The development will be the third project underway in the Baqiao District
China Housing & Land Development, Inc. has signed an agreement detailing investment plans with Xi’an’s Baqiao district government for the acquisition of land use rights for 107-acres of land in the 487-acre development project.
China Housing currently has two residential projects underway in the Baqiao District. This third project will bring the total to 1.65 million square meters of gross floor area. China Housing agreed to pay RMB500 million (US $75 million) in installments over the next two years for rights to the land. According to the statement, “The Company intends to develop mid-upper income residential and commercial units on the site with an estimated GFA of 630,000 square meters. The project is located in a mature commercial community surrounded by a subway station, a key high school, and a major shopping mall that are currently under development. The development period of the project is expected to begin in the third quarter of 2012 and is estimated to last approximately five years. The Company anticipates that this new development project will generate revenue of approximately RMB4.3 billion (US$646 million) and net income of approximately RMB700 million (US$105 million) over the life of the project. China Housing will be responsible for the development of the park and the cost of the park development will serve as part of the land acquisition payment. The park is scheduled to commence construction in the fourth quarter of 2011. Development of the park is expected to last one year. Once completed, the ownership of the park will be transferred to the local government.”
"We are pleased to add another high profile project to our development portfolio. This project will be financed mainly through internally generated funds and bank loans and our payment installment plan with future banking institutions will allow for stabilized cash flows during the development of this project,” said Pingji Lu, the Chairman of China Housing. “This new project is situated in a vibrant location with developing subway, residential, commercial and education facilities nearby. With two other projects in the Baqiao district, we are pleased to broaden our strategic scope in... Hello my brilliant Construction aficionados be sure to read the rest at :
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