Department stores are closing down faster than popsicle stands in November in most parts of the world, but Thailand’s largest retailer makes news today with news of plans to use its collection of department stores to anchor a hoped for $1 billion IPO. The overseas adventures of Chinese developers also grab some ink today as Dahua Group plans an A$1.5 billion suburban community near Sydney and a Jiangsu construction company gets into Indian residential projects. Read on for all these stories and more.
Central Group, one of Thailand’s biggest conglomerates, is studying options including a potential initial public offering of retail assets, people with knowledge of the matter said.
The group is working on a restructuring of its retail operations ahead of a possible IPO as soon as next year, the people said, asking not to be identified because the information is private. The listing could include department store businesses owned by Central, according to one of the people. Any share sale could raise at least $1 billion, the people said. Read more>>
Developer Dahua Group has unveiled its plans for a $1.5 billion masterplanned project in Menangle Park in Sydney’s booming south western growth corridor.
The Chinese-backed developer picked up the 364-hectare site, 65 kilometres from Sydney’s CBD in 2016 – one of three major land purchases in the area for Dahua. Dahua’s proposal is expected to yield close to 4000 lots as part of the transformation of the Campbelltown-Macarthur community on the banks of the Nepean River. Read more>>
China has moved to rein in a boom in urban rail projects that propelled growth in sectors related to their construction but also drove up local government debt levels, which have become a priority for the central government’s effort to defuse economic risks.
In the latest move, the State Council, China’s cabinet, on Friday issued a guideline that substantially raised the bar for local rail projects and barred local governments from issuing too much debt through hidden channels for such projects. Read more>>
Bangalore’s Golden Gate Properties and Nantong, Jiangsu-based construction company CNTC have signed a $300 million joint venture to build residential projects in the capital of the Indian state of Karnataka.
The Indo-Chinese agreement calls for a set of four residential projects with CNTC, expected to invest as much as $1 billion in the developments, while Golden Gate takes responsibility for land acquisitions and regulatory approvals. CNTC is a unit of privately-owned construction firm Jiangsu Nantong No. 3 Construction Group Co. Ltd, the projects would be CNTC’s first try at development. Read more>>
Hong Kong’s runaway home prices may finally see some cooling in the second half, according to analysts.
Residential home prices are likely to drop 7 per cent in the July to December period, as new supply launches and a downbeat stock market weigh on confidence, according to Citibank, the first major financial institution to call for the onset of a correction this year. Read more>>
In Hong Kong, the world’s most expensive place to live, the economical concept of co-living that is popular among young people has moved upscale.
District 15, operator of The Nate in Tsim Sha Tsui is leasing out space from HK$15,000 (US$1,911) to HK$25,000, rates relatively steep by co-living standards, though property agent JLL said rents for such space could start from HK$2,800 a month to HK$20,000. Read more>>
Summer Green is the latest condo to hit the collective sale market with a reserve price of S$48 million. The reserve price translates to a land rate of approximately S$1,178 per square foot per plot ratio (psf ppr), inclusive of a development charge of approximately S$320,000, for the freehold site with 24 apartments.
Owners at the 13-storey condo off Balestier Road could net themselves about S$2 million per unit. The development, which spans 14,646 sq ft, has an approved plot ratio of 2.8. Read more>>