Bain, KKR, PAG Prep Bids for $2.7B Sapporo Property Sale and More Asia Real Estate News

Private equity giants including KKR, Bain, and Lone Star are preparing bids for Sapporo’s $2.7 billion real estate business, with a sale expected by November. Also in the news: Jardine’s profit surges, China’s housing slump deepens, and New World launches new homes after raising $1.7 billion from luxury flat sales.

Lone Star, Bain, KKR, PAG Prep Bids for Sapporo’s $2.7B Property Sale

Three groups, including Lone Star and Kenedix, Bain and Tokyu Fudosan, and KKR, PAG and Nomura Real Estate, are preparing to bid for Sapporo Holdings’ real estate business. The sale price is expected to be around 400 billion yen ($2.7 billion).

The deadline for submitting bids in the second round of bidding is scheduled for August, and the sale is likely to be finalised in November. Read more>>

Apricot Capital, Assembly Place Buy Singapore Building for $70M

Sub-S$100 million ($77 million) commercial properties continue to be in demand by property investors. Lian Huat Building, an 11-storey freehold commercial property at 163 Tras Street in the Central Business District (CBD), has fetched S$90 million.

The buyer is a consortium that is said to include Apricot Capital, Oxley Holdings’ deputy chief executive officer Eric Low, and co-living operator The Assembly Place. Read more>>

Star Entertainment’s Queen’s Wharf Exit Plan Collapses

The sale of Star Entertainment Group’s Queen’s Wharf precinct to its Hong Kong investment partners has collapsed, putting the casino company under intense pressure as it must refinance its share of A$1.4 billion ($900 million) of debt tied to the Brisbane project.

The company must also make a A$41 million payout to Chow Tai Fook and Far East Consortium by early September amid signs their relationship had soured as Star sought out rival groups to run the casino. Read more>>

Gaw Capital, DayOne Break Ground on Tokyo Data Centre

Gaw Capital Partners and DayOne, the overseas unit of Chinese data centre giant GDS, have broken ground on the initial phase of an 80MW campus in Tokyo, Japan, according to a joint announcement.

The first building in the digital infrastructure campus comprises ten data halls with an IT capacity of 18MW and is targeted to be core and shell ready by mid-2027. NEC Facilities serves as the architect, with HASEKO Corporation appointed as the main contractor. Located in the Fuchu Intelligent Park, west of central Tokyo, the campus is expected to be among the largest data center developments in Fuchu City at the time of completion. Read more>>.

Slump in China Property Deepens as Price Cuts Fail to Revive Sales

China’s home sales extended their slump in July as declining prices failed to attract buyers.

The value of new-home sales by the 100 largest property companies dropped 24 percent  from a year earlier to RMB 211.2 billion ($29.3 billion), according to China Real Estate Information Corp. Sales plunged 38 percent from RMB 339 billion in June, according to Bloomberg. Read more>>

Starbucks China Shortlists Tencent, PE Giants and Tech Firms

Starbucks Corp. has shortlisted about a dozen parties including private equity firms and technology companies into the second round of a process to invest in its China business.

Boyu Capital, Carlyle Group, EQT AB, FountainVest Partners, KKR, Hillhouse Investment and Primavera Capital are among the private equity firms invited to participate, along with tech giants JD.com and Tencent Holdings. Read more>>

GDS Sets Final Price for C-REIT IPO Targeting $333 Gross Proceeds

GDS Holdings Limited today announced that the final offering price for its previously announced C-REIT initial public offering (IPO) on the Shanghai Stock Exchange is RMB 3.00 per unit ($0.42).

The C-REIT will issue 800,000,000 units in total, representing 100 percent of units in issue on completion of the IPO. The gross proceeds to be received by the C-REIT is RMB 2,400 million. Read more>>

Mainland Developer Fantasia Holdings to Propose Fresh Restructuring Plan

Chinese developer Fantasia Holdings Group Co. plans to release a new restructuring plan in the coming weeks after previous attempts fizzled, people familiar with the matter said, underscoring the years-long struggle of builders to move past an unprecedented property crisis.

The company has been working on the latest plan, which would enable it to deleverage further, with a key group of creditors, according to the people, who asked not to be identified discussing private matters. Details are still being finalized, they added. Read more>>

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