CHINESE developer Starryland is looking for more sites in Australia, even before it officially launches its $550 million Parramatta Promenade complex, the first development it has undertaken in the country.
Shaoqun Tan, chairman of Starryland’s parent company Fuxing Huiyu Real Estate, yesterday inspected the Morton Street site, with construction expected to commence this month. Mr Tan will also spend time in Melbourne during his visit to Australia, as the company searches for future sites.
“That’s why he’s here, we’re looking at the moment in Sydney and Melbourne,” Hao Liu, director of Starryland, said. “We want to be building a couple of things at the same time, and we’re looking for sites with existing DA approval.”
When finished, the 5ha Promenade site will have up to 11 towers, ranging from three to 12 storeys, with up to 774 apartments in total. The developer has already sold 124 apartments following a two-day presale event in May. Savills is handling sales, with a launch scheduled for August.
Wuhan-based Fuxing Huiyu is one of the biggest apartment developers in China, recently developing The East Lake City, a 210ha mixed-use project. Mr Liu confirmed Starryland would be looking at larger developments.
“After the experience with (Promenade), we’ll be looking to do something bigger,” he said.
He was not concerned about reports of subdued growth in Melbourne, with economic forecaster BIS Shrapnel warning an oversupply could lead to price falls after adjustment for inflation.
“We know (about those reports) and that there is a little bit of an oversupply in the CBD area, but it’s not the whole city,” Mr Liu said. “Population growth is forecast at around 2 per cent so there is still big demand.”
Nor would a potential housing bubble in China affect the company, Mr Liu said. Economists have warned of a bust for some time, The Wall Street Journal reporting many developers offering steep discounts to move stock.
Mr Liu was unmoved. “The news from China, when they talk about those ghost cities, those are … cities with small populations, not the whole country.”