China Housing & Land Development, Inc. Completes Initial Baqiao Land Sale of 18.4 Net Acres to Xi'an Developer for $25.2 million

XI'AN, China, Jan. 2 /Xinhua-PRNewswire-FirstCall/ -- China Housing & Land Development, Inc. "China Housing" (OTC Bulletin Board: CHLN), a leading developer of residential and commercial properties in the city of Xi'an announced today that it has completed the first land sale of the Company's Baqiao Project to a local developer on December 24, 2007 for total consideration of approximately $25.2 million.

This transaction included the sale of 18.4 net acres of land, which provides the capacity to develop 2.6 million square feet of real estate construction area, and encompasses a total area of approximately 25 acres, which includes government owned infrastructure such as roads, utilities and public areas. Terms include an initial payment of $15.1 million which has already been received with the balance to be paid by June 24, 2008.

The average price paid per net acre was approximately $1.37 million and the Company believes this sale will enable it to successfully surpass the 2007 Make Good Target of $16.3 million.

"We are very pleased to complete our first Baqiao land sale, which is a major inflection point in our Company's evolution and helps quantify the opportunities and value of the remaining 468.6 acres of net sellable land we control," Mr. Lu further commented. "We are currently engaged in substantial discussions with potential joint venture partner for the purpose of developing the next 80 acres of Baqiao and expect to complete an agreement during the first half of 2008 with construction to commence during the calendar year and pre-sales to begin during 2009. Additionally, we have generated approximately $16 million in Junjing Garden II pre-sales, which included nearly 400 units with an average sales price of $52 per square feet. The next phase of pre-sales will encompass 300 units and commence in 2008.

"While prices continue to trend higher at a faster rate than most areas in China, we firmly believe the large disparity in valuations as compared to other major metropolitan markets bodes very well for further development and price appreciation throughout Xi'an in the coming years. As previously stated, the local government expects to invest over $7 Billion USD during the next ten years for overall infrastructure development to accommodate approximately 900,000 new citizens in the Baqiao area. As a key component, the government expects to commence the new City Subway Engineering Project during 2008, something we view as a significant value proposition for Baqiao as it will provide connectivity to downtown, the airport and the Terra-cotta Warriors site. We now have our strategy firmly in place to continue the infrastructure build-out, which is being facilitated through the ownership of Xi'an New Land Development subsidiary, and will enable us to develop larger joint venture partnerships during the next several years."

About China Housing & Land Development, Inc.

Based in Xi'an, the capital city of the Shaanxi province in China, China Housing & Land Development, Inc. is the largest Private developer of residential and commercial properties. China Housing has been an independent business since 1992 and became a US publicly listed company in 2006.

Cautionary Statement Regarding Forward Looking Information

This Press Release may contain forward-looking information about China Housing & Land Development, which are covered under the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. These statements can be identified by the use of forward- looking terminology such as "believe," "expect," "may," "will," "should," "project," "plan," "seek," "intend," or "anticipate" or the negative thereof or comparable terminology, and include discussions of strategy, and statements about industry trends and China Housing & Land Development's future performance, operations and products. Actual performance results may vary significantly from expectations and projections. This and other "Risk Factors" contained in China Housing & Land Development, Inc.'s public filings with the SEC.

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