A JOINT venture of Yanlord Land Group has acquired two prime residential integrated development sites in Jingan District of Shanghai for 4.2 billion yuan (S$859.8 million), the property developer said in a bourse filing on Friday.

 

Yanlord entered into the joint venture with Huafa Industrial Co Ltd Zhuhai through an indirect wholly-owned subsidiary, and holds an effective interest of 30 per cent in the joint venture.

 

The sites are located in one of Shanghai' s core central districts and will be developed into high-end residential apartments, cultural institutions, offices and commercial developments. They have a total gross floor area of 79,699 square metres and were acquired via public land auction.

 

REAL estate developer Yanlord Land Group saw its contracted pre-sales from residential and commercial units as well as car parks more than double to 12.03 billion yuan (S$2.41 billion) in August, from 4.81 billion yuan a year ago.

 

Total contracted gross floor area (GFA) rose 75.6 per cent year on year to 280,819 square metres (sq m) in the same month, according to Yanlord' s unaudited key operating figures it released on Monday.

 

For the eight months ended August, contracted pre-sales were up 73.5 per cent on the year to 47.77 billion yuan, while total contracted GFA increased by 34.5 per cent to 1.3 million sq m.

 

The group, together with its joint ventures and associates, recorded a total of about 4.19 billion yuan of subscription sales as at end-August. These are expected to turn into contracted pre-sales in the following months, Yanlord said on Monday.

 

Five Chinese cities - Suzhou, Nanjing, Shenzhen, Shanghai and Hangzhou - were key contributors to the group' s contracted pre-sales in the first eight months of this year. They accounted for some 78.5 per cent of contracted pre-sales of the group, its joint ventures and associates for the eight months.

A JOINT venture (JV) of Yanlord Land Group has acquired a low-density prime residential development site in Kangqiao, Pudong New District of Shanghai for 4.5 billion yuan (S$0.89 billion).

 

Property developer Yanlord holds a 51 per cent stake in the JV, and its partner, Huafa Industrial Co Ltd Zhuhai holds the rest.

 

With a plot ratio of about 1.1 times, the site will be developed into a high-end, international community.

 

It has a total gross floor area of 91,346 square metres, and was acquired via public land auction. The site is about a 20-minute drive from Pudong Qiantan International Business District and World Expo, and half an hour from Pudong International Airport.

 

Zhong Sheng Jian, Yanlord' s chairman and chief executive officer, said: " This new land acquisition reiterates our confidence in the sustainable development of high-end residential market in first-tier cities."

 

He added: " The site is a clear site that we could commence construction shortly for pre-sale in next year to sustain the group' s continuous contracted pre-sales growth in the coming years."

 

For the half year ended June 30, 2020, Yanlord saw a 59 per cent fall in net profit to 492.9 million yuan from 1.19 billion yuan a year ago.

 

Revenue for H1 2020 increased 18 per cent to 9.12 billion yuan, from 7.71 billion yuan a year earlier, owing to the increase in gross floor area delivered to customers, which was partly offset by the decrease in average selling price per square metre, Yanlord said. Earnings per share stood at 25.52 RMB cents for the half year, down from 61.52 RMB cents in the preceding year.