Hospitality operators desperate to show signs of life make their way to the top of Asia’s real estate headlines today as Wang Jianlin’s Wanda teams up with the country’s second-largest e-commerce provider to create a gadget-themed hotel, and the mainland’s largest hotel group dangles the possibility of overseas acquisitions.
Also in the news, a Korean conglomerate puts its headquarters on the market to generate cash and Singapore’s Keppel Group plans to expand its infrastructure fund business.
China’s Wanda Hotels and Resorts and JD.com have opened their first hotel today as the five-star hotel chain teams up with e-commerce to provide customers with an enhanced experience.
Ningbo Wanda Moments Hotel｜J.ZAO in Ningbo, southeastern Zhejiang province features 40 guest rooms decorated with the JD.com brand J.ZAO. Customers can instantly buy J-ZAO-branded products by scanning the QR code on the electric toothbrush, hair dryer, massagers and other facilities in the rooms, parent firm Wanda Group said on its WeChat account. Read more>>
The former chairman of a state-owned real estate company who publicly criticized President Xi Jinping’s handling of the coronavirus pandemic was sentenced to 18 years in prison on Tuesday on corruption charges, a court announced.
Ren Zhiqiang, who became known for speaking up about censorship and other sensitive topics, disappeared from public view in March after publishing an essay online that accused Xi of mishandling the outbreak that began in December in the central city of Wuhan. Read more>>
Keppel Corp unit Keppel Capital will work with the National Pension Service of Korea (NPS) to explore investment opportunities for private infrastructure in Asia.
The tie-up will bring together the asset management expertise of both NPS, the world’s third largest pension fund, and Keppel Capital. It will capitalise on Keppel group’s experience in developing and maintaining complex assets like energy and environmental infrastructure, including renewables , urban development and connectivity solutions. Read more>>
China’s biggest hotel operator is looking to acquire foreign hospitality chains as the rapid recovery of the country’s domestic travel market puts it at an advantage to ailing global peers.
While major hotel brands like Marriott International and Hilton Worldwide International remain hobbled by the halt in travel amid a resurgence of infections in Europe and the US, Shanghai-based Huazhu Group’s business has bounced back to pre-pandemic levels. In the second quarter, Huazhu’s occupancy rate reached 69 per cent, compared to Hilton’s 22 per cent and Marriott’s 14 per cent. Read more>>
Cash-squeezed Doosan Group said Monday that it has signed a deal with a local private equity fund to sell its headquarters building in Seoul for 800 billion won (US$689 million).
The sale of Doosan Tower is part of Doosan Group’s plan to repay its 3 trillion won in debt extended by its creditors, including the Korea Development Bank (KDB), the group said. Read more>>
China is tackling unbridled borrowing in the real estate development sector anew with caps for debt ratios. But sources at developers say a rush to get around the rules by moving more debt off balance sheets is on.
Dubbed “the three red lines,” Chinese regulators outlined caps for debt-to-cash, debt-to-assets and debt-to-equity ratios last month at a meeting with 12 major property developers in Beijing. Though not yet officially announced, developers expect the rules to be applied sector-wide as soon as Jan. 1, 2021. Read more>>