New World China Land Limited (“NWC” or “the Company”) announced its acquisition of a 65% stake in Guangzhou Yaosheng Property Development Ltd. for RMB 4.849 billion, and its partnership with Guangzhou Metro Group Co., Ltd. (“Guangzhou Metro”) to develop a new project at Hanxi Changlong, Guangzhou. As the flagship mainland China property arm of New World Development Company Limited (“NWD” or “the Group”; Hong Kong stock code: 0017) , NWC continues its southward extension along Guangzhou's new central axis and is developing a project in Panyu for the first time, the latest in a series of the Company’s landmark mixed-use development projects in the Greater Bay Area, including Guangzhou Chow Tai Fook Finance Centre (East Tower), Zengcheng Comprehensive Development Project, Qianhai Chow Tai Fook Finance Tower, and Prince Bay Project.
The Hanxi Changlong land site is situated atop the interchange station between Line 3 and Line 7 of the Guangzhou Metro as well as the Foshan–Dongguan intercity railway, and provides convenient links with Zhujiang New Town Central Business District, Guangzhou South railway station and Guangzhou Baiyun International Airport. The project covers a total land area of approximately 70,000 square metres with a gross floor area of approximately 290,000 square metres. The site is earmarked for construction of a business and entertainment/sports complex aimed at commercial, office and residential uses, while the ratio of residential units accounts for no more than 50% of the entire project of which the total investment amount is projected at over RMB 10 billion with an expected completion date is 2022. With convenient links to the city’s major landmarks such as the Guangzhou South railway station, Guangzhou Yayuncheng and Changlong Hanxi Wanbo Trade and Tourism Centre, this project site is ideally positioned at the nexus of southern Guangzhou, the part of the city which is always associated with a massive flow of traffic, goods, people and information.
A strong advocate for “The Artisanal Movement”, the brand personality of the Group, NWC will fully leverage the geographical advantages of this project. Adhering to its new motto - “Soul of the City”, the Company will continue playing an active role in urban settings, applying accountability and artisanship, for the purposes of discovering and meeting people’s different needs, giving each and every city a new soul, and building happy and lively communities. The project will set a new benchmark for smart commercial/residential complexes in southern Guangzhou and will help upgrade facilities around the area. NWC has been a strong player in business diversification and integrated operations. In terms of synergy, resource sharing and partnership, this project will prove to be a win-win for both the Company and the Guangzhou Metro, whose years of experience in subway construction, operation and management will be an invaluable asset.
As one of the major players in the mainland property market, NWC has devoted itself to the Greater Bay Area initiative and is playing an active part in its multi-pronged development. According to Dr. Adrian Cheng, Executive Vice-chairman and General Manager of NWD, “The Greater Bay Area will be the Group’s top priority for the next five years. We will invest around RMB 15 billion into this grand project.” Dr. Cheng’s words struck a responsive chord with Dr. Henry Cheng, Chairman of NWD, who is always optimistic about the prospects for China’s economic growth and vows that the Group will continue to invest in mainland property projects. NWC has complete confidence in its development plans in China, and is working on revised marketing strategies to stay focused on new growth opportunities in the Greater Bay Area, as well as in other first- and second-tier cities.
Similar to the Guangzhou Chow Tai Fook (East Tower), Zengcheng Comprehensive Development Project, Qianhai Chow Tai Fook Finance Tower and Prince Bay Project, the Hanxi Changlong project represents another firm promise made by NWC to ramp up its investment activities in the Greater Bay Area and the mainland property market in general. As an experienced operator in urban environments, NWC is dedicated to the development of the Greater Bay Area by tapping into its own heritage and artisanship.