(16 Jan 2017 – Hong Kong) China Aoyuan Property Group Limited (“Aoyuan” or the “Company”, Stock Code: 3883), a renowned property developer in China, is pleased to announce that the Company has acquired a quality commercial and residential land parcel in Yangzhou of Jiangsu for a total consideration of approximately RMB1.29 billion through land auction, as well as a 60% equity interest of a quality commercial project in Zhuhai of Guangdong for a total consideration of RMB830 million. 

 

The Yangzhou project has a total GFA of approximately 300,000 sq. m., representing an average land cost of approximately RMB4,318 per sq. m. Well located in Hanjiang District, Yangzhou, the project is in close proximity to Slender West Lake, a UNESCO World Cultural Heritage site and a national 5A tourism site. It enjoys convenient access to transportation as well as comprehensive amenities. Yangzhou, located in the east of Nanjing, is a major city in the Yangtze River Delta metropolitan region with a long history and rich tourism resources.  In recent years, Yangzhou’s economy has seen robust growth which is driven by the development of High-tech and modern services industry.

 

The Zhuhai project has a total GFA of approximately 206,000 sq.m., representing an average land cost of approximately RMB4,054 per sq. m. Located at the Zhuhai Bonded Area, the project is in close proximity to the Zhuhai Hengqin Free Trade Zone and Shizimen Central Business District. Following the development of the Hengqin Free Trade Zone and Shizimen Central Business District as well as the completion of the Hong Kong-Zhuhai-Macao Bridge, the Zhuhai Bonded Area enjoys immense development potential. 

 

Aoyuan management commented: “In 2016, Aoyuan replenished its land reserve in Guangzhou, Foshan and Sydney, Australia, etc., and also established footprints in new cities such as Shenzhen, Chengdu and Ningbo. The distribution of landbank in first-tier and second-tier cities is continuously increasing. Aoyuan has a well-established project team in the Yangtze River Delta region which has exceeded its sales target for years on Kunshan and Jiaxing projects. The acquisition of Yangzhou project will create synergy with our existing projects, further reinforcing the Group’s strategic layout in the Yangtze River Delta. Since entering into the Zhuhai market in 2015, Aoyuan has achieved excellent sales performance and gained market recognition. The acquisition of Zhuhai project will help Aoyuan to further develop the Zhuhai market and optimize the strategic layout in the Pearl River Delta. Looking forward, Aoyuan will maintain its diversified land acquisition strategy so as to facilitate its sustainable business development, thus delivering excellent returns to its shareholders and investors.”