KEPPEL Land's newly set up China unit, Keppel Land China, has bought a 17.2 hectare site in Nantong, Jiangsu province, for 1.04 billion yuan (S$202 million).
The developer will build a lakefront residential project with about 1,000 homes on the plot, it said yesterday.
The exclusive low-density residential development will comprise villas, terraces, duplexes and high-rise apartments, and will be supported by complementary lifestyle commercial facilities.
The first phase of the project is expected to be launched in the first half of 2012. It will be targeted at the high income segment, Keppel Land said.
The project is Keppel Land China's maiden property development in Nantong.
Keppel Land in September said that it is setting up Keppel Land China to own and operate the group's properties there and to actively look for growth opportunities. The developer sold more than 3,000 homes across China this year.
In October, Keppel Land added to its China portfolio with two acquisitions of high-end residential developments in Chengdu - a 5.1 hectare site in Panchenggang, Jinjiang District, and two separate sites with a combined land area of 25 hectares in Mumashan, Xinjin County.
This latest acquisition presents tremendous opportunities as Nantong has been enjoying double-digit gross domestic product growth for the past several years, said Ang Wee Gee, executive vice-chairman of Keppel Land China.
'We continue to be on the look-out for prime sites across cities in China, especially where the Keppel Group is enjoying strong relationships and track record,' Mr Ang added.
The transaction is not expected to have any significant impact on the net tangible asset per share or earnings per share of Keppel Land for the financial year ending Dec 31, 2010, the company said.
Keppel Land shares gained five cents to close at $4.85 yesterday.