Chinese Billionaire Buys Land Near US Defense Contractors
Udumbara
An industrial property in Nashua, New Hampshire, spanning 23 acres, was sold in January to China’s largest bottled water company, owned by one of the country’s richest billionaires. The sale has since garnered attention due to its proximity to U.S. defense facilities.
On May 29, congressional candidate Lily Tang Williams in New Hampshire’s Second District visited 80 Northwest Boulevard in Nashua, trying to bring attention to the national security risks.
“L3Harris, defense contractor, [is] just right here across the street.
“We get upset when the balloons fly over, but now they’re here, they are in my backyard, in New Hampshire. Please, somebody investigate this.”
The new industrial property is also near other military-related facilities. Apart from being very near defense contractor L3Harris, BAE Systems’ electronic systems sector is less than a 10-minute drive away, and the New Boston Space Force Station (formerly New Boston Air Station) is within a 30-minute drive.
BAE Systems, another defense contractor, operates under a special security agreement for sensitive U.S. defense programs. It has a major presence in Nashua.
According to Williams, the property was appraised at $15 million but sold for $67 million, more than four times the assessed value, without review by the Committee on Foreign Investment in the United States (CFIUS). This occurred during the presidential transition period.
The buyer, Chinese bottled water company Nongfu Spring, is owned and founded by Zhong Shanshan, who also serves as its chairperson. Zhong also holds a majority stake in Beijing Wantai Biological Pharmacy Enterprise.
Chinese Land Purchases
Chinese entities have long been acquiring farmland near critical U.S. military bases, sparking concerns about potential espionage or sabotage.Amid escalating trade and political tensions between the United States and China, land owned or purchased by individuals and entities linked to China near military facilities or infrastructure is under intense scrutiny.
This legislative action was motivated by concerns over national security, particularly regarding Chinese Communist Party-linked companies such as GNC Holdings LLC, which operates more than 80 stores on U.S. military installations. The bill addresses potential espionage risks posed by such foreign-controlled entities on or near military facilities.
Key changes include expanding CFIUS’s jurisdiction to cover real estate transactions within a one-mile radius of 40 additional military installations and within a 100-mile radius of 19 others.
These changes stem from a comprehensive Department of Defense assessment to ensure CFIUS’s regulations align with evolving national security risks, particularly to protect critical military assets from potential foreign threats.
Between 2020 and 2022, Chinese investors conducted 97 land transactions in the United States, outpacing all other foreign investors, according to a 2022 report from CFIUS.
While the report does not exclusively detail real estate transactions, the U.S. Department of Agriculture’s latest report highlighted the states with the largest Chinese-owned land holdings: Texas leads with 159,640 acres, followed by North Carolina with 44,776 acres, Missouri with 43,071 acres, Utah with 32,447 acres, and Virginia with 14,382 acres.
Florida, Texas, Alabama, Arkansas, Idaho, Indiana, Louisiana, Mississippi, Montana, North Dakota, Oklahoma, South Dakota, Tennessee, Utah, Virginia, and West Virginia have passed legislation, often focusing on agricultural land or properties near military bases.
