Pacific Town Project Anticipates First Release Launch in June
May 20, 2004

The Pacific Town Project has made significant progress this quarter. Resettlement and demolition work of the phase I site is near completion. The first launch for sale of the phase I apartments is anticipated to commence in early July.

The phase I resettlement and clearance work, which started after Chinese Lunar New Year, has cleared over 95% of the site. Credit should be given to the management for accomplishing this task in such a short period of time, and controlled the phase I resettlement cost within budget.

Preparation for the sale launch of the phase I apartments in July is on schedule. The first phase of the project is located on the eastern side of the site comprising approximately 80,000 square meters of high-rise residential apartments. All apartments have double aspect layout and north south facing. A typical unit layout is between GFA 180 and 200 square meters. Over 90% of the apartments will have a direct view over River Ba, and situated in front of a 150 meter wide green belt along the river. Tentatively, the phase I apartments will be priced at an average sale price of Rmb 9,300 per square meter for apartments fully fitted to a luxury standard and with air conditioning.

Advertising billboards for the project will be posted on the Eastern Third and Fourth Ring Road from the beginning of May together with a series of promotion activities. Construction for the sales office is scheduled to complete by the end of May. Soft sale is expected to commence in June followed by an official launch of the sales once the Sales Permit is granted.