HONG KONG Aug 8 China's largest commercial property developer, Wanda Group, said on Friday it plans to invest $1.2 billion to build a mixed-use development at a premier site in Beverly Hills, Los Angeles, as the company's first step into Hollywood's film industry.
Wanda said in a statement it will also set up an office in Los Angeles to handle entertainment sector investments, while its New York office will be responsible for commercial sector investments.
Cash-rich Chinese developers are increasingly snapping up land and luxury projects overseas as they diversify from the home market that is undergoing a correction.
"The Los Angeles project is expected to aid in China's entry into Hollywood's film industry and generally promote Chinese culture abroad," the company said, adding that it won the plot of land at auction with over 10 bidders from Asia and North America.
Last September, the developer launched a film and television industry project, Qingdao Oriental Movie Metropolis, in China's northeastern costal city of Qinddao, with an investment of over 50 billion yuan($8.12 billion).
Wanda's Hong Kong-listed arm, Wanda Commercial Properties , said in a separate statement on Friday it has declined to participate in the Los Angeles project with the group due to "the tight completion timetable strictly requested".
(1 US dollar = 6.1568 Chinese yuan) (Reporting by Clare Jim; Editing by)