One of China's most prominent developers, Wanda Group, is poised to launch an Australian arm with an initial $HK7.5 billion ($1.74bn) war chest to spend in the local market, the company said.
It will launch with a strong foray in the Queensland leisure market, through a 55 per cent stake in the Gold Coast's $1 billion Jewel development -- a 147,000 square metre mixed-use residential, hotels and shopping complex.
The new group, a 60-40 joint venture between Wanda Group and subsidiary Wanda Hong Kong, will begin with contributions of $HK7.5bn and $HK5bn respectively, according to the company statement.
Those figures were decided on with reference to "the current real property market in Australia and expected acquisition and development costs for suitable real property projects," including Jewel's prime beach-front location, the group said.
The investment will be financed through a combination of internal resources, and debt and/or equity financing.