China Overseas Land & Investment will group its construction business and mainland investments into two new subsidiaries with a view to spinning them off for separate listings. The building subsidiary, China State Construction (Hong Kong), was recently established, while the subsidiary for mainland infrastructure and industrial real estate projects is yet to be formed. Chairman Sun Wenjie said the establishment of China State Construction would consolidate the company's construction business and speed up the pace of projects. 'As the enterprise grows, spinning off is inevitable,' Mr Sun said, adding that when the subsidiaries would list depended on the market. Mr Sun said the infrastructure and real estate businesses, which were more stable income generators, would account for 30 per cent of the company's annual revenue. The company last month said it had acquired the rights to manage four bridges and a road for 15 years in Nanning, the capital of Guangxi province. Total investment for the projects is about $585 million. Mr Sun said the group was negotiating over 'a few' projects and if successful, it would have $21 billion worth of contracts on hand. He said it completed projects worth $7.5 billion last year, of which $455 million was in Hong Kong. Mr Sun said China Overseas had an investment portfolio of a million square feet of gross floor area, which would grow to 1.5 million sq ft this year. He said several solely invested property projects would be put on sale this year. Residential properties would include Royal Camellia in Yuen Long and Ho Man Tin Garden, and the commercial-residential Treasure Plaza in Ma Tau Wai Road.