; Mindset Property Company had the largest expansion scale in school business formats at 1.2 million square meters, far higher than other companies; POLY PPT SER performed best in public construction business formats; and Aimark excelled in hospital projects with an expansion scale of 480,000 square meters. 3. Jindi Wisdom Service project tops with 140 million yuan in February Looking at the top 10 urban service projects in terms of contract amounts for February, the total contract amount was 690 million yuan, accounting for approximately 88.8% of the total. Among these, the Jindi Wisdom Service project with a contract amount of 140 million yuan became the champion in the urban service project contract amounts for February. This project is the urban management service project by the Longgang District Pinghu Street City Steward, with a service period of 3 years. Analysis of business mergers and acquisitions The speed of industry mergers and acquisitions has slowed down, with 5 physical enterprise M&A events in February. RSUN SER: Intends to acquire parking spaces and equity in three property development companies from RSUN PPT RSUN SER announced that on February 17, 2025 (after trading hours), the company entered into a parking space transfer framework agreement with the seller, RSUN PPT Group Limited (01996). The company intends to acquire the property rights or use rights (as the case may be) of the target parking spaces for a total price of approximately 231 million yuan, subject to the terms and conditions of the parking space transfer framework agreement. The target parking spaces totaling 6,258 parking spaces are located in Jiangsu, Anhui, Sichuan, Jiangxi, Henan, Guangdong, and Hubei provinces in China. Individual transfer agreements for each project are to be concluded after completion, in order to confirm the actual situation. On the same day (after trading hours), Nanjing Hong Lifestyle (an indirect wholly-owned subsidiary of the company) separately entered into equity transfer agreements with Chengdu Hongyang Jinxing, Xuzhou Hongqi, and Nanjing Hongtai Puyang (all indirectly wholly-owned subsidiaries of the seller). Nanjing Hong Lifestyle conditionally agreed to purchase 70% equity of Chengdu Hongsheng and Ding Real Estate Development Co., Ltd., 20% equity of Suqian Tongjin Hong Real Estate Co., Ltd., and 19% equity of Jurong Jin Jiarun Real Estate Development Co., Ltd., together with all other assets, liabilities, and owner's equity attached to the aforementioned equity, at prices of approximately 142.4 million yuan, 73.95 million yuan, and 41.34 million yuan, respectively. SUXIN SERVICES: Acquires 51% equity of Jiangsu Lianyungang Port Port Maintenance Engineering for 23.766 million yuan On February 19, Su Xin Better Life Services Co., Ltd. announced that it successfully acquired 51% of the equity of Jiangsu Lianyungang Port Port Maintenance Engineering Co., Ltd. through public bidding, with a final bid price of 23.766 million yuan. SUXIN SERVICES stated that this acquisition is an important step for the company to comprehensively expand the market in Jiangsu Province. By integrating the business resources in environmental sanitation, greening construction, and municipal maintenance fields of the target company, it will further enhance its market layout in urban services and property management, and strengthen regional competitiveness. This acquisition will provide strong support for the company to gradually achieve its strategic goal of business expansion within Jiangsu Province, further consolidating the company's leading position in the industry.Position, achieve high-quality development, and create higher long-term value for shareholders.In February 2025, Ke Ruirui Property Management calculated the scale of internal conversion projects for property service companies based on the addition of presale area by affiliated development companies. The data shows that the top five companies expected to receive additional business from affiliates are CHINA OVS PPT, ONEWO, GREENTOWN SER, CHINA RES MIXC, and JINMAO SERVICES. These top 5 companies maintain a high conversion capability and have a high growth certainty. This month, CHINA OVS PPT ranked first with 760,000 square meters of business from affiliates, accounting for 34.3% of the business received by the top 3 property companies. There are 5 companies expected to receive between 50-100 million square meters of business from affiliates, accounting for 34.3% of the total area. The total scale of the top 50 companies receiving additional business from affiliates this month is 9.31 million square meters, a 9.4% decrease compared to the 10.28 million square meters in January.