Han Cheng Fong, the former CEO of Fraser & Neave (F&N) and DBS Land is set to venture into a new mixed-use project in Yinchuan, China.
The 1.3 million sq m development (pictured) will comprise of residential units (80 percent) including low and high-rise apartments, bungalows and terrace houses, while the remaining 20 percent will be used for commercial purposes.
Han will put an initial investment of 150 million yuan (S$29.5 million) into the project. His company, Brilliance International Investment, will hold a 40 percent stake in the development while Chuan Zhong Tuo Property Holding and Chang He Investment will take 40 and 20 percent respectively.
The first phase – comprising shops, an entertainment centre and 2,200 residential units are expected to achieve a market value of more than two billion yuan. Construction will start by year-end and is scheduled to be completed in two years.
Meanwhile, phases two and three, which comprise of 6,000 residential units are set for completion in the next five to seven years.
“We think this is (the) right time to go in, when the market is showing signs of turning and we have also negotiated a reasonably good deal, which is attractive to the government for what we can do, and attractive for us as the price should bring us a good return,” said Han, who expects to see 30 to 40 percent gross profit for the entire project.
His first development was in Chengdu – a five-star hotel and four-unit offices with a shopping podium.
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