The National Theatre Company of China will build its new compound at a location outside the buffer zone around the Forbidden City, or the Palace Museum, in Beijing.

The Beijing Daily reports around 310 million yuan, or about 40 million US$, will be spent to build a 900-seat theatre on the new site, near the southwest second ring road, with state-of-the-art facilities.

The National Theatre is currently located inside the buffer zone for the Forbidden City, a rectangular area in central Beijing set up to restore the world heritage site's original atmosphere.

The Beijing municipal government has specified buildings with overly bright colors or western designs will not be allowed to stay within the buffer zone.

(CRI.cn April 10, 2007)