Treasure hunting has begun in Shanghai's Nanhui district, south of Pudong, as investors lay bets that last month's announcement of the integration of the two districts will spark new property developments.

To help drive Shanghai's effort to develop into a major international financial and shipping hub by 2020, the State Council on 6 May said the district authorities of Pudong could enlarge the size of the area under its control by adding Nanhui to its turf.

The concept of creating a 'Mega Pudong' immediately raised the prospect of accelerated development in Nanhui which has major developments in Yangshan International Deepwater Harbour and Pudong International Airport.

On the cards, investors expect, would be the extension into the area of tax breaks and streamlined investment procedures, now enjoyed in Pudong.

South China Morning Post