** Shares of Chinese property developers rise following report of regulators working on proposal to relax homebuying curbs

** Chinese regulators are working on a proposal that would allow mega cities such as Shanghai and Beijing to relax restrictions for non-local buyers,

Bloomberg News reported

on Thursday

** Hong Kong shares of housing transaction platform operator KE Holdings surge 5.7% to HK$40; top pct gainer in Hang Seng Mainland Properties Index

** Its U.S.-listed shares jumped 8.4% on Thursday

** Yuexiu Property adds 0.5%, China Overseas Land

rises 2.3% and Longfor Group gains 3.9%

** Hopson Development climbs 0.6%, China Resourcess Land rises 2.4%, China Vanke up 2.8%, Sunac jumps 4% and Midea Real Estate soars 9%

** CSI 300 Real Index rises 1.3%, Hang Seng Mainland Properties Index jumps 2.5%, index tracking properties and construction stocks rises 1.9%

(Reporting by Donny Kwok)

((donny.kwok@thomsonreuters.com))