Shanghai-listed Poly Real Estate Group has acquired a commercial-residential site in Tianjin for 905 million yuan, reflecting its confidence in the mainland property market despite the latest austerity measures from the central government.
The second-largest listed mainland developer yesterday announced that the company had bought a 304,600 square-foot commercial-residential site in suburb of Tianjin.
The site, in the city's Wuqing district, could be developed into a commercial and residential project with education facilities, the company said.
The project will provide a total saleable area of 725,700 square metres, with 98 per cent of the area devoted to residential use. Under the land lease, the government must build secondary and primary schools with a total gross floor area of 32,000 sqmetres.
Property agents said residential buildings would be limited to seven storeys.
Terence Yip Wing-keung, a general manager at the Tianjin office for Centaline (China), said the site was fairly priced with an accommodation value - the land price in terms of total planned floor area - of 1,247 yuan per square metre.
The selling price for flats in the same district ranged between 4,000 yuan to 5,000 yuan a square metre, he said.
