Dalian

Last week my team and I were sent to Dalian to conduct research on a few properties namely villas and golf courses – a confidentiality agreement with our clients prevents me from elaborating – however my experiences in Dalian are worth posting. In 2006 I had briefly visited this city as the last stop on my Trans-Siberian journey before heading to Beijing, but I now realize that I had in fact only skimmed the surface.

This modern metropolis of six and a half million people sits on a peninsula in the Northeast province of Liaoning, with the Bohai Bay separating it from Beijing and the rest of mainland China in the West and the calm Yellow Sea separating it from the Koreas in the East. What I love about Dalian in comparison to other Chinese cities, especially Beijing, is its rich natural environment and its promotion of a healthy, fashionable, and modern lifestyle. Considered as China’s cleanest city, Dalian prides itself in its clear air, its beautiful golden coastline, and its enchanting integration of rolling hills and cityscape. Perhaps this city can be best described as China’s San Francisco. Although lacking in a big red bridge, Dalian has been able to maintain its San Fran image over the years by replacing heavy industry with services and creating what many agree has become China’s “Silicon Valley”. Strategically developed IT parks with policies encouraging investment have covered the peninsula, attracting the world’s biggest players which include Intel, Sony and Cisco. If you have an R&D center in China, and that's practically everyone these days, chances are you’re based out of Dalian. This massive influx of foreign software engineers and various service-oriented employees not only helps foster a high-tech cosmopolitan with attractive natural amenities (likes golf courses, beaches, and hiking trails), but also diversifies the population with Chinese, Japanese, Korean, and Russian cultures all blending together to create one of China’s most dynamic communities.

I certainly would like to revisit. And with real estate investments shifts to hot spots in tier II cities like Dalian, I am sure that I will get a chance to feel that ocean breeze once again in the near future. Now I shall share one interesting observation or discovery from each day of my trip…

DAY 1: During a visitation to one of Dalian’s golf courses we happened to stumble upon a new construction site where villas were being constructed. A critical part of our research involves asking questions about new projects while using developers and on-site contractors as vital sources. However, the men at this particular project were quite short with us, refused to cooperate, and even physically confronted me as I attempted to photograph the development. My suspicions of foul play were later vindicated by the City Planning Bureau who asserted that the local Mafia does have a heavy hand in many real estate projects throughout Dalian. These organized crime syndicates launder money by buying back properties they themselves develop. Liaoning Province is not new to shady business practices. Recently, a drug company based in Shenyang began producing nutritional snacks and beverages using ingredients found in ants. Unable to farm its own ants, it sold ant eggs to investors who after a few years of ant farming would sell the ants back to the company for a hefty return. Speculation in this market attracted millions of investors, and promised returns were rightfully awarded, until of course the product failed, funds were misappropriated and the money dried up. The company went bankrupt, the CEO was arrested, and the government is now trying to keep a lid on this insidious scandal that has destroyed many lives and has begun to foster unrest in Northeast China.

Menacing CEOs are a relatively new threat to order and stability in Shenyang, but for some time now, Shenyang has been notoriously known for harboring some of China’s most dangerous gangsters... who occasionally come down to Beijing. Last year, during one of my late night adventures in Beijing, I happened upon a British man (from South Africa) acting as a liaison between the Beijing government and the nightlife community in Eastern Beijing. I don’t know why he took my friend and I under his wing but after a night of meeting numerous night club owners, receiving VIP service at every location (everything on the house), drinking with a Nigerian drug lord in a white suit and a 10 man posse, running from men with guns, and arm wrestling (and losing) with Shenyang gangsters hired to protect our new British friend, I now know that organized crime in China is more prevalent than they (the government) would like us to believe.

DAY 2: The Japanese and Korean societies are not necessarily best known for being champions of women’s rights. The West also still has a ways to go on that front, but in China where Mao once attempted to destroy all gender lines and where pornography is illegal, erotic entertainment along with the objectivity of woman is a token characteristic of Japanese and Korean catered businesses – many which can be found in Dalian. After a long days work, I went up to the concierge at the Shangri-la Hotel to inquire about bars that expats may enjoy. My colleagues and I were shocked to find out that their recommendation, a place called Alice’s Bar, was in fact a “room salon” – a place where many Japanese and Korean businessmen go to pick a concubine for the night. Many of the bars in the area had women in bras hanging out around the doorways inviting foreigners walking down the street. Dozens of sex shops had moved into the neighborhood selling sex paraphernalia and “happy ending” massages could be found at every corner. Perhaps we had stumbled upon the epicenter for sex in Dalian, the red light district if you will, but after seeing other parts of the city I realized that sex (and its character xing) was omnipresent. Luckily for us, we found a nice American bar with a pool table and some Tom Petty tunes – although there were middle aged Western men chatting with young flirtatious bartenders, it paled in comparison to the Korean sex buffets across the street.

DAY 3: There is a lot of history in Dalian. The Japanese and Russians both at some point used Dalian as a strategic port and military base for their expanding their empires. During these oppressive times, key infrastructural projects were carried out and architecturally impressive structures were built. The mixture of modern design, Maoist style and Russian architecture and city planning, has created a very dynamic and aesthetically pleasing city. Dalian’s heightened sense of fashion among other cities in North China has often been credited to its long history of foreign influence, similar to Shanghai. However, during my visit to Port Arthur (now called LuShun) 50 km west of downtown Dalian, foreigners especially the Japanese are not welcome (unofficially). This port which has held Japanese and Russian warships is now a key naval base for China making this sensitive district very different than the rest of the city. Although those living in military zones in every country are by nature close-minded I was still irked when I heard two people in front of me tell my colleagues that “waiguoren bu xing” or “Foreigners are Not OK”


All in all, Dalian is fun and beautiful city and if I have the opportunity to return again, I have to remember to bring my golf clubs and swimming trunks.