SOHO plans to sell a commercial building of 62.4 billion

SOHO plans to sell a commercial building of 62.4 billion

Bloomberg quoted sources as saying that China Housing SOHO China (410) is considering selling at least eight commercial buildings in Beijing and Shanghai, with a total investment of up to US$8 billion (approximately HK$62.4 billion). SOHO China does not respond to this.

Stock price soared 18%

The company’s share price was stimulated by the news yesterday. The stock price once peaked at 2.91 yuan, and finally closed at 2.7 yuan. The full-day increase was still as high as 17.9%, with a turnover of 163 million shares and a turnover of 438 million yuan.

According to the report, the first phase of SOHO China intends to sell potential properties worth $3 billion (about HK$23.4 billion) to potential buyers, including sovereign funds and private equity firms, but it is still in its infancy and will eventually be sold. The number of properties has not yet been finalized.

Since 2012, SOHO China has completely changed from the traditional real estate development model to investment property collection and rent, and continues to sell non-core assets. Until last year, Chairman Pan Shiyi said that the group’s sales plan has been completed, and the rest are core assets. As of the end of June this year, the company’s total asset value was nearly 68.9 billion yuan, of which the total investment property value was 61.1 billion yuan.

However, Pan Shiyi overthrew the declaration this year, indicating that it intends to sell 13 projects in Beijing and Shanghai.

At the same time, SOHO China has been involved in the shared office business since 2015. As of the end of last year, it provided a total of 30,000 seats in seven cities in China, but it has been losing money.

Last week, mainland media reported that with the decline of the livelihood, SOHO China’s shared office rental situation deteriorated, and 11 Beijing and Shanghai shared offices were sold to the dream building star.