With the development of urbanization, natural sandy beaches are becoming increasingly scarce resources. At the same time, the demand for high-quality sandy beaches from developers and the public is increasing. Therefore, investment in sandy land, especially high-quality natural sandy beaches, has increasingly become a hot investment direction. Below we will analyze the investment value of sandy land from several dimensions.
Unique geographical advantages of seaside sandy land
Seaside sandy land has unique geographical location advantages. It is close to the sea and is a scarce resource that cannot be expanded. Especially in the first-tier cities with rapid economic development, seaside sandy land has become popular real estate. Once the policy is loosened, the value-added space is huge. For example, Sanya’s seaside land policy was loosened in 2018, driving housing prices in Sanya to rise, with some projects doubling in price within a few months.
High premium capability of seaside holiday properties
In addition to geographical scarcity, sandy seaside lands also have unique holiday property attributes. The sand and sea views form the stereotype of seaside holiday. Therefore, the housing types developed on seaside sandy land have extremely strong premium capabilities. For example, the average selling price of housing in Sanya’s Haitang Bay reached 80,000 RMB/square meter, far exceeding the average selling price of only 20,000 RMB/square meter for most regions of Sanya.
Wide development prospects of sand resource projects
In addition to investing in coastal sandy land, the investment value of inland high-quality sand resources should not be ignored. With the development of infrastructure and real estate, the demand for high-quality sand resources is increasing. Market-oriented trading of sand mining rights is being promoted nationwide. The projects invested in high-quality sand resource mines have broad development prospects. The sand mine investment can obtain income from both sand sales and asset appreciation.
Promising future of sand resource stocks
Public sand mining companies provide another investment channel for sand resources. Leading sand mining companies generally have abundant sand resources reserves, advanced sand treatment technology and equipment, and leading market share. With the soaring demand for sand resources, they are expected to achieve continued revenue growth and valuation gains. Investors can research and configure individual stocks or ETFs in the sand mining industry for long-term investment.
Risks factors in sand investment
Of course, investment in sand resources also has risks. Coastal sandy land investment may face land acquisition and development risks. Inland sand mining companies face risks such as resource depletion and policy changes. Investors need to be aware of environmental protection and other policy factors that may affect sand mining. Diversified investment is recommended to effectively circumvent risks.
In summary, investment in coastal sandy land and quality sand mining companies has promising prospects. Investors need to deeply research specific projects, fully assess risks, and rationally configure assets.