An Aussie real estate portfolio leads the way in Mingtiandi’s roundup of Asia real estate headlines today with the news that a Singapore department store operator and retail developer has agreed to take a 20 percent interest in four office buildings and ten shopping centres in Sydney, Brisbane, Melbourne and Perth.
In other news around the region, netizens have poured scorn on rule changes implemented by Beijing to make it easier to buy homes, while Chinese investors pumped $2 billion into an emerging Southeast Asian nation, according to Juwai.com and IQI Global.
Elsewhere, the CEO of another loss-making Softbank-backed venture has said he is not under any increased pressure from Masayoshi Son to make the business profitable.
Singapore-listed department store operator Metro Holdings, which also invests in real estate, has re-entered Australia with plans to take a minority stake in a property portfolio for A$95.8 million ($66 million), under a joint venture agreement.
Paying in a mix of internal cash resources and external borrowings, Metro will take a 20 percent interest in the 14 freehold properties by subscribing for units in three property trusts, while regional property group Sim Lian will own the rest of the portfolio. Read more>>
Beijing’s new plan to use real estate rules to calm tensions in Hong Kong and forge a closer bond with mainland China is being met with scepticism on both sides.
The city’s embattled Chief Executive Carrie Lam said on Thursday that China had agreed to introduce 16 measures that will benefit Hong Kong and Macau residents under the Greater Bay Area integration programme. Read more>>
Deepening its presence in Vietnam, the Keppel Group held the groundbreaking ceremony for Saigon Sports City, a 64 hectare (6.9 million square foot) site which will be developed into a smart, integrated township in the prime District 2 of Ho Chi Minh City.
Speaking at the groundbreaking event, Loh Chin Hua said: “Keppel has been participating in and contributing to Vietnam’s growth for close to three decades, especially in Ho Chi Minh City, where we have a quality portfolio of residential and commercial developments. The groundbreaking of Saigon Sports City marks a new phase in Keppel’s engagement of Ho Chi Minh City.” Read more>>
Chinese buyers accounted for RM8.4 billion ($2 billion) worth of property sales in 2018, which is 12.1 percent of the total transaction value and 0.4 percent of the total transaction share, Chinese property portal Juwai.com and Malaysian real estate agency network IQI Global said in a report.
The report said Chinese buyers drove a significant multiplier effect as the impact of their investment spread to other sectors, such as retail, hospitality, manufacturing, banking, insurance, and transportation. Read more>>
Indiabulls Real Estate Ltd has reported nearly four-fold jump in its consolidated net profit at INR 3 billion ($42 million) for the second quarter of this fiscal year.
Its net profit stood at INR 759 million for the same period last year, the company said in a regulatory filing. Read more>>
After WeWork’s IPO setback – coupled by the slow growth of Uber and Slack after going public – Softbank CEO Masayoshi Son was left with no option but to urge its portfolio companies to become profitable soon.
However, Oyo founder CEO Ritesh Agarwal says there has been no extra pressure from the company’s biggest investor to change its course or chase profitability in the immediate future. Read more>>
Note: This story has been updated to indicate that Metro Holdings investment in Australia included four office buildings and ten shopping centres. An earlier version indicated that there were four shopping centres. Mingtiandi regrets the error.