The company has rich land reserves. Entitlement floor area is about 3.56 million square meters, even if no additional land is added, it is enough for the development of the company in the next three to five years which lays a solid foundation for the company to provide products and guarantees sustainable development. Currently, the company's real estate projects are mainly located in Xi'an, Wuhan, Huizhou, Anhui and other low-risk, high-growth-rate second-line cities. We have found that housing prices in some first-line cities are always leading on rise and housing prices in second-line cities grow slow for which there is still room for rise. The company’s projects are mainly concentrated in second-line cities, which is optimistic for the future.
The outbreak period for growth of the company will be in the next few years. According to the company's current marketing plan and sales progress, in 2007-2009, the company will enter settlement period, and large-scale projects such as Wuhan Celebrity • RenHeTianDi Project and Huizhou Project will constitute the main sources of growth for the company, and the years from 2007 to 2009 will be the outbreak period for growth.
Public re-issuing will guarantee sustainable growth. According to its announcement, in 2007, the company is intending to raise fund publicly from untargeted objects about 3 billion yuan and would invest the fund into the following five projects: 1, Beijing "Celebrity Plaza"; 2. Huizhou "Celebrity Impression"; 3, Huizhou Luofu "Celebrity Holiday" Phase I; 4. Wuhan, "Celebrity • RenHeTianDi " Runhe Park and Qinhe Park; 5, Wuhu "JiHe Celebrity Plaza" Phase I. According to the foregoing analysis, the above projects will be the main sources of the growth for the company in 2008. As the company’s public re-issuing is granted, in the current background of credit crunch, there is no doubt that it will give timely help to these projects and lay a solid foundation for explosive development of the company.
Acquisition approach ensures steady increase of profitability. Projects and land reserves will avoid the disadvantages of inviting tenders, auction and hanging out shingle due to the scale and strength of the company and lower the cost of land, which ensures higher achievements of the company in the coming years.