Wendy Zhang/ Shanghai Daily news

The real estate industry in Shanghai will remain low for 1-3 years, predicted Zhang Hongming, director of the Real Estate Research Institute of the Shanghai Academy of Social Sciences, yesterday, as cited by today's eastday.com.
The government macro-adjustment policies have put a lid on nearly all the demands for investment and speculation in the real estate market, which is likely to result in 6 million square meters of unsold space this year. With unsold space of 3.95 million square meters at the end of last year, the total unsold space is expected to reach nearly 10 million square meters by the end of this year, touching the peaks recorded in 1996 and 1997, Zhang pointed out.
It will take at least one or two years for the market to adjust, so property developers should be patient, he suggested.
However, the actual demand for property in Shanghai and even China are great and the 2010 World Expo will also fuel the local real estate market, Zhang stressed, adding that developers should focus more on residential properties for the time being.