Acer Capital: Funds form better real estate development

After years of development in the Hong Kong real estate market, in addition to operating in the form of traditional real estate companies, the industry has also turned to fund-based financing and participation in the development of the local real estate market in recent years. Acer Capital (2288) is also one of them. Chen Weilun, Chairman and Chief Executive Officer of the Group, further stated that they have handled as much as US$1.5 billion (approximately HK$11.7 billion) of real estate projects since their transformation in 2012 and believe that operating and financing in the form of funds will help them to gather at the same time. Different funds to accelerate the development of real estate business.

Ming Pao reporter Chen Weixi

Chen Weilun said that the group originally went to the Wu Zhaocan family, one of the founders of KMB, to take over the Hong Kong-Macau interior decoration company, Chengda Group. After the listing and expansion in 2009, it started to use the listing platform and began to manage the funds in 2010. The company, Kai Longrui, acquired the construction site of the headquarters of Hong Kong Capital of Kwun Tong Haibin Road and participated in real estate development. It began to compete with the International Fund. In recent years, the Group has shifted its efforts to participate in real estate development and investment in different countries and regions of the world. It is also the only Hong Kong listed company to participate in Bhutan’s real estate and hotel investment (see additional version).

Last year, the group of 780 million funds developed Wong Chuk Hang Site

Chan Wai-lun himself has also used his experience in MBA and finance in the United States. Stanley Capital operates in the form of fund and asset management companies. The Group has completed the preparation of a $100 million (HK$780 million) real estate fund at the end of last year to finance the development of the original standards center at 23 Wong Chuk Hang Road. He also said that in addition to the early development of Tsun Tsung-gu Guan Chung Street residential project collection, Tai Kok Tsui Bidfondo industrial building project, such as Hong Chong Fang to fully develop, in the future will continue to participate in real estate projects in the form of funds.

Introduce different funds to develop multiple projects simultaneously

Compared with traditional real estate developers, Chen Weilun said: “There is no doubt that real estate developers can achieve 100% return, but how much money can developers eventually use to build a building? As for the fund operation, you can At the same time, the introduction of different “water hoses” (ie funds), and the construction of several sites at the same time, can be expanded in a short time.” Compared to the general fund only know how to deal with funds, Acer knows how to develop real estate, control costs and quality. Therefore, it is possible to participate in real estate development with low interest rates and sufficient funds. The price of Kwun Tong Haida Road, Hongji Capital Building, was 8,000 yuan in the early years when it was sold, and it took over from the buyer to the nearest asking price of 15,000 yuan. This has established a reputation in the industry, which helps Acer further strengthen its asset management business and promote other real estate projects. development of. At present, companies that develop real estate in the form of funds in the market, except for Jihui Capital and Winterthur Properties, listed companies are mainly Acer Capital.