Adding on to their largest integrated development in Chongqing, CapitaLand will now also have a $1.2 billion site under their belt.
Major developments from Singaporean developers in China
This comes soon after news about Brother Holdings developing a Singapore City in the border town of Dandong, Liaoning. Singaporean property developers are growing bolder in their forays into the Chinese real estate market.
CapitaLand has just acquired a company that owns a 32 hectare prime mixed-use site in Chongqing. The properties of this Chongqing Xinpaifang site are valued at 5.7 billion yuan and CapitaLand is paying a total amounting to 2.2 billion yuan (S$459 million).
The massive site includes undeveloped land (greenfield sites) and developed land that is largely unused (brownfield sites). The former can potentially yield 1,900 residential units and a shopping mall sized at 335, 000 sq m while the latter, up to 223 residential units and 100,000 sq m of office and retail space. Most of the properties on the brownfield site will be completed in 4 to 5 years’ time.
Before this acquisition, CapitaLand has already gained a great deal of sales momentum from Raffles City Chongqing, an integrated development where 90% of the 500 apartments launched have been sold.
Chongqing a gateway to South-west region of China
Chongqing is one of China’s fastest-growing cities with strong investment potential. And as part of Chongqing’s free-trade zone, the Xinpaifang district is not one local and foreign investors are unfamiliar with. It is considered a mature residential and commercial zone in the Liangjiang New Area and the first national-level development area in inland China.
Raffles City Chongqing and this new site are both near the Guanyingqian and also the Jiefangbei Central Business Districts. The Jiangbei International Airport is also just a 20-minute drive away. This new site is also connected to the Sports Park metro station which serves 3 lines.
In terms of residential population, about 600,000 high-income residents live within a 3km radius of the site and it is situated in an already well-established residential enclave.