Shanghai will build a 3,250-bed Covid-19 quarantine complex on an island in the Huangpu River in the city’s centre, Reuters reports.
China Communications will build the $191m, 14-hectare facility on Fuxing Island.
Reuters got the information from government tender documents, which did not say when work would begin or end.
China is determined to follow a zero-Covid policy despite the economic impact of city-wide lockdowns. That was reaffirmed at the 20th National Congress of the Chinese Communist Party, held this week.
Shanghai itself was locked down in April and May of this year, which led to hardship for those affected and a 62% decline in manufacturing output.
However, the strictly observed policy has also allowed China to restrict infections to just over a quarter of a million over the past two years, with a relatively low toll of 5,226 deaths.
Shanghai, like other Chinese cities, has continued to respond to outbreaks with mass testing and targeted lockdowns.
The Caixin news site reports that Shanghai is offering two-year contracts to hundreds of community workers who will run testing stations and coordinate lockdown logistics.
Other cities have built similar quarantine accommodation. For example, the southern metropolis of Guangzhou has a 5,000-bed quarantine centre that is used to hold travellers entering China from abroad.