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    Project: Zhangjiajie Ecological Agriculture Sightseeing Park

    Project Description
    Project Name:                                                    Zhangjiajie Yangjiaping Ecological Agriculture Sightseeing Park
    Date:                                                                    2016-4-24
    Project Type:                                                      Equity investment projects
    Industry:                                                              Tourism
    Location:                                                             Zhangjiajie, Hunan
    Project validity Period:                                      2 years

    Estimated Investment
    Total amount of project capitals:                    2500 Ten thousand U.S. dollars
    Expected annual sales revenue:                   Ten thousand yuan (RMB)
    Expected investment payback period:          Year

    Description of project contents
    Location advantage: Located in the southwest of Cili County, Yanghe Tujia Town is only 37km away from Zhangjiajie and 15km from the scenic pearl Wulingyuan. The unique accessibility gives the town a huge location advantage.
    The urban area of Zhangjiajie, Yanghe and Wulingyuan constitute a golden triangle.
    Resource advantage: As a minority aggregation, Yanghe Tujia Town is rich in cultural deposits and tourism resources.
    Located in Yupu Village, Yupu Academy, the cradle of Louli Culture, has a history longer than 100 years.
    Based on development and exploitation, the Danxia landform group in Wushizhai will be a high-quality natural and cultural landscape on the east line of Zhangjiajie.
    Yanghe is also the hometown of Zhang Shenchuan, the China’s first radio operator and the prototype of the leading character of the film Eternal Wave. Furthermore, there are abundant proved spa resources in the town.
    Development of spa resource will be bound to promote the local tourism economy.

    Project content
    Located in Zhenjiaping Village of Yanghe Town, the project “Yanghe Ethnic Customs Street” (planned area: 100mu) features the classic style of Tujia Stilted Building and garden elements, and integrates the functions of recreation, leisure and catering.
    Highlighting ethnic snacks, tourism and leisure, the street will combine business with tourism, and provide services spanning business, culture, catering, tourism, leisure and recreation. According to the plan, two-storey buildings will be erected at the sides of the street.
    The first floors will be oriented to shopping, while the second floors will serve as pubs and hotels.
    Snack festivals centered on ethnic special snacks will be regularly held to improve the overall popularity of the project and strengthen the business atmosphere. Based on these, the project will be built as a multifunctional business street that concentrates buildings with ethic style, delicious special snacks, strong cultural atmosphere and unique folk-customs commodities and demonstrates combination of unique ethnic culture with multiple types of operations.

    Policy support
    Applicable preferential policies introduced at the levels of city and county will be made available to the project.

    Benefit evaluation
    1. Real estate development: The storefronts on the street will be sold following completion of the project.
    As expected, first-floor storefronts will be built by 30,000m2 on the street, and sold at the price of RMB 12,000/m2 (sales amount: RMB 120 million); second-floor storefronts will be sold at the price of RMB 1,500/m2 (sales amount: RMB 45 million).
    That is, the total sales amount will be RMB 165 million.

    2. Self-management: Calculated as the daily average tourism arrivals of 1,000 person-times, tourists can be received by 150,000 person-times from May to September, and the operating income of RMB 15 million (calculated as the consumption amount per capita of RMB 100) will be created every year with the profit tax of RMB 4 million paid.
    Upon year-on-year increase, 5 years later, tourists can be received by 1 million person-times, and the operating income of RMB 90 million can be created every year with the profit tax of RMB 24 million paid.

    Current status
    The project proposal is being prepared.

                                                                                                        ----- by Ministry of Commerce of the People's Republic of China

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