Ruifang Investment Platform 6.5 billion purchase of Shanghai Jiaxia
Shui On Land (00272), together with Manulife Investors and China Life Trust, established the “Shui On Real Estate Core + Office Building Investment Platform” (SCOV) to purchase the Grade A Commercial Building Enterprise Tiandi No. 5 in Shanghai Xintiandi for RMB 6.5 billion. The first acquisition of the platform.
Enterprise Tiandi No. 5 is located in Huangpu District, Shanghai. The total construction area of the property is 102,000 square meters, including nearly 52,000 square meters of office buildings and 27,000 square meters of retail space, as well as 309 underground parking spaces. 97%, tenants include legal and advertising companies, as well as foreign consulates. Corporate Tiandi No. 5 was developed by Ruifang and completed in 2013. In the same year, Ruifang sold the 99% equity of the property to China Life Trust for a price of over RMB 4.2 billion. The purchase price has increased by more than 50% compared with 6 years ago.
Shui On Construction 390 million sales of Weiye Street project
Sun Xiwei, managing director and chief financial officer of Ruifang, said that Enterprise Tiandi No. 5 is one of the most high-quality and most central office buildings in Shanghai, and expects to make more new investments through SCOV in the future. SCOV was established in December last year as an investment manager and asset manager. Ruifang, Manulife and China Life Trust injected US$200 million, US$450 million and US$100 million respectively into SCOV.
In addition, the same department of Shui On Construction (00983) announced that it had received a letter of intent for the purchase of potential buyers on the 30th of last month. It intends to purchase a commercial building in Wai Yip Street, Kowloon, with a total investment of 387 million yuan. The company has received a deposit of 19.33 million yuan from potential buyers on the 5th of this month. The final sale and purchase agreement is expected to be signed in July.