Investors from HK dominate Dalian
HONG KONG investors have been the major contributors of real estate foreign investment in Dalian, Liaoning province.
According to the official Dalian Real Estate Developing and Managing Office, about 60 per cent of foreign property investment was from Hong Kong.
The administrator of the office, Wu Xinhai, said foreign investment in the city's real estate market had reached 13.1 billion yuan (about HK$12.02 billion) in the past two years with 35 major projects.
He said the projects would take five years to complete and included Hong Kong developers.
New World Development Co has invested in two projects, each requiring at least $1 billion.
One is a comprehensive commercial and residential development project on a 1.39 million sq ft site, while the other includes a five-star hotel with 500 rooms.
Mr Wu said new real estate projects in Dalian would be concentrated in the Xinhai Bay zone.
The 200-hectare zone, with part of its land from reclamation, was intended for a new urban city that would take 10 years to build, he said.
The zone would be a financial and trading centre, a tourist spot and a residential area.
An official of the Xinhai Bay Zone Industrial and Development Corp said it had reclaimed 5.38 million sq ft of land and foundation work on 2.14 million sq ft of the land had started.
He also said it had leased out 721,188 sq ft of land to foreign investors, which netted 150 million yuan.
Half of the investment was from Hong Kong.
Meanwhile, the Dalian municipal government said it was cautious in striking a balance between demand and investor interests.
Officials predicted a surge in demand for office space in the next two years.