Tai Tai Released Two Taikoo Shing Centers with a Valuation of 26.9 Billion and Over 30,000
Swire Properties (00019) subsidiary Swire Properties (01972) announced that it is currently discussing the sale of its 3rd and 4th commercial property at Taikoo Shing Centre. According to industry insiders, the two commercial buildings are located in sea view. The price can refer to Hengdi (00012). The sale price of 30,174 yuan for the commercial building on the 18th Jinghua Road, North Point, was sold at the price of RMB 9.95. 35,000 yuan, an estimated 23.1 billion to 26.9 billion yuan. Industry sources also pointed out that most of the buildings in the two commercial buildings have been leased out and there is immediate rental income. In addition, many tenants are well-known and well-known institutions, which is believed to be favored by Chinese companies.
Analytical data obtained from Chinese companies
In Blocks 3 and 4 of the Taikoo Shing Town Centre, the total floor area is 769.576 million square feet. A spokesman for Swire Properties stated that Swire Properties has continued to seize business opportunities to enhance shareholder returns. The current market for office buildings is very stable. The market has a strong interest in buying and selling real estate office buildings.
Cathy Chu, deputy managing director of Valuation International Asia Valuation and Advisory Services, pointed out that in recent years, Swire Properties has concentrated on the development of Taikoo Place in Quarry Bay, while the Taikoo Shing Centre has not been included in the scope of TaiKoo Place, and the quality of the property and the rent are lower than that of Taikoo Place. , Swire Properties may sell cash for other investments if there is a buyer’s offer.
The Tai Koo Shing Centre Commercial Building is currently renting between $45 and $50, which is $65 to $75 less than the 30% at the East Island Centre in Taikoo Place. Since the rent is less than Taikoo Place, we attracted the shared office operator WeWork to rent the third highest floor of the third floor, involving a construction area of 53,977 square feet, a monthly rent of about 2.5 million yuan, and a rent of 46 yuan.
According to last year’s annual report, the property rental income of Swire Properties Hong Kong Office was 5.99 billion yuan. As of the end of last year, the office property had a valuation of 157.1 billion yuan, of which Swire Properties had equity at 149.8 billion yuan. The Taikoo Shing Center Office has a total floor area of 1.398 million square feet, and the occupancy rate is 97%.
Swire has no intention of changing the AB share structure
In addition, according to the company’s website, the third-class tenants in the Taikoo Shing Center include Fuwei, Sun Life Financial and Sony Pictures; the fourth tenants include American Express, Wells Fargo Bank and adidas.
Swire Properties sold the property for the last time in 2006 and used a total cash consideration of RMB6,528 million to sell Grade A commercial prefabricated buildings at Wang Chiu Road and Lin Li Street, Kowloon Bay. The transaction price hit a record high for the commercial building project in Kowloon and was also the territory’s The third highest deal.
On the other hand, Swire Chairman Shi Leshan said yesterday at the shareholders’ meeting that the company has used the AB share structure for a long period of time and there has been no plan to change it. The B share share price discount is mainly due to low liquidity.