Wanda’s shopping centres have a lot of fans in the finance world
Dalian Wanda leads the news today as it heads back to the Hong Kong stock exchange with a new group of backers, which are said to include PAG, Country Garden, Tentcent and Warburg Pincus.
Also in today’s roundup of regional headlines, an urban renewal site in Hong Kong draws a half-dozen bids from developers, Singapore’s construction industry voices concerns about rising labour costs, and a Seoul luxury apartment sets a new record for Korean home prices.
PAG, Tencent, Warburg Pincus Said to Join $6B Pre-IPO Round for Dalian Wanda
Hong Kong-based private equity firm PAG is close to investing about US$2.8 billion in a funding round for Dalian Wanda Group Co’s commercial property management unit, nearly doubling the original fundraising target, people familiar with the matter said.
PAG’s commitment brings the total size of the fundraising in the unit, known as Wanda Light Asset Commercial Management, to about US$6 billion, the people said, asking not to be identified as the discussions are private. Read more>>
Kowloon Redevelopment Project Receives Six Bids
Hong Kong’s Urban Renewal Authority has received at least six bids for a redevelopment project in the To Kwa Wan area of Kowloon. The bidders for the Bailey Street/Wing Kwong Street project include CK Asset Holdings, Sino Land, Sun Hung Kai Properties, Henderson Land Development and K Wah International Holdings. Chinachem is partnering with Wheelock Properties in its bid.
The project covers an area of 66,000 square meters, providing about 1,150 residential flats. Sources said the project can cost as much as HK$10.76 billion, with the cost per square foot of built space potentially reaching HK$13,000 to HK$15,000. Read more>>
HK Developers to Roll Out More Luxury Homes as Demand Doubles
The supply for luxury homes in Hong Kong’s ultra-exclusive neighbourhood of The Peak is likely to hit 404,000 square feet (37,533 square metres) in 2024, the highest level since 2016, after demand boosted sales of mansions and high-end flats in the district by more than double to HK$12.8 billion ($1.6 billion) in the 12 months to June, according to Colliers.
“We have seen more transactions in the second half of 2020 to the first half of 2021 despite the pandemic, as prices have become more attractive,” said Hannah Jeong, head of valuation and advisory services in Hong Kong at the property consultancy. Read more>>
Homebuyers Snap Up Sun Hung Kai New Territories Project
Sun Hung Kai Properties, Hong Kong’s largest developer by value, sold 302 of the 350 apartments on offer at the first batch of sales at its Wetland Seasons Bay project in Tin Shui Wai at the weekend, according to sales agents.
More than 10,000 people put down money to register their interest to buy, equivalent to 33 bids vying for each of the 302 apartments available for open sale, while 48 of the larger units were earmarked for sale by tender. Read more>>
SG Home Price Growth, Construction Delays Could Last Through Year-End
The construction industry’s challenges in Singapore could continue for the rest of the year at least, despite support from the government, trade associations and banks. This is expected to continue fuelling demand and pushing property prices up, experts said.
About 88 percent of developers recently polled by the National University of Singapore said they were “very concerned” about high labour costs in the next six months, higher than the 71 percent in the first quarter. Read more>>
Chip Eng Seng to Sell Three Shophouses at Geylang Road for S$8.63 M
Property and construction firm Chip Eng Seng has entered an agreement to sell three of its shophouses at 157, 159 and 161 Geylang Road for S$8.63 million ($6.35 million) to an unrelated party.
Acquired by the firm in 1993, the property, which is the group’s remaining shophouse property in Singapore, comprises a partly two-storey, partly four-storey corner commercial shophouse, occupying a land area of approximately 2,990 square feet (278 square metres). Read more>>
$9.8M Seoul Flat Sets New Korean Home Price Record
The most expensive apartment sold this year was in The Penthouse Cheongdam, a luxurious residence also known as PH129, data from the Ministry of Land, Infrastructure and Transport showed on Monday.
One unit with an exclusive use area of 274 square metres (2,949 square feet) on the 14th floor of the 20-floor building was sold for KRW 11.5 billion ($9.79 million) in March. Another unit of the same size on the sixth floor changed hands at KRW 10 billion. The apartment, located in southern Seoul‘s Gangnam district, was completed last August. Read more>>
Japan’s Aeon Plans to Sell Off Korean Convenience Store Business
South Korea’s fifth-largest convenience store chain, Ministop Korea Co, is up for sale by its owner, Aeon Group of Japan. Ministop Korea is a wholly owned subsidiary of Aeon’s Japan-based convenience store unit Ministop Co.
According to the investment banking industry, Aeon has selected Mizuho Securities for the sell-out of Ministop Korea. Read more>>
Lendlease, Singapore’s JTC Explore Automated Construction
JTC has partnered with Lendlease to jointly research and develop a digital platform to automate the design and manufacturing of construction parts off-site.
Under the partnership, JTC will join Lendlease Podium’s Singapore Manufacturing Experience Studio, a collaborative research and design centre specialising in the design of building components and systems off-site in a controlled environment before they are assembled on-site. Read more>>
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