Construction begins at Gold Coast's Wanda Ridong Jewel

Work has begun on the $970 million Jewel development by China's Dalian Wanda Group and Ridong Group.

Queensland Deputy Premier and Minister for Infrastructure Jackie Trad launched construction on the three-tower mixed use development at Broadbeach at a ceremony yesterday.

The three-tower joint venture will comprise 500 apartments, 171 hotel rooms and retailers.

Dalian Wanda group chairman Wang Jianlin is reportedly China's richest man. His estimated $290 million capital injection into Jewel is part of his $1.7 billion investment commitment to the Australian real estate sector. Dalian Wanda Group's involvement in the development began in August 2014.

Ridong bought the 1.13 hectare site on Old Burleigh Road in 2010 for $81.8 million. Four buildings – two houses, a low-rise apartment block and a 14-level building of holiday units – have been cleared to make way for the development.

The development will have 130 metres of absolute beach frontage. Andrew Bampton, director of sales and marketing Wanda Ridong (Gold Coast) said the site was "one of the most lucrative hot spots for capital growth in the coming years".

Figures from CoreLogic RP Data show a slight recovery in median prices for Broadbeach units over the past year, following a steep price descent over 2013 from a peak of $525,000 to a trough of $412,250 in early 2014.

"Jewel will be the most significant development on the Gold Coast since the GFC, and the first true beach-front residential resort in more than 30 years. This investment is a $1billion vote of confidence in the City of the Gold Coast and in Queensland," said Brampton.

State Minister for Tourism Kate Jones and Gold Coast Mayor Tom Tate also attended yesterday's turning the sod ceremony.