(Yicai) April 21 -- JD.Com has spent CNY663 million (USD97.2 million) to purchase a land parcel in Hangzhou, marking significant progress in the Chinese internet giant's plan to build a regional headquarters in the city known as China's e-commerce capital.

JD.Com's subsidiary bought the 26,300-square-meter plot located in the core area of the Qiantang Bay Future Headquarters Base in the city’s Xiaoshan district for business and financial purposes, Zhejiang province's Natural Resources Online Trading Center announced yesterday. The land use rights have a term of 40 years.

Well-known buildings around JD.Com's new parcel, which has a front-row view of the Qiantang River, include the building cluster of Hangzhou Olympic Sports Center Stadium, known as "the Big Lotus," the Hangzhou Century Center, the tallest building in the city, several high-end residential complexes, and multiple facilities under construction, including an art gallery, a museum, and a library.

The land was tailor-made for JD.Com and must serve for "commercial and business use to construct HQ-type buildings," according to a previous announcement by the management committee of Qianjiang Century City in Xiaoshan district. Bidders were required to build a comprehensive center for home appliances and furniture with a floor area of no less than 35,000 sqm and achieve consumer goods retail sales of at least CNY15 billion (USD2.2 billion) in the area by 2030.

JD.Com will leverage its comprehensive advantages in e-commerce, modern logistics, new physical enterprises, and technological innovation to invest in and build a regional management center, an intelligent logistics base, and a new retail innovation center in Xiaoshan, according to a deal the Beijing-based firm signed with the local government last June. The three projects must be built within five years, with the total investment expected to reach CNY5 billion (USD733.4 million).

Editors: Tang Shihua, Martin Kadiev