China’s ongoing real estate struggles lead today’s news from around the real estate world, with home prices falling for a thirteenth straight month, as sales dropped 15 percent during September. That slide also includes developer Yango Group being hit with a winding-up petition in Hong Kong as well as both Guangzhou R&F and Fosun International losing their ratings from Moody’s Investors Service.
China’s home prices sank for a 13th month in September, underscoring the country’s challenges to arrest a slumping property market.
New-home prices in 70 cities, excluding state-subsidised housing, dropped 0.28 per cent last month from August, when they fell 0.29 per cent, National Bureau of Statistics figures showed on Monday (Oct 24). Read more>>
A winding-up order has been issued in Hong Kong against Chinese developer Yango Group’s unit that defaulted on offshore bonds, as debtholders of distressed builders increasingly seek court help in recovering funds amid record missed payments.
The order regarding Yango Justice International was dated Oct 17, according to a winding up search report done through the website of Hong Kong’s Official Receiver’s Office. The case’s first hearing date was Sep 14 and the adjourned hearing was Oct 17, the same day of the order. Read more>>
Moody’s Investors Service said on 20 October that it has withdrawn its Caa2 corporate family rating for Guangzhou R&F Properties Co., Ltd and its Caa3 corporate family rating for R&F Properties (HK) Company Limited.
The ratings agency said it withdrew the ratings for its own business reasons, with the move following two weeks after Moody’s have stopped issuing ratings for China Evergrande and Kaisa Group. Prior to the withdrawal, Moody’s rating outlooks for both Guangzhou R&F and its primary offshore unit were negative. Read more>>
Faced with $36 billion in debts and a junk credit rating, Shanghai-based Fosun International is tackling the problem by ceasing to provide financial information to one of the world’s largest credit rating agencies.
Currently attempting to sell its majority stake in Nanjing Nangang Iron & Steel to raise funds, Fosun said on Monday that it is cancelling its relationship with Moody’s and would no longer provide information to the ratings agency from that day. Read more>>
The net property income of CapitaLand Integrated Commercial Trust (CICT) went up by 12.7 per cent year-in-year to S$273.3 million ($192 million) in the third quarter of 2022 ending on Sep 30, said the trust in a business update filed on the Singapore Exchange on Friday (Oct 21).
Gross revenue over the same period went up 13.7 per cent to S$374.1 million. The overall occupancy rate of its portfolio rose to 95.1 per cent at the end of Sep 30, up from 93.8 per cent three months before. Read more>>
Some 73 per cent of apartment units at Copen Grand, the first executive condominium (EC) at the upcoming Tengah Town, were sold on the first day of its launch, its developers said on Sunday (Oct 23).
Eligible buyers on Saturday bought 465 units at the development, which had an average launch price of S$1,300 per square foot (psf), with an additional 3 per cent applied to units sold under the deferred payment scheme, according to a joint statement by City Developments Limited (CDL) and MCL Land. Read more>>
HCMC police are clarifying the origins of 156 buildings linked to Van Thinh Phat Group to serve an ongoing criminal investigation. The economic security division under the Ho Chi Minh City Police Department had sent officers over to the municipal Department of Natural and Environment to clarify information about government involvement in the land use rights of the buildings.
The results were supposed to be released on 19 October, but police have not revealed further information. On the list of buildings are those standing in prime locations such as Saigon Time Square on Nguyen Hue Street, Union Square on Dong Khoi Street, and the IFC One Saigon on Ton Duc Thang Street, all in HCMC’s downtown District 1. Read more>>
Hong Kong will see the cheapest new property launch since September 2021 at just HK$2.76 million ($351,616), as developers fall over themselves to offer low-priced, small flats amid a prolonged downturn in home prices.
Henderson Land Development on Friday set the starting price for One Innovale-Cabanna in the Northern Metropolis, Fanling, New Territories at just HK$2.76 million for 186 sq ft of space. Read more>>