Local social events have hit retail and hotel industry
As owners reduce their asking prices, the market has recorded several transactions.
The number of transactions in the overall hotel was not large this year, and in the past week, it was recorded in the hotel
The largest section is the Grandview Hotel in Tsim Sha Tsui. According to the Land Registry, the Grand View Hotel has changed hands to $4.3 billion. According to this transaction price, it is the largest non-residential property transaction in the market in the past six months. The property is located on Kimberley Road, adjacent to Miramar Shopping Centre. It was completed in 1990 and has several shops on the ground floor. There is a coffee shop, restaurant, etc. in the attic and on the first floor, and hotel rooms on the 2nd to 21st floors with a total floor area of approximately 243,301 square feet. The hotel offers 546 rooms ranging from 220 to 500 square feet and is 4 stars.
Junyi Hotel low intention price 30% change hands
It is understood that due to different incidents, the property was handed over to the CPA House for sale. The intention price was about $6 billion, and the final transaction was $4.3 billion. The value of each room was about $77,000, and the low intention price was about 28%. . It is reported that the new buyer is Cinda or related person and is one of the property creditors.
In addition, Xingsheng Creation (00896) purchased the Citadines Shangri-La Hotel, Sheung Wan, Hong Kong for $740.8 million. The property is located at No. 29, Suhang Street, Sheung Wan. It is a 28-storey serviced residential building with a total of 55 rooms. With an area of 37,900 square feet, it offers 55 rooms, with an average value of approximately 13.46 million yuan per room. In July of this year, the market had already announced that Xingsheng had created and purchased the property. At that time, the negotiated purchase price was about 800 million. The two parties had reached an agreement. It is believed that due to the weakening of the market conditions, the two parties agreed to adjust the price and finally sold for about 740 million yuan. The price reduction is about 8%. The project was originally held by the Singapore fund Ascott. It was purchased in 580 million yuan in 2014. It has been transferred for 5 years and has a profit of about 160 million yuan.
The fund purchases the Tai Kok Tsui project.
As for Jinlun Tiandi (01232), the Silka West Kowloon Hotel was sold for 515 million yuan. The property is located at Ma Tau Kuk Street, Tai Kok Tsui. It provides 141 rooms at a price of $515 million. The average value of each room is about $3.65 million. In 2017, the group purchased the hotel from the Far East for 450 million yuan. It took two years to change its hands and made a profit of about 65 million yuan. The property appreciation was about 14%. According to the news, the new buyer is Emerald Lake, a private equity fund, and a co-living project in Hong Kong. It purchased a full-serviced residence in Largos Residences, No. 123, Queen’s Road West, West Loop, for 600 million yuan a few months ago.
Folding, due to local events, the tourism industry was hit hard, the hotel occupancy rate plummeted, and the consortium generally invested in hotel interest. At the same time, when the owners sell the property, they are willing to lower the price. For example, hotels that have recently been sold are below the market price of 1 to 30%. As the market funds are still large, the price correction will enter the market. However, as local affairs have not subsided, I believe that the consortium’s investment in hotels is still worried, and the chances of a sharp rebound in trading are not high.