(Yicai Global) Oct. 8 -- Chinese real estate developer Shui On Land is adding another distinctive commercial complex to its extensive Xintiandi portfolio, a landmark restaurant and shopping destination in downtown Shanghai.

Expected to open in 2023, Pacific Xintiandi will be located in the city's shopping heartland on Huaihai Road and will offer cutting-edge commercial, office and residential spaces to rival Tokyo's Ginza district and New York's 5th Avenue, according to Shui On Land, the property arm of Hong Kong-based Shui On Group.

Together with leading property insurer China Pacific Insurance Group and real estate firm Yongye Enterprise Group, the Shanghai-based consortium successfully bid CNY13.61 billion (USD1.9 billion) for the prime real estate in July last year and construction started on Sept. 28.

Designed by award-winning international architecture and design firms Kohn Pedersen Fox Associates and Kokai Studios, the multi-functional space will comprise 200,000 square meters of office area and almost 100,000 square meters of retail, food and beverage as well as lifestyle elements.

The finished project will be operated by Shui On Land. The firm already manages one of the largest office and retail portfolios in Shanghai and had CNY73 billion (USD10.2 billion) in assets as of this June.

Shui On Land's signature Xintiandi project began 20 years ago. It transformed a tired, historic area of the city center into an affluent shopping, eating and entertainment hotspot. 

Since then, the area has gone from strength to strength and expanded significantly. Its most recent addition, the Xintiandi Plaza, officially opened in May in the old Pacific Department Store building on Huaihai Road and is dedicated to women shoppers.

The developer is also upgrading its Xintiandi South Block, positioning it as 'Neo-Luxury' to meet the next level of luxury for a new era of consumerism. It will bring novel culinary and entertainment experiences to customers through the launch of innovative 'social' concepts, the company said. The transformation is expected to be completed by the end of next year, and the block will be renamed Xintiandi Style 1.