Shimao Property Holdings plans to invest an additional eight billion yuan (HK$9.08 billion) to develop a large property complex in Xiamen, betting the closer economic ties across the Taiwan Strait will fuel housing demand.

The developer won the site for 3.02 billion yuan in a government auction in June, raising the total investment of the project to about 10 billion yuan.

'Xiamen is renowned as the home city of many overseas Chinese and Chinese nationals living in Taiwan,' said a source close to the company.

The large residential project would be developed in phases over the next seven years, said another source close to the company.

South China Morning Post