The website of Shenzhen Public Resource Trading Center has updated a bid announcement. China Construction Third Engineering Bureau has won the engineering contracting right for the Xinqiao Street urban renewal project in Bao'an District with a bid of 754 million yuan.

54.7 billion yuan - this is the total investment label attached to the project. Placed in Shenzhen, this is the largest single urban renewal project in the past five years; Placed nationwide, it is also one of the top giant level old renovations.

The news quickly spread in the construction industry. The head of the marketing department of a regional state-owned enterprise wrote on their social media account, "I've been waiting for too long on this day

For Shenzhen, a city whose land development intensity is approaching its limit, the story of outward expansion is coming to an end, and the script of inward renewal has just begun. And the victory of China Construction Third Engineering Bureau is not just about winning a project, but more like occupying a good position for itself in a new round of industry reshuffle.

A brutal 14 in 1 bidding

There are no weaklings participating in this bidding.

China Construction Second Bureau, Third Bureau, Fourth Bureau, and Fifth Bureau were all present, along with other powerful enterprises, making a total of 14 companies. Every name is the ace of China's construction industry.

But the rule is cruel: only one person can stay.

In the final evaluation stage, China Construction Third Engineering Bureau won 6 votes and became the only candidate for winning the bid. This is not a tie, but a winner takes all.

Outsiders see the halo, while industry insiders see the gap. A business insider who participated in the bidding reviewed afterwards and said, "It's not that our quotation is not low enough, it's that they calculated the urban renewal account too thoroughly

The contract price of 754 million yuan corresponds to an estimated engineering contract value of 1.168 billion yuan. The price advantage is obvious, but what really made the judges press the voting button was the set of plans submitted by China Construction Third Engineering Bureau - from the list of old buildings to the transition and resettlement of residents, from the underground pipeline network renovation path to the operation and maintenance cost model for the next 20 years.

This is an answer sheet that has calculated all the historical, livelihood, technological, and commercial accounts.

From building to operation

The old city area of Xinqiao Street is a microcosm of Shenzhen's early industrialization. The handshake tower, narrow alleyways, and spider web like overhead lines carry the memories of the first generation of builders who came to Shenzhen to settle down.

Urban renewal cannot be done from scratch, but must regrow on this texture.

This means that the contractor needs to understand planning, cultural preservation, relocation, as well as investment attraction, operation, and long-term maintenance. It is not about replacing old houses with new ones, but transforming single function residential areas into multifunctional urban units.

The confidence of China Construction Third Engineering Bureau in winning comes from the "full chain service capability" accumulated in more than 20 urban renewal projects across the country in the past five years. In Yongqing Fang, Guangzhou, they have explored the revitalization path of historical districts; On Hanzheng Street in Wuhan, they passed through the deep water area of the old market renovation; In Mengzhuowan, Chengdu, they have experimented with a three party shared renewal model involving the government, enterprises, and residents.

These experiences ultimately converge into one sentence: China Construction Third Engineering Bureau not only knows how to build buildings, but also knows how to build cities.

The role of city builders is precisely the direction of the transformation of the construction industry - from construction teams to comprehensive service providers, from earning project funds to sharing the long tail benefits of urban value-added.

The new track of urban renewal has opened its gates

54.7 billion yuan, placed in the national urban renewal market, is just the tip of the iceberg.

According to relevant research and calculations by the Ministry of Housing and Urban Rural Development, during the 15th Five Year Plan period, there will be approximately 170000 old residential areas that need to be renovated nationwide, involving hundreds of millions of residents, and the total investment scale is expected to reach trillions of yuan. The protection of historical districts, upgrading of infrastructure, construction of smart communities, and aging friendly renovations... Each sub track is a billion dollar blue ocean.

Against the backdrop of deep adjustment in the real estate industry, the growth rate of traditional new construction and development business has slowed down, and urban renewal is becoming a strategic track for construction central enterprises, state-owned enterprises, and even private enterprises to compete for positions.

But the threshold for this track is much higher than building a new house.

It requires enterprises to have cross cycle management capabilities - a city renewal project often spans eight to ten years from project initiation to mature operation; It requires enterprises to have multi-disciplinary integration capabilities - planning, design, construction, finance, investment attraction, and property management, all of which are indispensable; It also requires companies to have social governance capabilities - finding the greatest common denominator between residents' demands, business logic, and historical and cultural preservation is far more complex than pouring concrete.

The acquisition of this 54.7 billion yuan project by China Construction Third Engineering Bureau is a proof of its strength and a microcosm of its transformation. It sends a clear signal to the entire industry that the era dividend of urban renewal has been unlocked, but only for those enterprises that have completed capacity reconstruction.

In the future, this mega project will be further divided into dozens of sub projects, including municipal supporting facilities, landscaping, smart communities, and commercial operations. More enterprises in the industrial chain still have the opportunity to enter the market. Keywords: Latest news on infrastructure engineering, Infrastructure Engineering News Network

Shenzhen New Bridge is just the starting point. The chapter of national urban renewal has just begun.Editor/Gao Xue