SINGAPORE, Nov 09, 2007 (Thomson Financial via COMTEX) -- YLDGF | charts | news | PowerRating -- Chinese property developer Yanlord Land Group Ltd said Friday it has acquired a residential site in Shanghai, China for 1.3 billion yuan.
The site, with a gross floor area of 65,050 square meters, was auctioned by the Chinese government.
"Shanghai remains a key focus in our expansion strategy. The acquisition of this new site demonstrates our continued confidence in the strong potential of the Shanghai real estate sector," said Zhong Sheng Jian, chairman and CEO of Yanlord.
Yanlord plans to build a high-rise residential condominium on the site.
Analysts are bullish on Yanlord even as the company reported on Wednesday its net profit fell 11 percent to 34.6 million Singapore dollars from a year earlier.
"The group will continue to benefit from the rising domestic economy which has fueled a 10 percent year-on-year rise in high-end residential properties," DBS Vickers said in a note to clients.
The brokerage rates Yanlord a "buy" with a target price of 4.27 dollars.