Core Insights - The Shenzhen land market witnessed a significant transaction with the successful sale of the South Street Square plot, which was won by a consortium of China Merchants Shekou and China Resources Land for 8.64 billion yuan [1][3][7] Land Transaction Details - The plot is designated for residential use, covering an area of 42,521.94 square meters, with a planned construction area of 145,000 square meters and a floor area ratio of ≤3.4. The starting price was set at 6.409 billion yuan, resulting in a premium of 2.231 billion yuan and a premium rate of 34.8%, marking a new record for residential land prices in the Baolong area at approximately 59,586 yuan per square meter [3][4][6] Market Context - The successful bid reflects a shift in the Shenzhen land market towards high-quality developments, with the plot being the first pure residential land in the Baolong area in five years. Its proximity to the coastline (300 meters) and the large scale of the plot have made it highly attractive to developers [4][6][7] Developer Strategy - The collaboration between China Merchants and China Resources is seen as a strategic move to leverage their experience in high-end residential development, aiming to set new benchmarks for living standards in the Baolong area. This partnership is expected to enhance the overall quality of housing in the region [6][7] Market Implications - The high premium paid for the land indicates strong confidence from leading developers in the long-term value of core assets in Shenzhen. The trend of increasing land prices in core areas is likely to continue, driven by the scarcity of land and the competitive nature of the market [6][7]