DeHeng Assisted the QianHai 100 billion-scale Collaborative Land Development Project to Usher in a Historic Breakthrough
2018-12-29
On December 24, 2018, Shenzhen Qianhai Development and Investment Holding Limited, China Merchants Qianhai Industrial Development Co., Ltd. and China Merchants Group (CMG) signed the Joint Venture Agreement；Qianhai Authority, Shenzhen Municipal Commission of Planning, Land and Resources, CMG, China Merchants Shekou and 19 other units signed the Land Consolidation Agreement. The collaborative project covers a land of 2.9 square kilometers and a building area of about five million square meters, worth over 100 billion yuan. The signing of the two agreements marked the significant progress of the 100 billion-scale collaborative land development project in Qianhai.
The project is an original key move taken by the Municipal Government of Shenzhen and the Shenzhen Municipal Committee of the CPC to further develop the Qianhai Shenzhen-Hong Kong cooperation zone and Qianhai Shekou free trade zone, and advance the transformation and upgrading of city functions. It is the first of its kind in China in many ways. The transaction structure is extremely complicated with many legal issues involved, including land clearance, land use right as contribution, land use right swap, adjustment of land planning, the payment of rigid policy spending, the construction of facilities for head-office and industrial purposes, housing for employees, and the construction of secondary trunk roads, branch roads and public green fields. The transaction scheme offers systematic proposals regarding the area and implementation methods of land consolidation, compensation value, and the swap of land use rights.
As the project's legal counsel for Qianhai Development and Investment Holding Limited, DeHeng gathered a project team headed by lawyers Su Qiyun and Xu Yansong, and composed of lawyers Huangpu Tianzhi, Li Junheng, Li Tingting and Chen Siyi, all from DeHeng Shenzhen. The team provided legal services for the entire project, from the incorporation of the joint venture company to the signing of the above two agreements.
In light of the characteristics of the deal and the client's demands, DeHeng lawyers conducted thorough researches and objective analysis on major legal issues concerning the two agreements, including but not limited to the parties of the agreements, the scope and proposal of collaboration, the means for the capitalization of land use right, joint venture governance, the payment of rigid policy spending, and the construction of facilities for head-office and industrial purposes, employee housing facilities, secondary trunk roads, branch roads, and public green fields，and provided professional legal advice regarding legal risk prevention. They managed to, despite the tight schedule, design and demonstrate the transaction scheme and the implementation path, assisted the client in completing the negotiation, drafting and reviewing of relevant documents, coordinating and communicating with related government authorities, establishing of the platform company, and leading to significant progress for the project and many innovative achievements in the country. DeHeng lawyers will continue to provide follow-up legal services for the project.
