Guangzhou's Shamian Island, a former foreign consular district and leased territory, is being converted into a new economic zone to attract multinational companies to establish their regional headquarters.

Sixteen old European-style buildings are being repaired and the interiors decked up for foreign companies, said Zhou Yawei, chief of Guangzhou Liwan District.

"All repair and internal decoration projects will be completed in October," Zhou said at a conference on reconstruction of Shamian Island this week.

Many offshore companies are in talks to set up their subsidiaries and offices in the island that covers only 0.3 square kilometers.

Lined with trees and old Western-style buildings, Shamian Island, also known as Guangzhou Bund, is one of the places with the strongest European legacy on the mainland.

Many Western countries had set up their consulates, banks and trading firms in Shamian after it was listed as a concession in 1859.

"In addition to financial support, we need foreign expertise to protect historic relics," Zhou said.

Located in the northern part of the Pearl River in Liwan District, Shamian Island is expected to become a new tourist attraction and leisure area in the southern metropolis after its tourist facilities are updated, Zhou said.

The island now has three bridges connecting it with Guangzhou's busy streets in Liwan District, a traditional commercial center in southern China.

Construction of Shamian Headquarters Economic Zone is part of the Liwan District government's efforts to build a Pearl River economic circle.

Liwan is the only district that has double banks of the Pearl River in Guangdong's capital.

Covering an area of more than 650 hectares, the Pearl River banks in Liwan District will include new business centers, luxury office buildings, sightseeing areas, commercial apartments and a cyberport.

Editor: Yan