SOHO China - Successful Bid for Linkong Plot 15 Land by SOHO China

Press Release

Successful Bid for Linkong Plot 15 Land by SOHO China

Three acquisitions in one year SOHO China expands its reach into Shanghai s Hongqiao Transportation Hub

(August 13, 2010) Today, SOHO China announces its successful bid at the transfer by public listing process organized by Shanghai Land Transaction Market for Linkong Plot 15 Land that is right next to the Shanghai Hongqiao transportation hub. This land is situated in Shanghai s Hongqiao Linkong Economic Zone with a site area of 86, 146.1 square meters and a planned total above ground gross floor area (GFA) of 215, 410 square meters. It is estimated that, after the completion of construction, the total GFA for the project will be approximately 250, 000 square meters. The successful bid price was approximately RMB 1.56 billion. SOHO China s move into the Linkong Economic Zone, the core of the Yangtze River Delta region, also dubbed the Half Hour Circle , has filled observers with excited expectations for the future.

The Linkong Economic Zone is the gate to what is currently and what will continue to be Shanghai s most vibrant transportation hub. The momentous changes brought about by the development of transportation infrastructure will contribute to Shanghai s greatest and most highly anticipated transformation in the coming years. The Hongqiao transportation hub is home to two airport runways with twenty-four landing fields, thirty high speed railway lines, and five subways lines. With a daily human traffic flow reaching 1.4 million people per day, this will be the world s largest transportation hub. The successive openings of high speed railways are connecting the most economically developed and affluent parts of China, the Yangtze Delta Region. It will take only 17 minutes to travel from Hongqiao to Suzhou, 30 minutes to Wuxi, 38 minutes to Hangzhou and 42 minutes to Nanjing, and only four and a half hours to Beijing after the Beijing-Shanghai high speed railway is opened in 2012. This multidirectional high speed network will create the fusion of the Yangtze River Delta s half hour circle . As the core of the half hour circle , the Hongqiao transportation hub will naturally become the meeting point for people, logistics, funds and information.

SOHO China is a forward-looking real estate developer, sharply perceiving new trends and endlessly adjusting its properties to suit the demands of the future. While brands lacking innovation can become overdone and wiped out by other trendy brands, innovation is the soul of SOHO China. In the early 1990s, SOHO China promoted properties that emphasized multi-use and blending, creating a revolutionary impact on the monotonously repetitive big city offices of the time. As SOHO China Chairman Pan Shiyi points out, it will take three to four years before the construction of the Linkong land project reaches completion. Therefore today s design plans must consider the development of city as well as changes in people s working practices and lifestyles. SOHO China will continue to unleash trailblazing innovation by inviting the world s most outstanding architects to research the demands of the city of the future and design architecture that accommodates parametric, multidimensional lifestyles to best fulfill the needs of the human experience, the demands of communication, and create spaces rich in imagination for the working styles and lifestyles of the future. This innovation will turn this area into the Yangtze River Delta s future hub of shining vitality.

As observed by many, SOHO China entered the Shanghai market with remarkable speed. Within less than a year s time, continuous measures have culminated in a RMB 6 billion grand entrance into Shanghai, completing a perfectly laid out expansion into Nanjing West Road, the Bund and the Hongqiao transportation hub.

On August 8, 2009, SOHO China invested RMB 2.45 billion in the acquisition of The Exchange SOHO located in the central business district of Nanjing West Road, marking its first step into Shanghai. In 2010, The Exchange SOHO sales reached RMB 2.179 billion, making it the sales champion in the Shanghai real estate market for the period from January to July this year, and all of the office space was leased demonstrating the successful introduction of the SOHO model in Shanghai. On June 11, 2010, SOHO China s second move was the RMB 2.25 billion acquisition of equity interest in the Bund 204 Land, marking an entrance into the historic International Architectural Exposition in the center of Shanghai s Bund. This property attracted widespread attention as the Bund s only completely new real estate development in the last 60 years; it will also be the last new development project there. Within only two months of this last acquisition, SOHO China successfully bid for Linkong Plot 15 Land , and has thus within the short span of just one year leapt across the stunning Shanghai trilogy . Each step has fully reflected SOHO China s strategy: developing innovative commercial properties located in the Beijing and Shanghai s most developed and flourishing transportation sectors. SOHO China s investment in Shanghai is gradually reaching 50% of the company s total investment, heightening attention towards the company s future endeavors in Shanghai.

SOHO China s Shanghai Trilogy