Singapore-based City Development Ltd (CDL) has partnered with Chinese company Lianfa Group to acquire a mixed-use development site in downtown Shanghai for RMB8.94bn (€1.2bn).
CDL’s subsidiary Chenghong Shanghai holds a 51% controlling stake in the partnership with the remaining 49% equity interest in the joint venture held by a subsidiary of Lianfa.
Located in the core and mature Xintiandi area in Shanghai’s Huangpu District the mixed-use development site spans 27,994sqm.
Sherman Kwek, CDL’s group chief executive officer, said: “The acquisition of this rare development site in Shanghai’s famous Xintiandi area represents the group’s confidence in China’s long-term growth prospects.
“We are enhancing our presence in this dynamic and populous nation by targeting iconic placemaking opportunities in key Tier 1 and Tier 2 cities. On the back of our acquisition in Suzhou last year, securing this prime plot of land in Shanghai helps to further replenish our residential land bank in China.”
The future development on the 76,027sqm site will include a 102-story residential tower which will take up to 77% of the gross floor area, with at least 19% allocated for commercial purposes, including retail and a boutique hotel.
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