SINGAPORE (Jan 15): CWG International continues to build up its land bank in China.

Indirect subsidiary, Suzhou Chiway Jingcheng Real Estate Co., has put in the winning bid in an auction for the land use rights of a land parcel located in Yuhang District, Hangzhou city, Zhejiang province, China.

The land parcel will be used for residential and commercial purposes, and comprises a site area of 47,683 sqm with a plot ratio of 2. The maximum gross floor area is 95,366 sqm.

The total consideration for the land parcel is RMB 1.14 million ($234 million).

Yuhang district is located in the northwest part of Hangzhou City.

The acquisition of the land parcel will enable the group to sustain its scale and presence in China, says CWG.

CWG intends to enter into a joint venture with a third party to jointly develop and manage the land parcel.

CWG will announce its plans for the land parcel once the agreement on the joint venture has been finalised.

The group expects that the development of the land parcel is not expected to be completed before 2019.

None of the directors or substantial shareholders of the company has any interest in the above transaction.

This story, written by PC Lee for The Edge Singapore, first appeared on Jan 15.