Homeowners to buy shells to enter Hong Kong real estate
Hong Kong’s property prices have reached record highs, and Chinese domestic property developers have bought a piece of local government land and real estate projects in the form of “buying shells”. Neifang Jiayuan International (2768) announced that it had invested in a total consideration of RMB 2.62 billion for the “Planking King” Deng Chengbo (Bo Shu) to acquire 3 projects. The Tuen Mun “Dragon Bed” residential project was the predecessor of the predecessor to the more official land. In 2014, Asia United Infrastructure (0711) (previously known as Junhe) and Yizhao Xingye were awarded. In July 2017, Bo Shuyi changed hands with approximately RMB 1.2 billion. In the end, Jiayuan borrowed a joint venture company with Bo Shushu to acquire Boss House and other parts of it at an agreed price of RMB 938 million. According to the agreement, Jiayuan shall have a 70.1% interest in the joint venture at an estimated cost of approximately RMB 658 million.
Ming Pao reporter Fang Chuyin, Lin Kewei, Gan Jieying
Regarding the relocation of official land in the form of “selling shells”, this newspaper made inquiries with the Development Bureau. The bureau responded that it was understanding the incident. This is the first time that Jiayuan has entered Hong Kong. It has a stake of 3 projects in 70.1% of the success centers of Jingmen, Xinheli and Kwai Chung in Tuen Mun, involving a price of approximately RMB 2.62 billion, of which an initial deposit of approximately RMB 0.6 billion has been paid.
Development Bureau: It is understood that the “Sale of Shell” incident
The only residential project in the city was Tuen Mun. It is understood that in July last year, Bo Shu purchased a whole block of property from Asia United Infrastructure and Construction for about 1.2 billion yuan. Jiayuan is to establish a joint venture with Bo Shu to acquire the 7th to 12th floor, 15th to 21st floor residential part of Jingyan, and the clubhouse on the 3rd floor and the 6th floor of the computer room at an agreed price of 938 million yuan.
Bo Shu earned approximately RMB 14.82 million and was given a shopping mall parking lot
The price was slightly higher than the purchase price of approximately RMB 717 million due to the agreement, and the disguised wave of the company’s holding about 10 months had already earned approximately RMB 14.82 million. The Jinghong Property has a total GFA of approximately 148,000 sq ft. It has been constructed as a residential property with approximately 38,000 sq ft of shopping malls, clubhouse facilities and car parks. Bo Shushu retained the commercial part of the project after the transaction, including parking on the 5th floor and residential care homes for the elderly.
According to this report, Jiayuan understands that the company revealed that it was a subordinated bundled acquisition. Zhongjing Yi has already obtained approval for the pre-sale consent in February and it is the current building. The acquisition of the floor has exceeded 60,000 yuan. The average price is only between 13,000 and 14,000 yuan, which is considered reasonable.
Deng Chengbo’s son, Deng Yaosheng, responded to the inquiry and said that the transaction had been negotiating for several months. He did not deliberately cooperate with the Chinese-funded consortium. He pointed out: “The strength of the group is the development of the property, while Jiayuan is the main force building the mainland, but the Hong Kong land is not easy to bid for. Therefore, they will cooperate in the existing development projects and will set up a team to operate.” He also disclosed that, with the exception of the Kwai Chung Success Center, the remaining two projects will not undergo additional investment in refurbishment.
Deng Yaosheng: During the months of the trade talks, there were 356 non-invited and Chinese-funded cooperatives located in Tuen Mun. The largest “bright spot” was the open area with the smallest area, with a usable area of only 128 sq ft. “The best” unit. Jinghong’s “previous life” is also dramatic. The site of the Qingmian Trail project was awarded by the Asian Joint Infrastructure Fund in 2014 for RMB 238.2 million. Publicity was launched until the end of 2016. Pan Zhicai, the company’s director, once said: “The Forbidden City The next big thing was that the emperor was arguing about the bed.” This made the project “famous” and was described by the workshop as “the bed of dragons”.
Until July of last year, the Deng Chengbo family reprimanded the entire Jingyan project for 1.2 billion yuan, which was once planned to be a silver age project for the elderly. After the project was approved for pre-sale of building materials in February this year, Deng Yaosheng changed his tone and said that the project will not be excluded from sale. Until yesterday, Deng Yaosheng stated that he would make a specific decision after talking with Jiayuan.