GDL Wins Bidding For Land Parcel In Foshan City. ON November 27, GDL successfully won the bid for the land use rights for 43,284m2 of land in Foshan City for RMB 2,707,400,000 in cash. As part of the deal, GDL will build and transfer a 4,860m2 nursery to the government of Chancheng District, Foshan City upon completion. The total GFA of the project is expected to be 151,493m2 of residential units that are compatible with commercial use. The land is located in the Shiwan area of Chancheng District in Foshan City that is near public transit and other amenities. All units and car parking spaces will be held for sale.
This acquisition is significant as it provides yet another project in the growing Greater Bay Area that should be ripe for strong sales and pricing upon completion. At the present time, GDL was unable to provide any additional information on the project, like timeline or funding sources. Based on the timing of its other projects and the cash outlay for this acquisition, we would expect the vast majority of development expenses for all projects under development to be funded primarily with debt until more cash is generated from unit sales.