Ecommerce giant JD.com has won a bid for a parcel of industrial land in Dongguan for RMB1.064 billion. But it won’t be putting what most investors might expect it to put there. Rather than a smart factory, JD said it will name the development JD Smart Valley, because it is where a “technological innovation center” will be built in accordance with local real-estate development policies.
This so-called “new usage of industrial land” policy requires a certain proportion of land be used for commercial as well as residential development. For the part of the land that can be sold and/or subdivided, the leasing period is 40 years; for the remainder it is 50 years. The residential portion can go for 70 years.
Read more (in Chinese).