Matthew Cheung of Cheung and Sons spent his dad’s hard-earned cash on a pricey home on the Peak
A generation Z tycoon-in-training leads the way in Mingtiandi’s roundup of real estate headlines today with news that the heir to a lesser-known Hong Kong fortune has purchased a house in Jardines’ Lookout for HK$916 million ($117.33 million), or HK$105,603 per square foot.
In other news around the region, a major mainland developer signs a deal with a US university to develop an $870 million hospital in Chengdu, while rivals are resorting to private equity funding and securitizations as regulators clamp down on bond issuances.
Elsewhere, one of India’s largest developers faces a liquidity crisis, and a Gurugram hotel unicorn is looking to cash in on the elderly, while Singapore’s most famous hotel is about to open a new branch closer to the casinos.
22 Year-old Hong Kong Princeling Buys HK$916M Peak Bachelor Pad
The 22-year-old chief executive of a high-end education centre has splashed out HK$916 million ($117.33 million) for a house at one of Hong Kong’s most prestigious addresses.
Matthew Cheung Siu-woon bought the 8,674-square foot (806 square metres) house at Mount Nicholson on The Peak early this month, according to a Land Registry document released on Wednesday. The purchase comes at a time most analysts are expecting the luxury property market to be dampened by poor sentiment. Read more>>
Wanda Signs $870M Deal for University of Pittsburgh Hospital in Chengdu
Chinese conglomerate Dalian Wanda Group said on Wednesday it had formally signed an operational agreement to develop a high-end hospital in partnership with the University of Pittsburgh Medical Centre in Chengdu, in China’s southwestern Sichuan province.
Construction work on the RMB 6 billion ($870 million) project started late last year, and it is part of a framework agreement with the US healthcare provider for the development of general hospitals in five top-tier Chinese cities. Read more>>
Mainland Developers Turn to PE Funds and Securitization
Chinese developers are increasingly tapping alternate options to raise cash, including private equity funds and securitization tied to commercial properties, as regulators tighten the screws on popular financing channels.
While resorting to alternate channels will put more pressure on funding costs, developers said the move comes as Beijing is slowing approvals for onshore and offshore bond issuances to curb aggressive bidding for land, after premiums paid spiked in the first quarter. Read more>>
India Godrej Properties to Raise $304M to Pay Down Debt
Godrej Properties plans to raise around INR 2,100 crore ($304 million) from its qualified institutional placement (QIP) launched on Tuesday, two people familiar with the development said.
The real estate arm of Godrej Group informed the stock exchange that the QIP committee of its board met to consider and approve the issue price. In a QIP, a listed company sells equity shares, fully and partly convertible debentures, or any securities other than warrants that are convertible into stocks, to a qualified institutional buyer. Read more>>
OYO Eyes Entry Into Senior Living Sector
Hotel-booking startup Oyo may foray into assisted-living communities, or retirement homes, for senior citizens in the future.
The SoftBank-backed hospitality chain, valued at around $5 billion during its last round of equity financing, may venture into the space through its New Real Estate Businesses arm which includes Oyo Life, a co-living vertical targeted at millennials and young professionals. Read more>>
Raffles to Open S$1,500 a Night Hotel on Sentosa Island
Singapore’s iconic Raffles Hotel is spreading its wings, planning on opening a luxury resort on Sentosa island.
Accor SA, which owns the brand, is aiming to open the 100,000 square metre hotel in early 2022, it said at a media briefing in the city-state Tuesday. Raffles Sentosa Resort & Spa will house 61 villas with a total maximum occupancy of about 200 people. Like many things in Singapore, it won’t be cheap. Each villa will cost around S$1,500 ($1,110) a night, according to Accor Asia Pacific chief executive officer Michael Issenberg. 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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