As China’s real estate downturn deepens and debt risks continue to mount, Vanke, one of the country’s largest property developers, now finds itself in hot water over its top executive. Yu Liang, Vanke’s former chairman and executive vice president, is reportedly “out of contact” and may have been placed under investigation, according to mainland Chinese media.
Reports from state outlets including “Guancha” and “Caixin” indicate that Yu, who turned 60 late last year, resigned from his positions as Vanke director and executive vice president on Jan. 8. The company stated in an official announcement that Yu stepped down due to retirement upon reaching the mandatory age.But speculation has continued to swirl that the move may be linked to an ongoing investigation.
China’s real estate sector has been under sustained pressure for several years, following a prolonged property downturn marked by falling home sales, tightening credit, and mounting developer defaults. The crisis first came into sharp focus with the collapse of China Evergrande Group, whose debt implosion sent shockwaves through financial markets and exposed systemic risks across the industry.
RELATED: China’s Housing Crisis Deepens as Negative-Equity Mortgages Surge
Since then, other major developers, including Country Garden, have also faced liquidity strains, project suspensions, and restructuring pressures, eroding investor confidence and prompting closer scrutiny of balance sheets, governance, and capital flows throughout China’s once-booming property sector.
Yu unreachable
Success
You are now signed up for our newsletter
Success
Check your email to complete sign up
According to people familiar with the matter, Yu Liang has allegedly been unreachable for nearly two weeks. Observers noted that for more than two months prior to his resignation, Yu had been highly active on WeChat (a popular blogging and social media app in China) frequently liking videos on a daily basis. That activity abruptly stopped the day after his resignation.
Sources close to Vanke said internal discussions suggest that Yu may have been asked to cooperate with an investigation shortly after stepping down, though no official confirmation has been issued.
RELATED: Asia’s Wealthiest Woman Loses $12 Billion in China’s Real Estate Crisis
Yu Liang is a Peking University graduate who joined Vanke in 1990 and became one of the company’s most influential figures. In 2017, he succeeded Wang Shi as chairman of the board, a role he held until January 2025, when he was replaced by Xin Jie, then chairman of Vanke’s largest shareholder, Shenzhen Metro Group.
Following that leadership change, Yu transitioned to the role of executive vice president. However, Xin Jie himself resigned just nine months later, adding to the sense of instability at the top of the company.
Management team under scrutiny
For years, Yu Liang worked closely with Zhu Jiusheng, Vanke’s former president and a key figure behind the company’s financing and capital operations. Zhu, who came from a banking background, resigned as president in January 2025. By October, market rumors suggested that coercive measures had been taken against him.
RELATED: From Industrial Heartland to Economic Void: Why China’s Northeast Is Vanishing
Since then, industry observers have repeatedly speculated that Yu Liang could also be at risk, especially as scrutiny intensified around Vanke’s financial practices.
As China’s property market deteriorated, Vanke’s employee co-investment program, championed by Yu, came under criticism after many employees failed to receive expected returns. Combined with Vanke’s expanding debt burden, the program fueled broader doubts about the company’s capital strategy and risk management.
The rumors surrounding Yu’s disappearance come at a particularly sensitive time. Vanke is currently navigating a critical phase in its debt restructuring efforts.
Temporary relief on the debt front
On the evening of Jan. 27, Vanke announced that it had successfully extended the maturity of two bond obligations totaling RMB 5.7 billion (approximately USD $790 million). In addition, its largest shareholder, Shenzhen Metro Group, plans to provide RMB 2.36 billion in shareholder loans to support debt repayment.
The announcement offered a measure of short-term relief to both the company and the market, though analysts caution that structural risks remain unresolved.
Yu Liang’s reported loss of contact, if confirmed, would mark yet another high-profile case of a senior corporate figure becoming ensnared amid China’s tightening regulatory and political environment, particularly in the embattled real estate sector.
As Beijing continues to grapple with systemic debt risks, the fate of Vanke’s former chairman is being closely watched as a potential indicator of how far accountability may extend within China’s once-dominant property giants.
