Abstract: It is very important to evaluate land use efficiency for land managers and policy makers. In this paper, through the portfolio model of land use, we evaluate the effect and efficiency of land use and management in reclaimed area of Lingang New City, Shanghai from 2003 to 2010, using two indicators of Sharpe index (θ) and economic return per unit of risk (δ). The result of the study shows that from 2003 to 2010, Sharpe index (θ) increased from 0.11 to 12.77 and economic return per unit of risk (δ) increased from 0.69 to 12.96, indicating that land use of reclaimed area of Lingang New City has a good effect. Analysis on the efficiency frontiers indicates that Sharpe index (θ) and economic return per unit of risk (δ) failed to achieve the optimal value from 2003 to 2010. The land use was under-utilization in 2003; the status of the land use in 2008 was between the optimal value of "economic return-risk" and the optimal value of "total return-risk" ; the intensity of land use in 2010 was too high. Because of the lack of data, it is difficult to estimate the optimal portfolio of the land use in the future.