New home prices in 70 Chinese cities continued to slide last month
Price declines gain speed in China’s slumping housing market, with that story leading today’s headline roundup. Also making the list, Blackstone bids for a Seoul apartment building and Sung Hung Kai Properties sees strong demand for homes at a New Territories project.
China Home Price Decline Accelerates as Buyers Keep Their Cash
China’s home prices fell at a faster pace in April, signalling that the property market slump remains a headache for policymakers as they fend off trade tensions with the US.
New home prices in 70 cities, excluding state-subsidised housing, dropped 0.12 percent from March, when they declined 0.08 percent, National Bureau of Statistics figures showed Monday. Values of used homes slid 0.41 percent, compared with a 0.23 percent drop a month earlier. Read more>>
Blackstone Said Bidding for IGIS’ Seoul Apartment Block
An auction for a co-living building owned by IGIS Asset Management in the hip Hongdae area of Seoul has garnered strong investor interest, with SK D&D and Blackstone among the five short-listed bidders.
According to sources in the investment banking industry on Monday, the bid has drawn five contenders, including D&D Investment, a Blackstone-Travelodge consortium and a Kolon House Vision-Aion Investment Management consortium. Read more>>
Hong Kong’s Sun Hung Kai Gets 34,000 Bids for 376 Homes
Hong Kong’s biggest developer, Sun Hung Kai Properties, sold a further 376 flats on Sunday after receiving more than 34,000 bids, becoming one of the most sought-after projects in months thanks to low interest rates.
The new round of sales at Sun Hung Kai’s Sierra Sea in the Ma On Shan area comes days after a quick sellout of its first batch last week. The flats sold at HK$9,645 ($1,233) to HK$13,500 per square foot. Read more>>
Hong Kong Homebuilders Rush Homes to Market Amid Rebound
Hong Kong developers are hastening sales of new residential units at attractive prices amid improving market sentiment and a sharp drop in mortgage rates.
On Monday, Wing Tai Properties and China Vanke’s Hong Kong unit priced flats in a project in the New Territories at around 8.5 percent lower than recent nearby transactions in the secondary market. Meanwhile, New World Development said Monday that a new project in Wong Chuk Hang, developed with a consortium of builders, would offer its first flats for sale by tender as soon as this week. Read more>>
Aussie Fund Manager Sells Gold Coast Office Complex Stake for $70M
RF Corval, the property funds platform backed by Australian Rich Lister Andrew Roberts, has sold the balance of Gold Coast’s Corporate Centre precinct in Bundall for A$109 million ($70 million) — the largest office transaction yet on the Gold Coast.
The City of Gold Coast purchased the Corporate Centre One building in the precinct that spans 11,500 square metres (123,785 square feet) and is occupied by 37 tenants, including Commonwealth Bank of Australia, Findex and KPMG. Read more>>
Singapore’s JTC to Reclaim 49 Hectares for Industrial Development
About 49 hectares (121 acres) of land will be reclaimed in the waters off Singapore’s Lorong Halus in Pasir Ris by industrial development agency JTC to meet future needs, including for industrial use, the Straits Times has learned.
Creation of the plot is expected to affect visitors to the Pasir Ris and Lorong Halus jetties, with a small impact on nearby seagrass and mangrove patches, according to an environmental impact assessment that ST viewed in March. Read more>>
Guangzhou’s Yuexiu Sells Stake in Beijing Project to China Resources Land for $570M
Hong Kong-listed developer Yuexiu Property said Monday that it has sold a 65 percent interest in a Beijing project for RMB 4.1 billion ($570 million) after acquiring the site in Haidian district in November.
The state-owned builder is selling a stake in a shantytown renovation project in the Gongde temple area to a unit of China Resources Land, with the residential site located near Zhongguancun Software Park. Read more>>
Latest Loans Seen Stabilising China Vanke
Financial strains are easing at China Vanke after its largest state shareholder threw a lifeline to the company that proved too big to fail.
Since local government officials intervened in January to stabilise Vanke’s operations and finances, the builder has repaid publicly traded bonds with a combined principal of RMB 14.4 billion ($2 billion). That included a 3.15 percent dollar bond with $423 million outstanding that matured on 12 May, the group’s only such note of the year, Bloomberg reported. Read more>>
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