Center

Business district to expand

By Yin Ping (China Daily)
Updated: 2006-08-29 09:13

SHANGHAI: Plans are afoot to double the size of Pudong New Area's core financial area in order to meet robust demand for grade-A office space from banks and the booming service sector.

In an interview with China Daily, Liu Jizeng, deputy director of the district's Development and Planning Bureau, expressed his concern that there will soon be a shortage of office space in Xiao Lujiazui, which lies on the eastern bank of the Huangpu River facing the world-famous Bund.

Liu said that full details of the plan are expected to be revealed by the end of this year.

Xiao Lujiazui, the city's financial hub, covers an area of 1.7 square kilometres north of Dongchang Road and west of Pudong South Road.

The area, which boasts the landmark Oriental Pearl Television Tower, is home to the Jinmao Tower, as well as the offices of Citibank, the HSBC Building and many other multinational companies.

In addition, it is the core of the Lujiazui Finance and Trade Area.

It is understood that the district government will expand the financial area to reach Dongfang Road in the east and Zhangyang Road in the south, almost doubling its current size.

Liu added that the relocation of local residents would be an inevitable result of this expansion.

Shanghai is home to 383 financial institutions, of which 20 are newcomers, having moved in less than six months ago.

"We expect these newcomers to require at least one square kilometre of office space," Liu said.

The city's strategy of shifting its focus from manufacturing to services is also having an impact on the distribution of businesses.