China’s Gemdale wins bidding for Shanghai residential site
Shanghai-listed developer Gemdale won a residential site in Jiading, Shanghai for a record price in terms of per square metre in the district.
Through government tender, the site, adjacent to the Jiading New Town subway station, was awarded to Gemdale for 2.01 billion yuan, about 96 per cent higher than the floor price. The site has attracted 16 bidders, including Gemdale.
The price tag translates into 18,680 yuan per square metre which is a record in the area.
Surveyors expect the winning developer would have to offer the unit for about 30,000 yuan per sq metre in the future in order to make a reasonable profit.
At present, flats in the area go for 20,000 yuan to 24,000 yuan per sq metre.