Recently, the official website of Yunnan Construction Investment announced that on February 16, 2017, CITIC Trust, Yunnan Construction Investment Group Company and Provincial Housing (Group) Company have officially signed a cooperation agreement to jointly promote the development and construction of the Kunming Jialize project.
According to the agreement signed by both parties, Yunnan Construction Investment agreed and designated the provincial housing (group) company to increase capital of Jialize Tourism Company, and the provincial housing (group) company, Jialize Investment Company and Jialize Tourism Company jointly signed a capital increase and share expansion agreement. Through capital increase and share expansion, the Provincial Real Estate (Group) Company holds 51% of the shares and Jialize Investment Company holds 49% of the shares.
This also means that Yunnan Construction Investment Group has gained the leading development rights for the CITIC Jialize project through its 51% stake in CITIC Jialize project.
signing ceremony site (picture source Yunnan Jiantou official website)
In fact, as early as August 2016, Yunnan Jiantou Group signed a cooperation intention agreement on the CITIC Jialize project with CITIC Trust Co., Ltd. . After friendly negotiations between the two parties, they cooperated to develop the CITIC Jialize project. At the same time, it also revealed that it will lead the overall development and construction of the CITIC Jialize project, but the specific cooperation agreement has not been signed.
After half a year, the two parties have officially signed a cooperation agreement, and Yunnan Construction Investment Group has also achieved holdings in CITIC Jialize through its subordinate provincial housing (group) companies. However, Tencent Real Estate checked the equity information of Kunming Jialize Tourism and Culture Co., Ltd., a subsidiary of CITIC Group , and no equity changes have occurred yet.
Yunnan Construction Investment Group released a message saying that the cooperation between the two parties to jointly promote the development of the Jialize project is not only in line with the positioning of CITIC Trust's asset management, but also in line with the demands of Yunnan Construction Investment's leapfrog development. The two sides will unite and build the project into the most influential business card in Kunming, Yunnan Province and even the southwest region.
This contract is a strong alliance between powerful central enterprises and local state-owned enterprises in Yunnan, focusing on the future development of the 30,000-acre large-scale market in CITIC Jialize project. The project is located in the Jialize Wetland of Songming , an urban family vacation back garden above 30,000 acres of native wetlands, and is only a 40-minute drive from the main urban area of Kunming. The project has 12 major holiday facilities including international golf clubs, international equestrian clubs, five-star hotel groups, British Heshuo Medical, 30,000 acres of native wetlands, 1,200 acres of lotus lakes, etc., realizing the vacation dream of tired urban people.
Chen Wenshan, Party Secretary and Chairman of Yunnan Construction Investment Group, said that the signing of this agreement marks the beginning of cooperation. The two sides have strong alliances and must work hard to make the project influential in the province.
According to Tencent Real Estate, the CITIC Jialize project is large in scale and has a long development cycle, which has also made the project development miserable. It has experienced many changes of ownership. From Xingyao Real Estate to CITIC Group, to the Yunnan Construction Investment Cooperative Development introduced by CITIC Trust, the project has also experienced the participation of multiple development entities. However, with the strong franchise of Yunnan Construction Investment Group, with the strength of provincial state-owned enterprises, the project may usher in a transformation and rebirth.
It is particularly worth mentioning that Yunnan Construction Investment Group, which was reorganized by three construction giants, namely Yunnan Construction Engineering Group, 14th Metallurgical Group and Southwest Communications Construction, has made frequent moves since the reorganization was completed and has been deploying its own real estate development network. This participation in CITIC Jialize development may be its new layout in the tourism real estate sector.
In the investment and construction cooperation framework agreement signed by Yunnan Construction Investment and Panlong District Government last year, nearly 10 projects were involved in the planned cooperation, including the suspension of construction projects such as Dayucheng. On February 10 this year, Yunnan Construction Investment also signed a strategic cooperation agreement with Kunming City, planning to invest 4.339 billion yuan in Kunming City in 2017, in urban infrastructure, expressways, tourism projects, rail transit construction, water conservancy and hydropower, new energy, new urbanization, new building mold research and development and production, rivers and lakes water environment governance, new hospitals and schools, rural dilapidated house renovation, and rural infrastructure construction (
