Xinyuan Real Estate Co., Ltd. Acquires Parcels of Land in Xuzhou and Jinan
03 Noviembre 2009 - 8:00AM
PR Newswire (US)
BEIJING, Nov. 3 /PRNewswire-Asia/ -- Xinyuan Real Estate Co., Ltd.
("Xinyuan" or "the Company") (NYSE:XIN), a residential real estate
developer with a focus on high growth, strategic Tier II cities in
China, today announced that it has acquired two parcels of land in
the cities of Xuzhou and Jinan, respectively. Xinyuan paid a total
of RMB212 million (approximately US$31 million) for the
unencumbered land use rights for the Xuzhou parcel, which offers a
total site area of approximately 46,777 square meters. Based on
pre-planning of the proposed development projects, consisting of
sub-high rise and multi-layer residential apartments of 70-140
square meters, the parcel of land located near the Quanshan
district of Xuzhou is expected to generate an estimated gross floor
area of approximately 93,600 square meters. The Company expects to
begin construction on this parcel in April 2010 with pre-sales
starting in July 2010. Xinyuan paid a total of RMB1.1 billion
(approximately US$167 million) for the unencumbered land use rights
for the Jinan parcel, which offers a total site area of
approximately 200,180 square meters. Based on pre-planning of the
proposed development projects, consisting of high rise and
multi-layer residential apartments of 80-150 square meters, the
parcel of land located in the Tianqiao district of Jinan is
expected to generate an estimated gross floor area of approximately
536,000 square meters. The Company expects to begin construction on
this parcel in April 2010 with pre-sales starting in July 2010.
"With these land acquisitions in Xuzhou and Jinan, we have now
added four promising projects to our growth pipeline since
September," said Mr. Yong Zhang, Xinyuan's Chairman and Chief
Executive Officer. "The Xuzhou parcel adds to our existing presence
in the Jiangsu province, where we currently have developments in
Kunshan and Suzhou. Xuzhou is a strategically important city for
the Jiangsu province as it is situated in the connection belt of
the eastern coastal, middle, and west development areas. The
acquired parcel is located near the Quanshan district, which had
the highest GDP growth of any area in Xuzhou during 2008." Mr.
Zhang continued, "The Jinan parcel is the largest land acquisition
we have completed this year. This mid-level development is located
in the district of Tianqiao, where economic development has
increased 12.8% in the first half of 2009 compared to 10.5% for
Jinan overall. While the Jinan parcel will not contribute to our
revenue until 2010, the local government is developing a green belt
around the area during this time, which should benefit future sales
in this project. We are pleased with our success thus far as we
continue to seek attractive locations in high-growth markets to
position our Company for profitable growth in 2010 and beyond."
About Xinyuan Real Estate Co., Ltd. Xinyuan Real Estate Co., Ltd.
("Xinyuan") (NYSE:XIN) is a developer of large scale, high quality
residential real estate projects aimed at providing middle-income
consumers with a comfortable and convenient community lifestyle.
Xinyuan focuses on China's Tier II cities, characterized as larger,
more developed urban areas with above average GDP and population
growth rates. Xinyuan has expanded its network to cover a total
population of over 34.5 million people in six strategically
selected Tier II cities, comprising Hefei, Jinan, Kunshan, Suzhou,
Zhengzhou and Chengdu. Xinyuan is the first real estate developer
from China to be listed on the New York Stock Exchange. For more
information, please visit http://www.xyre.com/ . Safe Harbor
Statement This press release contains forward-looking statements.
These statements are made under the "safe harbor" provisions of the
U.S. Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates," "confident" and similar statements.
Statements that are not historical facts, including statements
concerning our beliefs, forecasts, estimates and expectations, are
forward- looking statements. Forward-looking statements involve
inherent risks and uncertainties that could cause actual results to
differ materially from those projected or anticipated, including,
but not limited to, the risk that: our financing costs are subject
to changes in interest rates; our results of operations may
fluctuate from period to period; the recognition of our real estate
revenue and costs relies on our estimation of total project sales
value and costs; we may be unable to complete our property
developments on time or at all; any construction delays, or failure
to complete a project according to our planned specifications or
budget, may delay our property sales, which could harm our
revenues, cash flows and our reputation; the recognition of our
real estate revenue and costs relies upon our estimation of total
project sales value and costs; we may forfeit land to the PRC
government if we fail to comply with procedural requirements
applicable to land grants from the government or the terms of the
land use rights grant contracts; we may fail to obtain, or may
experience material delays in obtaining, necessary government
approvals for any major property development, which will adversely
affect our business; increases in the price of raw materials may
increase our cost of sales and reduce our earnings; we are heavily
dependent on the performance of the residential property market in
China, which is at a relatively early development stage; PRC
economic, political and social conditions as well as government
policies can affect our business, and other risks outlined in our
public filings with the Securities and Exchange Commission,
including our annual report on Form 20-F for the year ended
December 31, 2008. All information provided in this press release
is as of November 3rd, 2009. Except as required by law, we
undertake no obligation to update or revise publicly any
forward-looking statements, whether as a result of new information,
future events or otherwise, after the date on which the statements
are made or to reflect the occurrence of unanticipated events. For
more information, please contact: In China: Mr. Tom Gurnee Chief
Financial Officer Tel: +86-10-8588-9390 Email: Ms. Helen Zhang
Director of Investor Relations Tel: +86-10-8588-9255 Email: In the
United States: Mr. Bill Zima ICR, LLC Tel: +1-203-682-8200 Email:
Ms. Kate Messmer ICR, LLC Tel: +1-203-682-8338 Email: DATASOURCE:
Xinyuan Real Estate Co., Ltd. CONTACT: In China: Mr. Tom Gurnee,
Chief Financial Officer, +86-10-8588- 9390, or ; or Ms. Helen
Zhang, Director of Investor Relations, +86-10-8588-9255, or ; In
the United States: Mr. Bill Zima, ICR, LLC, +1-203-682-8200, or ;
or Ms. Kate Messmer, ICR, LLC, +1-203-682-8338, or
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