Changsha county, a district of Hunan’s provincial capital, signed public-private partnership(PPP) deals worth 5.4 billion yuan ($843.81 million) on Aug 12 to boost its economy as an airport hub.

The Changsha airport project, a 54.6 square km area ranging from Changsha Huanghua International Airport to Changsha National Economic and Technical Development Zone, is positioned to be a modern service city. The area will cultivate aviation logistics, conventions, cultural tourism, business property, bio-medicine, and other industries, according to local officials.

PPP refers to long-term cooperation funded by private companies under government supervision. Based on the PPP model, Changsha county government signed up deals with two companies, China Railway Construction & Investment Group and China Minsheng Bank, to co-develop the first phase of the project, around 10 square km.

Changsha airport city is surrounded by major industrial parks, including the Changsha National Economic and Technical Development Zone and Liuyang National Economic and Technical Development Zone.

“It’s one of the most developed industrial areas in Hunan province,” said Li Jinkui, a professor from China Development Institute, “and it is well positioned to take the lead of the Changsha-Zhuzhou-Xiangtan area.”

Changsha county is currently seeking official status as a national airport economy demonstration area and a comprehensive bonded zone, said Hunan Daily, to build itself into the most versatile open platform in Hunan.