Goldin Financial Holdings on Monday announced it would form a joint venture with its chairman to acquire land in Hong Kong and China through government tenders at a budget of HK$20 billion. In a filing to the Hong Kong stock exchange, the company said it would take a 60 per cent stake in the joint venture while chairman Pan Sutong holding the remainder. Pan was ranked the ninth richest person in Hong Kong in May, according to Forbes magazine, with a net worth of US$5.6 billion. “In view of the potential growth of the property market in Hong Kong and the mainland, the group has been actively identifying suitable land parcels for property development with a view to expand the business segment,” Pan said in the statement. In March, the company won a residential site in Ho Man Tin in Kowloon through government tender for HK$6.8 billion, or HK$10,889 per square foot. On a square footage basis the price was 10 per cent higher than a nearby site sold to Wheelock Properties for HK$9,875 per square foot in 2013. Total investment cost of the 97,700 square foot site in Ho Man Tin, which will provide total floor area of 586,000 square feet, is expected to exceed HK$10 billion, according to property consultants. “It is the group’s intention to increase its land reserve in Hong Kong as well as to step into the mainland property market in order to diversify its property development and investment portfolio and enhance its income base to generate long-term returns,” Pan said. The formation of the joint venture could help in future tenders when appropriate opportunities arise, the statement said. The business scope of the joint venture will be to take part in tenders for the acquisition of land and jointly undertake development once it successfully wins a government site, it said.