Citic’s Stanley Ching is on the hunt for more acquisitions
One of China’s biggest investment houses sees more cross-border real estate investments in 2017, despite an intensifying capital clampdown. Also in the headlines today, a Macau casino clan has taken enough off the tables to buy Exxon’s Melbourne office for A$160 million, and China’s property roller coaster is ready for the next set of twists and turns as real estate investment heads downhill again. Read on for all these stories and more.
Citic Capital Targets More Cross-Border Deals as Yuan Slides
Citic Capital, the Chinese state-owned asset management firm, is looking to accelerate its overseas investment in Britain, the United States and Japan to meet growing demand from clients, despite China stepping up its efforts at tightening capital outflows.
“Chinese investors needing to put capital overseas for diversification, will continue to be a sign of the times,” said Stanley Ching, head of real estate at Citic Capital, adding that the investment house is on track to make investments in the UK, the US and Japan. Read More>>
Macau Casino Owners Buy Exxon Office in Melbourne for A$160M
A Chinese-backed company with ties to a Macau gaming dynasty has acquired oil giant ExxonMobil’s headquarters in Melbourne for just under $160 million as sales in the Victorian capital surge at year end.
Nice Future International Investment last week placed a caveat on the tower at 12 Riverside Quay in Southbank. The Australian can reveal the company’s shares are held by Keong Kuong Loi, owner of the Rio Casino in Macau. The local company was set up in July and has an Australian base in Melbourne’s blue chip 530 Collins Street building. Read More>>
Are Debt Problems on the Way for China’s Bond-Fueled Builders?
For China’s highly leveraged real estate developers, 2017 could be the year that the borrowing binge finally catches up with them.
Regulators have choked off a key source of funding, with the Shanghai Stock Exchange raising the threshold for property firms to sell bonds on their platform in October. Since then, builders haven’t sold any notes in a market that played host to about 40 percent of their onshore debentures over the past two years, data compiled by Bloomberg show. Read More>>
China Property Investment Cools as Govt Clamps Down on Home Sales
Investment in China’s property sector cooled in the first 11 months of 2016 as measures rolled out by the central government to rein in house prices begin to make a difference, official data showed Tuesday.
Real estate investment rose 6.5 percent year on year in the first 11 months of 2016, slightly lower than the 6.6 percent registered during the January-October period, according to the National Bureau of Statistics (NBS). Read More>>
Developers Head for Niches as Mainland Market Cools
Amid heightened government controls on the property market and a dimmer outlook for the sector next year, talk of “transition” and “differentiation” has resurfaced among China’s real estate developers.
Discussion about shifting away from homebuilding toward providing property services have dominated every recent industry conference in Beijing and Shanghai, while every developer suddenly seems to have a plan to target niche markets. Read More>>
Tune in again tomorrow for more news, and be sure to follow @Mingtiandi on Twitter for headlines as they happen.
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