City Developments’ mixed-use development site in the Xintiandi area of Shanghai’s Huangpu District is “progressing well”, says Kwek Leng Beng, CDL’s executive chairman, in Shanghai on Sept 12.
CDL had jointly acquired the mixed-use site, measuring 27,994 sqm, in downtown Shanghai in November 2024 for RMB8.94 billion or $1.66 billion with its Chinese partner Lianfa Group. CDL’s subsidiary, Chenghong Shanghai, holds a 51% controlling stake in the joint venture (JV) acquisition, amounting to RMB4.56 billion. The remaining 49% equity interest in the JV is held by a wholly-owned subsidiary of Lianfa Group.
Kwek, who was in the Chinese city in his capacity as executive chairman of Hong Leong Group, noted that Shanghai has “evolved into a truly international metropolis with a strong global presence.”
He adds that the group, being a long-term investor in China, remains “confident” in its “resilience and strong fundamentals”. Hong Leong Group entered the Chinese market in the 1980s with its first property being the Holiday Inn Harbourview Xiamen. The hotel is now known as Millennium Harbourview Xiamen under CDL’s hospitality arm, Millennium Hotels and Resorts, which manages several of the group’s hotels throughout the country.
“We see abundant opportunities to deepen our presence, advance sustainable development initiatives, and contribute meaningfully to Shanghai’s ongoing transformation,” says Kwek.
Such opportunities include taking part in Shanghai government funds with proceeds disbursed to companies within the high-tech, innovation framework or with global consumer connections, says the Hong Leong Group in its Sept 12 release.
See also: China perspectives
During his time in Shanghai, Kwek met Shanghai Party Secretary Chen Jining on Sept 9, who encouraged Hong Leong Group to increase investments and deepen cooperation across Shanghai’s key business sectors. This was the first meeting between Kwek and Chen.
“As urban renewal, industrial transformation, and technological innovation quicken pace, there are expanding opportunities for both foreign and domestic enterprises to develop the city,” says Chen.
A team from Temasek Holdings comprising chairman Lim Boon Heng, deputy chairman Teo Chee Hean, as well as executive director and CEO Dilhan Pillay Sandrasegara, also met the Shanghai Party Secretary on the same day.
