A GDS data centre in Shanghai
In today’s roundup of regional news headlines, Chinese cloud computing firm GDS considers buying data centre assets from logistics giant GLP, Blackstone rolls snake eyes in its bid for Australian casino operator Crown Resorts, and CDL announces support measures for tenants as Singapore reimposes COVID curbs.
GDS Weighs $8-10B Bid for GLP’s Data Centres
GDS Holdings is considering acquiring GLP’s data centres business, as the Chinese cloud computing company seeks to expand its digital infrastructure capacity in the world’s second-largest economy, according to people familiar with the matter.
GDS, a developer and operator of high-performance data centres across China, is holding preliminary talks with Singaporean investment manager GLP over a potential transaction that could value the assets at $8 billion to $10 billion, the people said, asking not to be identified because the deliberations are private. As part of the deal, GLP would become a shareholder in Shanghai-based GDS, the people said. Read more>>
Blackstone’s A$8.4B Crown Bid Rejected as Too Low
Crown Resorts rejected as too low an A$8.4 billion ($6.6 billion) takeover offer from Blackstone Group, handing the advantage to rival suitor Star Entertainment Group.
Directors unanimously decided that the US buyout firm’s bid undervalued the company and there was uncertainty about the timing and regulatory approval for any deal, the Australian casino operator said on Monday. Crown said it discussed the proposal, which had already been sweetened, with Blackstone, watchdogs and its own shareholders. Read more>>
China Home Prices Jumped to Five-Year High in April
China’s home prices soared at the fastest rate in eight months to the highest level in five and half years, as buyers defied the government’s cooling measures to deflate the property bubble.
The average price of new homes across 70 major cities rose 4.8 per cent in April, from a year ago, according to the National Bureau of Statistics (NBS). Prices increased in 62 of the 70 cities tracked by the NBS, led by soaring listings in Chongqing, a megapolis of 30 million people. Read more>>
CDL Rolls Out Support for Tenants Amid Heightened Alert
City Developments Ltd will be rolling out support initiatives for its tenants in light of the recently heightened Phase 2 restrictions. This includes providing more flexibility in rental payments for tenants facing severe cash flow issues, the real estate company announced on Tuesday.
According to CDL, the company has committed over S$40 million ($30 million) in property tax and rental rebates to tenants in Singapore and overseas since the beginning of the pandemic last year. Read more>>
JD Logistics in Demand as SF REIT Dives 16%
SF REIT had a disappointing market debut Monday, but that failed to dampen investor enthusiasm for JD Logistics’ initial public offering.
SF REIT closed 16.47 percent lower at HK$4.16 ($0.54), suggesting that investors saw a loss of HK$820 for a board lot of 1,000 shares, excluding the handling fee. Read more>>
Pavilia Farm’s Third Phase Poised to Hit Market
New World Development received presale consent for the third phase of The Pavilia Farm atop Hong Kong’s Tai Wai Station.
The third phase provides 892 flats, from one- to four-bedroom plans. The 337 units in the first price list of Phase 2 were offered at an average HK$19,838 ($2,555) per square foot after discounts, about 5 percent higher than the first price list of Phase 1. Read more>>
Luxury Brands Switch to Short Leases and Pop-Up Stores in Hong Kong
Some global luxury brands are switching to short-term leases and pop-up outlets in Hong Kong, taking advantage of cheaper rental charges amid soaring vacancy rates in what was once the world’s most expensive high-street commercial property market.
Louis Vuitton is one such making the switch, with an Objets Nomades Collection show last month that exhibited furniture and homewares at a two-level store in the Pedder Building diagonally across the road from the brand’s Landmark building boutique in Central. Read more>>
Russian Property Market Likely to Be a New Target for Mainland Chinese
Russia is looking to join other countries that have rolled out fast-track residency schemes which have boosted foreign investment — a lot of it from mainland Chinese looking for business and property opportunities.
“Golden visa programmes in many countries are made to increase the flow of foreign investment and are working quite successfully,” said Alexander Shatalov, chief executive of Savills Russia. “I am sure that such initiatives have good potential for the Russian market as well.” Read more>>
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