TAIPEI (Taiwan News) — Shin Kong Life Insurance said Wednesday it is willing to terminate its land lease for two parcels of land, T17 and T18, in Beitou-Shilin Technology Park, if Taipei City Government agrees to reimburse the company for related costs — a step that could clear the way for Nvidia’s planned Taiwan headquarters.
The move to resolve the stalemate was approved by Shin Kong Life’s board, which authorized Chair Wei Bao-sheng (魏寶生) to negotiate with the city government on terminating the land lease. The amount of compensation has not yet been finalized and will depend on further discussions, according to PTS.
The two plots were auctioned in October 2021 under a 50-year land lease program, with Shin Kong Life securing the rights for NT$4.4 billion (US$134 million). Nvidia CEO Jensen Huang (黃仁勳) confirmed in May the company plans to build its Asia-Pacific headquarters in the same area, favoring the T17 and T18 sites, according to CNA and UDN.
Negotiations between Nvidia and Shin Kong Life began in mid-2024, leading to a memorandum of understanding in May this year. It aimed to complete a direct transfer of the lease by the end of September, pending city approval, according to PTS.
Progress has stalled as the T17 and T18 sites remain undeveloped. While Shin Kong Life submitted a letter to the city in July expressing willingness to transfer the lease directly to Nvidia, the lease requires that buildings be completed and occupancy permits obtained before any transfer of land-use rights can take place.
Shin Kong Life has also offered to construct buildings according to Nvidia’s requirements before transferring the lease. However, Nvidia has not yet approved this arrangement.
In its Wednesday statement outlining five key points, Shin Kong Life said all acquisition and development procedures had been conducted lawfully and that it would not seek taxpayer compensation for potential future losses. The insurer added that it remains cooperative with both Nvidia and Taipei City Government, while urging clearer regulations to facilitate major investment projects.
Taipei Mayor Chiang Wan-an (蔣萬安) expressed concern on Oct. 10 that the lots had sat idle for three years. Deputy Mayor Lee Shu-chuan (李四川) said the city had considered ending the lease after Shin Kong Financial Holding’s merger with Taishin Financial Holding, though Shin Kong Life viewed such a move as coercive.
Taipei City Government had proposed mutually ending the lease to reclaim and re-lease the land to Nvidia. Shin Kong Life rejected the offer, arguing that the proposed compensation did not reflect the expected rental value and could harm shareholder and policyholder interests.
Deputy Mayor Lee estimated that the 50-year lease could have generated around NT$10.7 billion in profit for Shin Kong Life. If the termination proceeds, the city is expected to return the insurer’s NT$3 billion performance bond and provide an additional NT$500–800 million in compensation.
Shin Kong Life Chair Wei noted that after the city rejected previous proposals. He added the company only seeks reimbursement for costs already incurred and has never requested compensation for potential future losses. Wei added that he plans to recommend to the board that any agreed-upon compensation be allocated to public welfare initiatives.
