Logan Property pays US$1.63 billion to refresh Shenzhen’s real estate price record with furious bidding in Qianhai district
- Logan Property Holdings has paid 11.6 billion yuan to surpass its own price record for the most expensive residential land parcel in Shenzhen’s Qianhai financial district
- The price tag translates to 63,126 yuan per square metre, or HK$6,704.89 per square foot
Logan Property Holdings, the record holder for the most expensive land bought in Shenzhen, surpassed itself by forking out 11.6 billion yuan (US$1.63 billion) for a plot that can yield 183,000 square metres (1.97 million square feet) in gross floor area, topping the reserve price by 45 per cent.
It took the bidders a mere six minutes in three furious rounds to reach the record price, and another 30 minutes for Shenzhen’s hometown developer Logan to outbid 15 other potential buyers with the biggest offer of land set aside for subsidised housing.
The price tag, at 63,126 yuan (US$8,888) per square metre , refreshes the record for the Qianhai financial district in Shenzhen, 10 per cent more than the 57,886 yuan mark set in December 2019. Developers are rushing into this area, ahead of stimulus measures and incentives expected next week during China’s legislative meetings to spur the development of the GBA, of which Shenzhen is a part.
“Shrugging aside the downward pressure of prices [in the housing market], developers are still quite keen to pay large amounts and high premium rates to get land with good potential,” said Yan Yuejin, director of the E-house China Research and Development Institute. “We will continue to see heat in the home market and in land sales in the cities with the most promising future and most favourable policies, such as in Shenzhen, and in districts like Qianhai.”