Brookfield India REIT Hit With $3M Quarterly Loss and More Asia Real Estate Headlines

In today’s roundup of regional news headlines, Brookfield India REIT reports some red ink and China’s property investment slump deepens. Also on the list are Beijing’s new task force to examine risks at a large wealth manager and a pair of former GIC execs making it rain at their own private equity shop.

Brookfield India REIT Swings to Quarterly Loss as Consolidated Income Rises

Brookfield India REIT reported a net consolidated loss after tax of INR 270.05 million ($3.2 million) for the quarter ended 30 June, reversing a INR 471.43 million profit in the year-earlier period.

The company’s net consolidated total income stood at INR 3.2 billion, up 6.6 percent year-on-year. Read more>>

China’s Seven-Month Property Investment Down 8.5%

Property investment in China fell 8.5 percent in the first seven months of 2023 compared with the same period a year earlier after sliding 7.9 percent in the January-June period, according to data from the National Bureau of Statistics on Tuesday.

Property sales by floor area in China declined 6.5 percent in the first seven months from a year earlier, compared with a 5.3 percent fall in the first six months, official data showed on Tuesday, amid still-weak demand and a deepening debt crisis. Read more>>

China Sets Up Task Force After Top Wealth Manager Misses Payment

China’s banking regulator has set up a task force to examine risks at Zhongzhi Enterprise Group, one of the nation’s top private wealth managers, after a unit missed payments on multiple high-yield investment products.

The National Financial Regulatory Administration established a working group last month to gauge the outstanding debt and risks at one of the main financing arms of Beijing-based Zhongzhi, which oversees more than RMB 1 trillion ($138 billion) of assets, according to people familiar with the matter, who asked not to be identified discussing a private matter. Read more>>

Ex-GIC Managers Raise $567M for Asia Private Equity Deals

A Singapore-based private equity firm started by two former investors from sovereign wealth fund GIC has raised $567 million to spend on deals across Southeast Asia and India.

The amount generated by Growtheum Capital Partners is one of the largest in the region this year, according to data from Preqin. The firm was founded by managing partner Amit Kunal and partner Choo Koon Po in late 2021. Read more>>

Country Garden Crisis Drags Down Other Builders That Got Support

A potential default at development giant Country Garden has led to greater scepticism of the efficacy of China’s property policy help.

A group of builders that have received assistance in the form of state guarantees on RMB note sales have suffered the most in recent days, after Country Garden’s stumble showed that such aid has not been sufficient to help avoid repayment risks. Read more>>

Lendlease Flags UK Residential Law as Losses Widen

Australian developer Lendlease Group on Monday posted growing losses for the year, reflecting tough trading conditions and lower valuations for its properties coupled with the impact of legislation in the United Kingdom.

Lendlease had earlier signed a contract and had taken an A$295 million ($190.8 million) provision against potential liabilities for its properties in the UK because of industry-wide action by the country’s government. Read more>>

Huawei Denies Branching Out Into Real Estate

Chinese telecom giant Huawei Technologies denied reports of diversification into real estate, following speculation that was triggered after a business registration database showed it had formed a property investment company.

The Shenzhen-based company said in a statement that its wholly owned unit Dongguan Tangya Industrial Investment was set up mainly for the construction and management of a housing project for its employees. Read more>>

CK Asset Sets Prices for New Coast Line Flats After Blockbuster Sales Weekend

Hong Kong developer CK Asset Holdings has released the price list for the first 50 units at its Coast Line I project just two days after homebuyers snapped up all 626 apartments at Coast Line II on the first day of sales on Saturday.

The average price of the first batch of 50 flats has been set at HK$15,250 ($1,950) per square foot, or 1.68 percent higher than the average price of the first batch at Coast Line II, because Coast Line I is nearer to the harbour in Yau Tong and offers better views. Coast Line I will have a total of 228 units. Read more>>

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