Ryoden Development will acquire a 750,750 square foot site in Luwan district, Shanghai, at a price of 154 million yuan (about HK$143 million) next week, says managing director Raymond Hu Liang-ming.
In addition, the company expects revenue of about HK$770 million from the sales of Shanghai's Gateway Plaza and Shanghai Square in August or September, he says.
Mr Hu said the land cost of the Luwan site was relatively low - at about 205 yuan per sq ft - for such a good location.
Development plans were not finalised but estimated construction costs would be 205 yuan sq ft for a high rise and 75 yuan sq ft for a low rise, he said.
The selling price would be 560 yuan sq ft for the high rise and 466 yuan sq ft when completed, he said.
The project would probably take one year to complete and the Shanghai government would finish the resettlement by next month, he said.