Deal warming up to develop Iceland tourism property

After months of waiting, Chinese business tycoon Huang Nubo said he's close to finalizing a deal to rent land in Iceland to develop for tourism.

"The whole deal is reaching finalization today. I think the outcome won't be far from my expectations," said Huang, fully confident in the realization of his $200-million investment plan for 300 square kilometers of land in northeast Iceland.

In an exclusive interview at his office on Friday, Huang explained that if everything goes well during discussions on the deal at an Iceland cabinet meeting on Friday, Icelandic time, then the deal will be realized.

Then he could sign contracts in mid June.

"On Tuesday, I already got approval on the land lease from the Icelandic Ministry of Industry," Huang said.

Huang stirred controversy in 2011 when his company, Beijing Zhongkun Investment Group, announced plans to buy the piece of land for a top resort and tourist facility.

In November, the Icelandic Minister of the Interior rejected the purchase.

Huang showed more calm and confidence when talking with China Daily this time, compared with the anger he revealed when commenting on the rejection in November.

"My patience has paid off," he said.

"My confidence in Iceland's interest in attracting foreign investment, and my connection with both the country and its people has helped," said Huang, adding that his Sino-Icelandic poetry festival went a long way toward people knowing and accepting him.

He said the Icelandic side has been contacting him frequently since the rejection.

"The Icelandic officials and residents know the significance of my investment in a time of the financial crisis, and they know it sends out messages of Icelandic attitude toward foreign investment," Huang said. "They've been working hard to find a way of making the plan possible."

Backed this time by the Icelandic Ministry of Industry, and coordinated by Invest in Iceland agency, the new terms would allow Zhongkun to use the land under a long-term lease agreement, rather than as a direct purchase.

Thordur Hilmarsson, managing director of the agency, is optimistic the deal will go through.

"We are working according to Icelandic law and hopefully the outcome will be satisfying for both parties," Hilmarsson told Icelandic media.

Huang is hoping the duration of the lease will be 99 years, especially for the core construction areas.

Huang believed that if the deal is made, it will be pioneering and exemplary for privately-owned Chinese companies going global.

He said he noticed several new agencies starting branches in Iceland after the series of events related to his deal.

"More interesting stories are yet to come," he added, referring to the heated role that the arctic area will be playing because of his investment.

Huang is hoping the Icelandic resort will open for business in five years, if agreement is reached by both sides.

"The amount of investment will not be changed, and I'm building luxurious hotels, highland parks and a resort, as planned," Huang said.

meijia@chinadaily.com.cn