Hangzhou property developers see bull market after Alibaba IPO   

Alibaba Group rings the IPO opening bell at the NYSE on Sept 19, 2014. [Photo: China News Service]

(ECNS) -- Property developers in east China's Hangzhou city have become confident in sales for the near future despite a cooling property market nationwide, thanks to e-commerce giant Alibaba Group's minting of many new millionaires in the city.

Since the company started trading in the US last week, China's number of nouveau riche has swelled by about 10,000, as current and former Alibaba employees each hold shares worth an average $4.22 million, according to the Shanghai-based China Business News.

"Alibaba's IPO will save the luxury home market in Hangzhou," said prominent Chinese economist Jin Yanshi.

This group of potential buyers is rich enough to purchase the city's 1,143 townhouses that are for sale, all priced higher than 10 million yuan ($1.63 million), and the potential buyers may even outnumber the supply, the report said.

Inspired by an analysis report that said the company's senior executives prefer houses to luxury vehicles, the city's developers have already launched sales campaigns targeting the nouveau rich.

Several new housing billboards have been spotted along the road to Alibaba's headquarters. One reads: "For Alibabaers, who change the world."

Other businesses are also trying to cash in on Alibaba's luminaries. A local BMW salesman has even gone to the company offering cars painted with Alibaba's orange logo.