China’s housing market may need more help from the government (Getty Images)
New home prices dropped still faster in September despite recent government moves to support the sector, with that news leading Mingtiandi’s headline roundup today. Also making the list is a Chinese data centre operator buying a Malaysian site and Vietnam adding a life sentence to the death sentence earlier handed to former Van Thinh Phat boss Truong My Lan.
China New Home Prices Fall at Fastest Pace Since 2015
New home prices in China fell at the fastest pace since May 2015 in September, official data showed on Friday (Oct 18), despite increased efforts to revive the struggling property sector.
In annual terms, new home prices were down 5.8 percent from a year earlier, deeper than a 5.3 percent slide in August, according to Reuters calculations based on National Bureau of Statistics (NBS) data. Reuters also reported prices fell 5.7 percent, which was due to an automated rounding off of figures. Read more>>
Malaysia’s Tropicana Sells Johor Data Centre Site to China’s ZData for $56M
Chinese data center firm ZData is expanding into Malaysia with a project in Johor. Tropicana Firstwide Sdn Bhd, a wholly-owned subsidiary of Tropicana Corporation Berhad, this week announced a sale and purchase agreement to sell 38 acres of land in Gelang Patah, Johor Bahru to ZData subsidiary Computility Technology (Malaysia) Sdn Bhd for RM 240 million ($55.9 million).
Beijing-based ZData Technologies Co Ltd is a provider of cloud and IT infrastructure services. The company aims to develop a data center on the site. Read more>>
Vietnam Adds Life Sentence to Van Thinh Phat Boss’ Death Sentence
Truong My Lan, chairwoman of Ho Chi Minh City-based Van Thinh Phat Group, received life imprisonment on Thursday for fraudulent appropriation of property, 12 years in prison for money laundering, and eight years for illegally transporting currency across the border.
In the first phase of the Van Thinh Phat case, in April, Lan was sentenced to death for three crimes: giving bribes, violating lending regulations in the operations of credit institutions, and asset embezzlement. This judgment is yet to come into force as Lan and other defendants have appealed. Read more>>
Hong Kong’s Eric Chu Gets Two Year Sentence in Vietnam’s Van Thinh Phat Case
Eric Chu, husband of death row property tycoon Truong My Lan, was sentenced to two years in prison for helping her launder VND 30 billion ($1.19 million).
The court found Lan, chairwoman of the property development company Van Thinh Phat, guilty of laundering VND 445 trillion, which she embezzled from Saigon Commercial Bank (SCB) and defrauding bond investors. Read more>>
Singapore Residential Rental Deals Fall for Second Straight Month
Rental volumes for condominiums and HDB flats in Singapore fell for the second consecutive month in September.
Condo leasing volumes fell 17.2 percent on the month to 6,172 units rented, down from the 7,456 units leased in August, based on flash estimates from SRX and 99.co released on Friday (Oct 18). Read more>>
Dubai Group Takes Over Singapore’s Hotel Fort Canning
Dubai-based Sunset Hospitality Group, through its hotels and resorts unit, is taking over the space occupied by Hotel Fort Canning Singapore, as part of its global expansion strategy. (*see amendment note)
Hotel Fort Canning was operated by Legends Fort Canning, an entity linked to Eng Wah Global, among other shareholders. Read more>>
Korean Asset Manager Koramco Sets Up Office Next to NPS
Koramco Asset Management Co. will open a liaison office next to South Korea’s National Pension Service (NPS) to strengthen cooperation with the world’s third-largest pension fund, which is increasing its investment in real estate.
The Seoul-based asset manager focusing on real estate and infrastructure plans to launch a liaison office a five-minute walk from NPS Investment Management’s headquarters in Jeonju, 240 kilometers (150 miles) south of the South Korean capital, according to investment banking industry sources on Friday. Read more>>
China’s Housing Minister Vows to Win Battle to Save Property Sector
While China has declared its property sector has “bottomed out” and pledged more support for the beleaguered industry – including an expansion of funding to 4 trillion yuan (US$562.18 billion) – sentiment remains guarded despite recent glimmers of hope.
Minister of Housing and Urban-Rural Development Ni Hong played up the prospects of a full-spectrum recovery at a ministry press conference on Thursday, pointing to positive trends in home purchase data from this month. Read more>>
Tune in again soon for more real estate news and be sure to follow @Mingtiandi on Twitter, or bookmark Mingtiandi’s LinkedIn page for headlines as they happen.
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