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Record price for land near Shanghai Disneyland project
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By E. Jacqui Chan of theedgeproperty.com
Friday, 06 November 2009 18:29 Bookmark and Share

KUALA LUMPUR: A few short hours following the approval of the Shanghai Disneyland project in Pudong New Area by the Chinese government, a parcel of land in Chuansha, 3 km from the proposed Disneyland site was sold for 14,024 yuan per sq m, exceeding average apartment prices in the area which ranges from 8,000 yuan per sq m to more than 13,000 yuan, according to a report in Shanghaidaily.com.

Referring to a statement posted on the Shanghai Urban Planning, Land and Resources Administration Bureau website, Shanghaidaily.com reported that the Xiamen Xiangyu Group paid.1.19 billion yuan (US$174.3 million) for the 56,570 sq m land slated for residential development. More than 60 developers have expressed their interest with 17 companies ultimately vying for the land, said the bureau.

The limited supply of land here may also have contributed to the record price. The parcel sold to Xiamen Xiangyu was the only one offered for residential use since 2005, a researcher at Shanghai Centaline Property Consultants Ltd.

The direct impact if Disneyland will be on the retail sector with prime retail areas such as Nanjing Road E and the Bund to be major beneficiaries while home prices are expected to be stable as they are already very high, according to industry analysts quoted in the report.

Xiamen Xiangyu Group is a state-owned enterprise, serving as the development and operation service provider for Xiamen Xiangyu Bonded Area, Xiamen Modern Logistics Zone and Xiamen Dadeng Cross-Strait Petty Commodities Trading Market and as part of its future development, the group is building its brand of Xiangyu Construction for land development, infrastructure construction and real estate development.

 

 

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