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Kaohsiung City Government 2009.11.25

Commercial Mixed-Use Project – Kaohsiung Lingang Railway Line Area. Presentation for Business Invitation Forum to Regeneration Unit 1. Kaohsiung City Government 2009.11.25. Presentation Outline. Introduction Market Potentials Redevelopment Target and Concept Investment Incentives

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Kaohsiung City Government 2009.11.25

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  1. Commercial Mixed-Use Project – Kaohsiung Lingang Railway Line Area Presentation for Business Invitation Forum to Regeneration Unit 1 Kaohsiung City Government 2009.11.25

  2. Presentation Outline • Introduction • Market Potentials • Redevelopment Target and Concept • Investment Incentives • Requirements and Bidding Procedure • Follow-up schedule of business invitation

  3. Introduction

  4. Location • Renewal Area • Bounded in the north by Gongyuan Road, in the west by Gushan 1st Road, Linhai 3rd Road, and Binhai 1st Road • Site for leasing • located at the north of Kaohsiung Harbour. Sizihwan MRT station is also located north-western of this site • Total area is about 18,241㎡ Renewal Unit 1

  5. Basic Information • Land Ownership • All government owned • Administered by Taiwan Railway Administration and Kaohsiung Harbor Bureau

  6. Basic Information • Zoning and Intensity • Located in Kaohsiung multi-functional Commerce & Trade Park • Zoning is the Specific culture and leisure zone (the Specific culture zone No.1) • Building coverage ratio: 60% • Floor area ratio: 490%

  7. Basic Information Wu Fu 4th Road Gongyuan Road Overpass Status of Commercial District Park Overpass Guan-Shan 1st Road Platform at Kaohsiung Harbor Railway Station Bikeway connected to The PIER-2 Art District Planning Road (30m) Regeneration Unit 1 Base Status of Kaohsiung Harbor Railway Station Bikeway

  8. Market Potentials

  9. Redevelopment Potentials • Location Advantage • Close to Kaohsiung Harbor and Chaishan, with the developing space near to the mountain and water • Close to MRT station, with outstanding conditions on mass transit • Associate with the greenbelts of Gongyuan Road, and extend to the river system of Old Jyuejiang, and establish the water-accessibility space with exuberant green

  10. Redevelopment Potentials • Real Estate Market • There are 7.9 million tourists stimulating demand for accommodations and consumption every year • Most hotels near MRT or harbor are well operated • Residential proposals are often distributed over the MRT stations and main public construction • Compared with other districts, the average price of pre-sale house in Gushan and Yancheng is stable and it is about 130~150 thousand NT dollars per ping(equal to 3.30579 M2)

  11. Redevelopment Target and Concept

  12. Target on Redevelopment • A new civic paradise which integrate landscape and MRT station • Strengthening urban service and to raise its competition. • Positioning Kaohsiung as an international city to improve its tourist industry • Reshaping waterfront and preserving the historic image of railway • Happiness city with ocean, waterfront and LOHAS

  13. Land use type and Activities • Development should base on the principle of sea view leisure tourism and related facilities • Panoramic View Hotel • Suite, conference room, and view restaurant • Theme shopping center • Theme store, view restaurant, and cafe terrace

  14. Investment Incentives

  15. Investment Incentives • Bulk incentive • The maximum of additional bulk is allowed of 50% based on regulated floor area ratio(490%)

  16. Investment Incentives • The matters which the Government should carry out

  17. Requirements and Bidding Procedure

  18. Methods of business invitation • Development Methods • Conduct with method of setting the superficies rights on land, and prescription of superficies is 50 years. • Payment of Royalty • the amount should be the same as the bid price. • Royalty should be paid in 11 installments, 20% royalty should be paid while signing the contract, the balance 80% shall bear interest from the date fixed by the first payment at an annual rate of 1.5%

  19. Methods of business invitation • Payment of Land Rent • Construction period will be priced by 1% of current total assessed land value, and the operation period will be priced by 3% of current total assessed land value. • The total assessed land value in 2009 is NTD$191,538,375, 1% is NTD$1,915,384, and 3% is 5,746,151. • Both royalty and land rent payments should be paid to Taiwan Railways Administration and Kaohsiung Harbor Bureau.

  20. Announcement by a Public Notice of the Designation of Urban Regeneration Area Urban Regeneration Project Plan Preliminary Stage Establish the Project Ad Hoc Team Feasibility Study Basic Principals of the Development Tender Preparatory Work No Applicant Establishment of Evaluation Committee Announcement by a Public Notice Public Bidding Selection of the Best Applicant Applicant Qualification Evaluation Evaluation and Selection Evaluation and Selection Negotiation and Contract Signing Negotiation Contract Signing Urban Regeneration Project Plan Urban Regeneration Project Plan Publicly Announced for Implementation Construction and Operation Construction Inauguration Executor Kaohsiung City Gov. Implementer Operation Ownership Transfer At the Expiration of the Concession Bidding Procedure Agency prepares the tender documents Declare the tender documents Unqualified Qualification review Notify to take back the application documents and deposits Qualified Comprehensive review Unqualified Qualified Agency negotiate the contract with the optimal applicant Optimal applicant pays the performance bond Agency signs the contract of the urban renewal business implementation with the optimal applicant Appraisal

  21. Follow-up schedule of business invitation

  22. Estimated Progress • Projected deadline • Drafting the basic principles of the development:2009.03~2009.12 • Establishing the Evaluation Committee:2010.01~2010.02 • Drafting the tender invitation documents: 2010.01~2010.03 • Public notice of tender invitation to regeneration unit 1: 2010.04~2010.06 • Selecting the implementer: 2010.07 • Negotiating and signing the contract: 2010.08 • Drafting urban regeneration project plan: 2010.09~2011.02 • Approving urban regeneration project plan: 2011.03~2011.08 • Setting the superficies rights and handing over the land: 2011.09

  23. Welcome to Kaohsiung ! Thank you for your attention !

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