London-listed Hongkong Land has bought 57 acres of land in Shanghai for US$4.4bn (£3.4bn) to develop a major mixed-use scheme.
The land on the West Bund of Shanghai has been bought from the government and is expected to complete in multiple phases by 2027.
Hongkong Land said the deal was in line with its long-standing strategy to acquire prime sites in key gateway cities across Asia.
The site will allow for the development of an 11m sq ft scheme comprising grade-A offices, retail, residential and hotels. The term of the land use rights is 40 years for retail and hotel purposes, 50 years for office purposes and 70 years for residential purposes. Hongkong Land said that 24% of the accountable gross floor area was able to be developed for sale.
The group said it is considering a range of funding options but that it had sufficient liquidity to purchase the land without seeking to raise cash from shareholders.
Hongkong Land owns and manages more than 9m sq ft of prime office and luxury retail property in key Asian cities, principally in Hong Kong, Singapore, Beijing and Jakarta.
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