Today’s headlines prove that even Superman stumbles from time to time, after Li Ka-shing’s CK Property announced it will fail to hit its sales target for this year. Also making news today, China Jinmao spends big to get its hands on a site in Shanghai’s Hongkou District and large Chinese developers are rethinking US investments.
Hong Kong developer Cheung Kong Property Holdings said on Tuesday that home sales would fall short of its full-year target, underscoring a slowing Hong Kong market that could not be offset by record sales in mainland China.
The flagship property arm of conglomerate CK Hutchison Holdings controlled by Hong Kong’s richest man Li Ka-shing cited slow progress in acquiring pre-sale consent from the government that resulted in its sales-target miss. The group originally had plans to sell 3,000 property units in its fiscal year ending in December. Read more>>
China Jinmao Holdings Group Ltd, the real estate and hotel arm of Sinochem Group, acquired a land plot in Shanghai’s Hongkou District for over 2.55 billion yuan (US$369 million) yesterday, beating six rivals.
The 14,100-square-meter site, earmarked for office and commercial property, cost Jinmao an average gross floor area price of 45,153 yuan per square meter, or an 18.8 percent premium from its starting price. Read more>>
The Hong Kong government is offering a lower-than-expected land premium, or levy charged for a change in land use, on a luxury residential site being offered for sale above Ho Man Tin Station, in a bid to drum up interest among land-hungry developers.
The premium for the “package one” development is likely to be HK$6.28 billion, or HK$8,459 per square foot, according to a source, who has read the tender document. MTR Corp offered the project for tender on Thursday, and the levy is 29-43 per cent lower than market expectations of HK$8.9-11 billion. Read more>>
Approval of the project concludes what has been a bitter fight between the Wanda Group, owned by Wang Jianlin, the world’s 19th-richest person, and Benny Alagem the owner of the Beverly Hilton.
The Beverly Hills City Council gave its final stamp of approval to Dalian Wanda Group’s plan to build a $1.2 billion mixed hotel and condominium project along Santa Monica Boulevard on the lot adjacent to the Beverly Hilton Hotel. The vote by the council was 4-1. Read more>>
Chinese developers who’ve made large bets in US real estate are reassessing their strategies as the market tops out in some sectors. The US real estate market has seen a tremendous influx of Chinese capital, particularly in the last five years. It is unlikely to come to a full stop, but the wave may have crested.
This comes as the Chinese State Council is set to issue new rules to curb capital flight, according to the Wall Street Journal. They are expected to announce stricter controls over foreign investments exceeding $10 billion, and more than $1 billion for state-owned firms. This is in response to economic uncertainty and a weakening currency in China. Read more>>
Zaha Hadid architects has announced that ‘guangzhou infinitus plaza’ in china has broken ground. Eight storeys and a series of infinite rings that enhance connectivity will be among the buildings hallmark features.
The sinuous layout of the Zaha Hadid-designed building mimics the symbol for infinity. The site, measuring at 167,000 square meters, will facilitate a campus of integrated buildings that combine intelligent technologies and environmental sustainability. Additionally, the site will host key facilities, including a new global center for R&D — a Chinese herbal medicine research and safety assessment center — as well as an exhibition area and gallery. Read more>>
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