Evergrande’s Xu Jiayin seems unconcerned by his growing debt burden
China’s drive to reduce leverage has been in the headlines since last year, but not everyone seems to have heard the news, as developer China Evergrande Group just was approved to add more than $350 million in new debt in the last two weeks, and earned itself a spot at the top of Mingtiandi’s real estate headlines for the day. Also ranking among the top stories today is a tender for a 3,000 square metre commercial site in Singapore, and America’s biggest landlord may be expanding its India office footprint. Read on for all the details on these stories and more.
Evergrande Approved to Raise RMB 2.25B in ABS
Junk-rated China Evergrande Group, the nation’s second largest builder by sales, is turning to the domestic market for fundraising after its offshore bond issuance hit record high coupon rates, as investors become concerned about fallout from the cooling property market.
Evergrande Real Estate Group, the flagship subsidiary under the Evergrande Group, has received approval to raise 1.21 billion yuan (US$174.21 million) through the issuance of asset-backed securities (ABS), according to a notice on the Shanghai Stock Exchange on Friday. Read more>>
Singapore Cinema Site Hits the Market for S$200M
A prime commercial development site in Queenstown which once housed the iconic Queenstown Cinema at 250 Commonwealth Avenue was launched for sale by tender on Monday (Dec 3).
The vacant plot has a land area of 3,001.2 square metres (32,305 square feet) and a 99-year lease commencing from Jan 1, 1975. It is located at the corner of Commonwealth Avenue and Margaret Drive, about 300 metres from Queenstown MRT station. Read more>>
Blackstone Said in Talks for Mumbai Complex
Blackstone Group LP is in talks to acquire Adani Realty’s commercial office project at Mumbai’s Bandra Kurla Complex (BKC) for around ₹1,900 crore, said two people aware of the matter. The private equity firm stepped in after Shapoorji Pallonji Investment Advisors Pvt. Ltd backed out from buying the 10-storey building in Mumbai’s latest financial district, said the two people cited above.
“Discussions with Blackstone are underway. Terms and conditions of the deal are being negotiated,” said the first person mentioned above, adding that the deal is likely to be closed before the end of this fiscal year. Read more>>
SG Ranked Asia’s Second Priciest Place for Luxury Living
Boosted by a stronger Singapore dollar, the Republic is now Asia’s second most expensive city for luxury living, up from third place previously, according to private bank Julius Baer’s latest wealth report.
The 2018 wealth report tracks the luxury expenditure trends of Asia’s high-net-worth individuals, defined as those with net investable wealth of US$1 million (S$1.4 million) or more, excluding property that is their main residence. Read more>>
SL Green Buys $148M Stake in NYC Property From HNA
SL Green has completed the second phase of its preferred equity investment in 245 Park Ave., in New York City. The office landlord made its initial investment in 245 Park during the second quarter of 2018 and along with the recent closing, the investment now totals $148.2 million.
The New York property investment house is increasing its stake in the commercial building as China’s HNA Group searches for an exit from the NYC property. Occupying the entire block between 46th and 47th streets, the property is currently 91 percent leased and is home to firms like Société Générale S.A., Angelo Gordon, Rabobank and Ares Capital. Read more>>
ULI Ranks Mumbai as India’s Best City for Investment
Mumbai has the best residential real estate market among Indian cities, followed by Bengaluru and New Delhi, Urban Land Institute (ULI) and PwC said in a report.
The report is based on a survey conducted by the two organisations. Mumbai and Bengaluru shot to the top of the buy/hold/sell rankings after being rated ‘buy’ by 41 percent and 45 percent of the survey’s respondents, respectively. Read more>>
Tune in again tomorrow for more news, and be sure to follow @Mingtiandi on Twitter, or bookmark Mingtiandi’s LinkedIn page for headlines as they happen.
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