Veteran mainland investment broker Mark Suchy has announced the launch of Core Capital Asia, one of China’s first pure-play real estate investment advisory firms, based in Shanghai. The boutique consulting firm is already assisting investors seeking opportunities in the rapidly growing mainland investment market, as well facilitating cross-border real estate opportunities for Chinese companies investing overseas.
Speaking with Mingtiandi, Suchy, who previously served as the Executive Director of Investment Services for Cushman & Wakefield in China said, “With real estate asset values continuing to climb in China’s key cities and competition growing for premium assets, the need for experienced advisors has never been greater. We set up Core Capital Asia to fill the need for specialized services from professionals with an in-depth understanding of where the market is and where it is going.”
Rising Investment Wave Drives Demand for Advisory Services
Suchy, who has advised on more than $2.2 billion worth of mainland and cross-border Chinese transactions, has established a team of investment specialists at Core Capital following a record year for investment deals in 2015, as rising office rental rates helped to drive up commercial asset values.
In July last year Hong Kong’s Link REIT paid a record RMB 79,380 per square metre to acquire the first phase of the ultra-prime Corporate Avenue complex in Shanghai’s Xintiandi area. In Shanghai’s Pudong district, Carlyle Group and CLSA Capital Partners sold an office tower to Hong Kong-listed Yuexiu REIT for RMB 2.63 billion ($423 million) during August.
In Hong Kong, mainland developer Evergrande Real Estate set a new record for acquisition of a Hong Kong office building during November, by purchasing the Mass Mutual Tower in Wanchai from Joseph Lau’s Chinese Estates for HK$12.5 billion ($1.61 billion).
Setting Up an Eastdil for China
The company, which appears to be following the lead of specialist US real estate investment banking firm Eastdil Secured says that it will be assisting clients with investment sales and acquisitions; arranging equity, debt and structured financing for projects, third party equity and fund placement. The company also offers services for syndicating acquisitions of high value assets.
Suchy established Core Capital following a successful run with the investment teams at Cushman & Wakefield and CBRE. During his time with the property services giants in China, Suchy was an early leader in the facilitating Chinese outbound investments including Greenland Group’s acquisition of the $1 billion Metropolis project in Los Angeles as well as their acquisitions in New York and Toronto, in addition to leading several major domestic transactions.
In setting up Core Capital, the veteran broker has been successful in attracting a strong supporting cast that includes directors Kenny Shen and Eric Schaffer, also previously with Cushman & Wakefield..