Perennial-led group to develop project in Hangzhou's 'Silicon Valley'

Singapore

PERENNIAL Holdings, together with its partners, has won a tender to develop a plot of land adjacent to the south square of the upcoming Hangzhou West High Speed Railway (HSR) Station, The Business Times understands.

The tender, priced at 2,873.28 million yuan (S$591.3 million), covers a total land area of approximately 96,931 square metres (sq m).

BT understands that Perennial plans to develop the site into an integrated Transit-Oriented Development (TOD) with retail, apartment, office and hotel components.

It is understood that the entire precinct where the project is located is set to be transformed into Hangzhou's "Silicon Valley".

Perennial said science and technology firms were expected to set up offices within the TOD district, with the Alibaba headquarters nearby.

After development works, the property is reportedly due to span about 688,210.1 sq m in total gross floor area.

Located in the Yuhang District of Hangzhou, the site is part of a new government-designated TOD district known as Hangzhou West Science and Technology Corridor, stretching roughly 13 square kilometres with cultural, ecological, commercial and residential zones.

The recent acquisition marks Perennial's fifth TOD project in China, on top of its other development projects in Chengdu, Xi'an, Tianjin and Kunming, all of which are situated close to a local HSR.

In recent years, China has been rapidly developing its HSR lines, with the most recent expansion worth US$8.82 billion approved in January this year.

The project comes amid expectations that over 26 million passengers will pass through the Hangzhou West HSR Station annually by 2030, with the projected figure reaching 38 million passengers by 2040. The station is expected to be completed before the Asian Games in 2022.