NAM Fong International, the Hong Kong development group, will this week release the first stage of a $5 billion residential development to raise funds for construction of a project that will transform an old district of Guangzhou.
More than 2,000 households and 300 shops were demolished and residents relocated at a cost of $700 million to make way for the Liwan Plaza shopping centre and eight luxury residential towers.
The 30-storey towers, to be connected to the first phase of an underground rail system, will add 1,600 apartments to this run down area of Guangzhou.
The Guangzhou government has made available the 485,000-square-foot site, while the developer has supplied the funding. About 7,000 people were cleared from the area.
A local government official for the Guangzhou Land Bureau said the original residents had received financial compensation from Nam Fong and had been relocated to new homes.
In Guangzhou, government regulations protect residents forced to vacate a redevelopment area. The developer may offer financial compensation, provide residents with housing elsewhere, or be relocated temporarily during construction.
