"Given our studio's rich history, MGM is synonymous with Hollywood, and we are excited to bring this experience to consumers in Shanghai," says CEO Harry Sloan, in a release. The 200,000-sf development, he explains, is "the first step in bridging traditional Hollywood entertainment with China's film and television industry."

MGM is joining forces with a partnership of Shanghai Tianhong Real Estate Investment Co. and Hong Kong-registered Tengxun Entertainment Management in a deal sporting a total investment value of $15.5 million. Tianhong will be the developer and contractor, and Tengxun is serving as project manager and will be responsible for operating the complex upon completion. MGM will serve as licensor and creative collaborator, but will not participate in the project financially or in operations.

Tianhong chairman Chai Zhi-kun vows that MGM Studio World "will become one of the best shopping venues in Shanghai," while Tengxun president Bao Hwang boasts the venture "sets a new standard of collaboration between the entertainment industry and commercial real estate" as China opens itself up to the world.