Hong Kong’s biggest developer Sun Hung Kai has invested up to 30 billion yuan towards 10 projects in the Greater Bay Area
- A fifth of the budget will be committed toward a project in Guangzhou city’s Nansha district, where a 250-metre office tower will be built
Sun Hung Kai Properties, Hong Kong’s largest developer by value, said it had already invested up to 30 billion yuan (US$4.45 billion) toward 10 real estate projects in the “Greater Bay Area”.
A fifth of that budget will be spent on its first commercial project in the Nanshan district in Guangzhou city, featuring two office towers of 2.36 million square feet, a shopping centre with 860,000 sq ft and 210,000 sq ft in a transport terminal for long-distance buses.
“Nansha will transform into an innovation and technology centre. We are in talks with Hong Kong Science and Technology University to set up incubation centres in the Nansha development,” said the developer’s executive director Adam Kwok Kai-fai when he unveiled details of the Nansha project in Guangzhou.
Developers had been investing heavily in the Greater Bay Area, betting that the 11 southern Chinese cities – including Hong Kong and Macau – will be the future growth driver, with a combined population of 55 million people and US$1 trillion in economic output.
“Demand for commercial space will increase as improved transport within the GBA accelerates the movement of people,” said Clement Leung, executive director and head of China valuation and advisory of Knight Frank.
SHKP paid 260 million yuan in May 2018 for the first of its Nansha land plots, and then bought a second parcel in February for 1.19 billion yuan after the central government announced the detailed plans for the area on February 20. One of the two offices in Nansha will stand 250 metres (820 feet), featuring 60 stories when the whole project is completed by phases from 2023, said SHK’s China general manager Sam Lai.
