•    Key regional project of Qingdao City with a total investment of 2.068 billion yuan

•    Design led by academician of Chinese Academy of Engineering, known by insiders as the “master project”

•     “Finance + industry” with concerted efforts of multiple departments of Far East Horizon, participated by over a hundred people

•    Within a hundred days from requirements acquisition to intent confirmation, and then bid winning, agreement signing and project implementation 

——Qingdao creative and cultural complex construction project, the first project implemented by Far East Horizon in the West Coast New Area of Qingdao, is a successful attempt to delve into regional construction and promote urban upgrade, and another effective practice of the Company’s “finance + industry” strategy to maximize the advantages of its integrated services.
Effective picture of the Qingdao project.

With blue sea and sky decorated with red tiles and green trees, the lively city of Qingdao is becoming more internationalized by the day. As the gathering place of multiple intelligent industries, West Coast New Area by the Jiuzhou Bay is sketching out the future of this seaside city more clearly. The Qingdao creative and cultural complex construction project is located at the Sino-German Ecopark in the West Coast New Area of Qingdao. It is the landmark building at the east gateway to the Ecopark, its international reception place and external exchange platform, and the No.1 project of the Ecopark. 

Floor area: about 150,000 square meters

Chief designer: Cui Kai, academician of Chinese Academy of Engineering

Project content: outdoor art blocks, art stores, residential facilities, shared office, art gallery in the air, artist’s workshop, etc. 

Target group: a surrounding population of 12,000 with needs for high-end supporting services 

In early September, with the finalization of terms on agreement and the completion of the contract approval process, the official contract was signed to implement this project. Looking back at the past 3 months of non-stop hardworking, the people of Far East Horizon have completed the “seemingly impossible mission.”

01.Race against time  Work together across departments
 

The Qingdao creative and cultural complex construction project is jointly invested and implemented by the consortium of Far East Horizon’s professional infrastructure investment operation service platform—Shanghai Horizon Construction Investment Co., Ltd. (Horizon Construction Investment), Shanghai Baoye Group Corp., Ltd. and China Architecture Design & Research Group.

Shanghai Baoye Group Corp. is a high-end client of the Company’s traditional financial business services with many years of cooperation on financial leasing and commercial factoring with the Company. After knowing that the Company also has rich experience in infrastructure investment, it expressed the hope for enhancing the depth of cooperation, and invited us to “work on big project together”！

Helping the local government to promote regional department is our will, and we have every confidence in our ability. But this time it was an incredibly great rush.

In mid-May, the Company first heard about the project, but the bidding documents must be submitted by July 1, which means Horizon Construction Investment must determine external deal structure and business conditions and complete internal review in less than a month; furthermore, it must work with the traditional business sector to complete credit extension (up to 100 million yuan) to the owner unit Sino-German United Group, so as to ensure that the structure of this deal has a solid and realization foundation. 

From the business frontline to functional departments, spanning financial directions and industry operations, relevant personnel of the financial leasing business, the infrastructure investment business, equipment operation business, Strategy Center and Capital Center put project preparation on the fast lane by virtue of the mature coordination mechanism of the Company. 

-Mid-May

The Company completed deal structures and business plans under two different lines of credit

-Early June

The Public Utilities Department started the credit extension approval process
Horizon Construction Investment started the investment feasibility approval process

-Mid-June

Multiple departments collaborated on due diligence to improve approval efficiency 

-June 30

The Company signed and completed internal tender documents.

-July 4

The consortium won the bid successfully.

-Mid-July

The risks were reassessed targeting delay in project schedule to match new customer needs.

-Early September

The contract was signed and implemented successfully. 

02.Contract signing is only the first step in a long journey.

Soon, challenges came one after another during the implementation of project!

Firstly, engineering construction is highly difficult. The Qingdao creative and cultural complex construction project is a house-building project, which involves complex architectural modeling of single buildings and a diversity of facades. Secondly, project construction is highly complicated, as it includes highly dangerous projects like deep foundation pit and high formwork. In addition, it is specifically requested that the project be completed by the end of next year, which poses high requirements for on-site dispatching, project schedule control, and so on. 

Facing the challenge, the Company’s integrated services once again come into play. Besides support from its partner with excellent construction ability—Shanghai Baoye Group Corp., Ltd., Far East Horizon’s integrated equipment operation service provider Shanghai Horizon Construction Development Co., Ltd. (Horizon Construction Development) will also give full play to its abilities in subsequent services.

As China’s No.1 equipment operation service platform, Horizon Construction Development is completely capable of providing integrated whole-process engineering construction and equipment operation service solutions. In the Qingdao project, the needs for bracing and formwork equipment during main structure construction and underground construction as well as the needs for the lease of aerial work platform during exterior wall construction and glass curtain wall installation can all be satisfied by Horizon Construction Development. At present, the lease of relevant equipment is being advanced substantially.

It’s worth mentioning that in this Qingdao project, we solved the owner’s needs for overseas capital by introducing foreign capital into financing and construction, gave full play to our advantages as a Hong Kong-invested enterprise, established a bridge between domestic clients and overseas capital and resources, and provided multi-dimensional and comprehensive collaborative services. 

This April, it was specifically proposed at a meeting of the Central Financial and Economic Affairs Commission to comprehensively strengthen infrastructure construction and establish a modern infrastructure system. With its “finance + industry” integrated service ability, Far East Horizon has always been committed to local city interface transformation and industry upgrade, from the Hong Kong- Zhuhai-Macao Bridge passing through Lingding Bay to the Beijing-Zhangjiakou high-speed railway as an important component of the framework of the “eight vertical and right horizontal” high-speed railway network, and from main arteries of county traffic to environment protection projects of improvement for energy saving.

High buildings must rise from the ground, brick by brick. With the Qingdao creative and cultural complex construction project as an opportunity, in the future Far East Horizon will continue to focus on “big infrastructure,” deepen inter-departmental and cross-business strategic collaboration on the basis of the entire process of infrastructure industry development, give full play to its advantages in financial capital guarantee and industry operation resources, join hands with clients to serve urban upgrade, and contribute to the improvement of the people’s livelihood. 

Fly higher and farther with shared wings!