Property developers Yanlord Land Group (Z25.SI) and Ho Bee Investment (H13.SI) say they have jointly acquired a 13.69 hectares prime residential development site (B4-01) with a total planned gross floor area (GFA) of 246,487 square metre (sqm) in Qingpu District, Shanghai for RMB3.82 billion ($785 million) or an average purchase price of RMB15,498 per sqm in a public land auction.

The Qingpu land parcel is a joint acquisition between Yanlord through its subsidiary, Shanghai Yanlord Yangpu Property Co. and Ho Bee. Yanlord will have an equity ownership of 60% while Ho Bee will have a 40% ownership of the project.

Situated 5.5 km from the heart of the Hongqiao Commercial District which has been earmarked by the Shanghai municipal government to be the city’s financial, commercial and logistical hub servicing the Yangtze River Delta region, the Qingpu site rests on the city’s No. 2 metro line and benefits from excellent connectivity via the city’s comprehensive metro network as well as key thoroughfares and railways such as the Beijing-Shanghai and Shanghai-Hangzhou express rails.

Slated to be a key driver for Shanghai’s economic development, the Hongqiao Commercial District will also house the world’s largest integrated logistical nexus which consists of the Shanghai Hongqiao airport, the Shanghai Express railway network and the Shanghai metro network.