Dynasty Court launch to test interest in Shenzhen CBD
The launch of Dynasty Court in Futian, Shenzhen, will be the first indicator of the interest of mainland and overseas home buyers in the new central area of the city.
China Overseas Land & Investment, a mainland-backed company, plans to market its mass housing project next month. It is the first major development to be released among the residential blocks in the district, known as Shenzhen Centre Area.
Tse Wai-leung, director of property consultants Francis Lau & Co (Surveyors), said sales response would be a barometer for the district.
As the district had attracted major developers, the sale would draw attention from both mainland and Hong Kong buyers as well as developers, said Mr Tse. The response was expected to be encouraging because of the quality of the project and the good planning of the district.
The Shenzhen municipal government plans to transform the special economic zone, in western Futian, into the city centre.
The district, covering 413 hectares, is planned to provide jobs for 260,000 people and housing for 77,000.
It will include new government offices, a museum, a cultural centre, a science museum and Chinese and botanical gardens. An underground railway will extend to the area. The first phase will be in operation in 2003.
About 100 hectares of land have been designated for residential use.
Chen Yixin, a government official in charge of planning the area, said most sites zoned for residential use had been sold to developers, including big names such as China Overseas and Hutchison Whampoa. Kerry Properties also planned to get a foothold there.
Ms Chen said Hutchison was the largest developer, with plans to build about four million square feet of floor space.
Wang Lianyin, executive director of China Overseas' wholly owned subsidiary China Overseas (Zhong Guo), said he was optimistic about the sale of Dynasty Court, which provided 981,568 sq ft of housing space. The company had invested 600 million yuan (about HK$559.68 million) in the project.
He did not reveal pricing for the approaching sale but said the market price was about 650 yuan to 743 yuan per sq ft.
Peng Yuancai, deputy general manager of Shenzhen Real Estate Exchange Centre, said supply of new units in the centre and the area nearby was estimated at as much as 40,000 units.
This was in line with estimated demand.
He said affordable pricing should range between 557 yuan and 650 yuan per sq ft.
