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July 19, 2016

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Home » City specials » Chengdu

Old town turns over new leaf on renovation

CHENGDU, the capital of China’s Sichuan Province, is in the midst of a massive project to renovate the city’s northern “old town” neighborhood. The move is aimed at improving living conditions for local residents and promoting industrial upgrading in the area.

The project with a total investment of 330 billion (US$49 billion) began in 2012 and is the largest-ever urban redevelopment project in Chengdu’s history. The project involves reconstructing traffic patterns in the area, improving infrastructure, demolishing old buildings, renovating shanty towns and relocating people and businesses.

It covers an area spanning 212 square kilometers in Jinniu, Chenghua and Xindu districts, which are home to about 1.5 million people.

So far 270.2 billion yuan in government funding has been invested in the project, accounting for 82 percent of the total planned investment.

“In the past four years, the renovation project has significantly eased infrastructure constraints and boosted the city’s image,” said Qiu Xiangdong, deputy director of Chengdu Urban and Rural Construction Commission. “Further efforts will be made to improve urban construction quality, optimize urban structure and strengthen the area’s carrying capacity.”

The renovation is also intended to improve the local business environment and add momentum to industrial development in the area. Efforts have been made to fuel the growth of commerce services, the cultural industry, technology research and development, tourism and financial services.

The project is expected to wrap up at the end of 2017. By then, the added value of the local service sector is expected to reach 120 billion yuan, a nearly three-fold increase from 2012.

Jinniu District in northwest Chengdu is leading the way in the vast revitalization program. Caojiaxiang community, one of the district’s most ramshackle areas, highlights the project’s massive scope and potential.

In Caojiaxiang, thousands of households were confined in buildings dating from the 1950s and 1960s. Shared kitchens and lavatories were commonplace. The area’s cramped streets were also crowded with wet markets that only added to its sanitation woes.

Since Jinniu District authorities decided to renovate the community in 2012, old houses have been torn down and several high-rise housings have been built on the location.

In respect to the wishes of local residents, Jinniu authorities invited an autonomous committee consisting of Caojiaxiang inhabitants to act as decision markers during the process of renovation. This successful experience has since been applied to other renovation programs in the district.

The project will also add a number of facilities to the community, such as kindergarten, parking lots, and outdoor fitness area. So far, 170 supporting infrastructure projects have been completed, including 45 newly built primary and middle schools and 10 transformer stations. They accounted for 65 percent of the overall planning.

Market improvements

Apart from the renovation of shanty towns, Jinniu is seeking to reorganize a large number of wholesale markets in the district to promote economic upgrading and orderliness.

Chengdu North Railway Station, one of the most important rail hubs in China, is located in Jinniu District. This bustling station gave rise to a cluster of surrounding markets.

At one point, there were 99 markets in Jinniu, accounting for about 80 percent of the total in Chengdu. They supplied wholesale products ranging from garments and farm produce to Chinese herbal medicines and building materials.

However, due to a lack of integrated planning, the mishmash of encroaching markets threw traffic into disarray and created problems for urban managers.

“People’s impressions of Jinniu were all about the messy markets,” said Zhang Wenwu, director of the Bureau of Commerce of Jinniu. “Improving the area’s image and quality of life through industrial upgrading is an important part of the renovation project.

“Those markets have made great contributions to Jinniu’s business development. The adjustment should pay attention to protecting business sentiment in order to avoid the ‘hollowing-out’ of industries,” he noted.

Zhang said the government has taken different measures based on the condition of each market during renovation.

For example, low-end markets with poor facilities and operational inefficiencies are to be shut down. A number of new marketplaces have been built to accommodate merchants from closed markets. They include Chengdu International Commerce and Trade Mart, which covers an area of 1.39 square kilometers and includes 60,000 shops.

Meanwhile, for markets that align with Jinniu’s industrial development plans, the government will promote upgrading by relocating storage, delivery and logistics functions to suburb areas and developing display platforms and warehouse receipt transactions. Markets located in shopping strips are encouraged to remake themselves into retail commerce, business services, entertainment, catering and accommodation businesses.

Jinniu also brought in commercial property developers to help catalyze the industrial upgrading. With investment from Chinese property development giant Dalian Wanda Group Co Ltd, Jinniu Wanda Plaza is one of the largest urban complexes in Chengdu featuring shopping centers, fashion streets, offices, SOHO apartments, and high-end residences, helping to elevate Jinniu’s commercial and service industries.

Shop owners are taking this opportunity to revive their businesses by foraying into the fast-growing e-commerce market or by transforming themselves into high-end boutiques.

“During the renovation work, many merchants and enterprises are taking the initiative to upgrade their businesses, as they see opportunities to capitalize on Jinniu’s future development trend,” Zhang said.

According to a government blueprint, Jinniu is banking on the renovation project to develop a modern industrial system driven by a headquarters economy and supported by modern commerce, services, real estate, railway transportation, healthcare, Internet Plus and cultural tourism.

The northern “old town” neighborhood has developed into a community with amiable environment and convenient transportation to live, work and start up business.




 

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