Qingdao, famed for its beer, beaches and German architecture, is undergoing a massive transformation as the coastal city prepares to host the sailing events for next year's Olympic Games.
The government of the 2.5-million-population city in Shandong province has spent 3.28 billion yuan to create the 45-hectare Qingdao Olympic Sailing Centre at Fushan Bay, reported Xinhua News Agency, including 1.78 billion yuan to move the Beihai shipyard.
When the Games are over, the site will become the country's sailing base, with entertainment, leisure activities and water sports.
Jeff Weidenborner, founder and managing director of Sienna Commercial Qingdao Realty Advisors, says the 'Olympic factor' has been positive for the city, with heavy investment in infrastructure projects.
In addition to rebuilding its airport and main train station, Mr Weidenborner says the construction of the 35.8km Qingdao Bay Bridge, set to open next year, and a tunnel under the bay scheduled for 2010, will open up the city. Qingdao boasts 870km of coastline (including islands) and covers seven urban districts and five county-level satellite cities. About eight million people live in the area.
'Investors are catching on that Qingdao is a good place to be because there are some good opportunities, especially for the high-quality market, and that's in any of the sectors - industrial, office or residential,' says the New Yorker.