For Immediate Release

(Hong Kong, January 2, 2001) Bauhinia Garden in Tseung Kwan O, a Private Sector Participation Scheme (PSPS) project developed by Jade City International, a wholly owned subsidiary of Shui On Construction and Materials Limited ("SOCAM"), will be available for application starting from tomorrow, January 3, 2001, as part of Home Ownership Scheme (HOS) Phase 22B. This large-scale development is comprised of eight 41-storey blocks, providing 3,200 residential units with gross floor area ranging from 502 square feet to 693 square feet, with efficiency rate up to around 86%. The selling price ranges from $579,800 to $1,327,200, which is about 56% of the market value.

Mr. Louis Wong, Deputy Managing Director of Shui On Construction and Materials Limited, said, "With our meticulous design and master planning, Bauhinia Garden epitomizes high quality residential properties for the public. The development is located at the heart of Tseung Kwan O, easily accessible by public transportation. Not only does it utilize high quality materials, fittings and finishes, Bauhinia Garden is also the first HOS/PSPS project featuring intelligent home capability, with broadband optic fiber pre-installed in every flat. The estate captures the spectacular seaview of east of Hong Kong Island, Clear Water Bay Peninsula and Sai Kung. Bauhinia Garden offers the very same surroundings, materials and facilities found in upmarket private housing estates. Offered at such a reasonable price level, Bauhinia Garden is the ideal home for the public."

Bauhinia Garden is situated at the transportation hub of Tseung Kwan O. Through a covered pedestrian walkway, Bauhinia Garden residents can reach the Tseung Kwan O MTR Station within 3 minutes, when the proposed Tseung Kwan O Line is inaugurated in 2002. Many bus routes and minibus routes will pass by the estate, allowing residents fast and convenient access to other areas of Hong Kong.

Bauhinia Garden boasts more than 130,000 square feet of landscaped gardens and amenity areas. The estate's highlight is a private 25-meter outdoor swimming pool, which comes with a landscaped waterfall and sun bathing area. These features are rarely found in HOS projects.

In addition to an outdoor swimming pool, Bauhinia Garden offers a vast array of recreational facilities, including a BBQ area, tennis court, badminton courts, a basketball/volleyball court, multiple children play areas, spacious changing room, indoor and outdoor fitness facilities, jogging track, Tai-chi practicing area and many other amenity facilities. The estate is built with one 2-storey multi-purpose shopping arcade, one 3-storey kindergarten and one 8-storey parking building offering 566 car parks. With nearby shopping malls, secondary and primary schools and facilities such as a civic center, the self-contained Bauhinia Garden community fulfills every resident's daily needs.

Bauhinia Garden is also the first HOS/PSPS project designed with intelligent home features. Residents can access the Internet through broadband at home to enjoy the ultra-speed excitement. Residents can also book recreational facilities through the estate Intranet and experience intelligent home living.

The 1,000 sq ft-strong main entrance is designed in hotel-lobby style, with floor and walls finished in quality granite, and a metallic false ceiling. All flats come with solid core main door and stylish durable stainless steel door gate. The plastered internal walls and ceilings are finished with emulsion paint. The kitchen is lined with high quality marble tiles and hanging cabinet. The bathroom is equipped with a European-imported bathtub, washbasin, and wall storage with mirror. The materials and fittings of each flat rival those used in upscale private housing estates. Flat owners can move in as they-are, without spending lots of money on extensive renovation.

It is expected that the residential units in Bauhinia Garden will be completed in February 2001 and be ready for occupation in April 2001. Show flats are available at Units 32-38, G/F, International Trademart, Kowloon Bay, opening daily from 10am to 7pm. Shui On arranges free shuttle buses, running to-and-fro between the Customer Services Centre of Housing Authority in Lok Fu and the showflat in TradeMart, for potential buyers.

For more information about Bauhinia Garden, please visit the website: http://www.bauhiniagarden.com.

Shui On Construction and Materials Limited, a member of the Shui On Group, was listed on the Hong Kong Stock Exchange in 1997. Apart from SOCAM, the Shui On Group has a separate, non-listed property arm with investments in Hong Kong, the United States, Beijing, Guangzhou and, in particular, Shanghai where it has a land bank of 3.5 million square metres of buildable space in very centrally located sites.

This press release can be downloaded from http://www.shuion.com

For further information, please contact:

Shui On Construction and Materials Limited Ronny Pang Tel: (852) 2879 1866 Fax: (852) 2787 4211 Email: corpcomm@shuion.com.hk

Ogilvy Public Relations Anita Ko Tel: (852) 2884 8529 Fax: (852) 2560 0681 Email: anita.ko@ogilvy.com