Home 

Hong Kong’s sky-high land prices force local developers to seek opportunities elsewhere

Hong Kong’s sky-high land prices are prompting more and more Hong Kong’s developers to look beyond the world’s most expensive property market for opportunities.Far East Consortium, Swire Properties and Nan Fung Development are among the builders who have recently announced projects in other countries – and even other sectors – as it becomes more difficult to buy land at home.The cost of land in Hong Kong has skyrocketed in recent years because of a pronounced lack of supply. For instance, at… Source link

Read More
Home 

Chinese builder Future Land puts 40 projects up for sale after former chair Wang Zhenhua charged with child sex abuse

Chinese builder Future Land Development Holdings is selling 40 projects, just three weeks after it was engulfed in scandal when its former chairman was detained on suspicion of sexually assaulting a nine-year-old girl.In a statement filed to the Hong Kong stock exchange on Tuesday morning, the company said its Shanghai-listed subsidiary Seazen Holdings is in negotiations with partners to sell its stakes in about 40 projects in China.They will be sold at below market rate to various small and… Source link

Read More
Property 

Sun Hung Kai, Hongkong Land apply to build 11,000 flats on New Territories plot originally slated for 300 villas

Two of Hong Kong’s biggest property developers plan to squeeze more than 11,000 homes onto a parcel of land they had originally earmarked for 300 villas, as government schemes to boost land supply face delays.Sun Hung Kai Properties and Hongkong Land Holdings have applied to increase the plot ratio – the gross floor area of a project compared to the size of the plot – of a newly-converted piece of farmland in the New Territories.They want to raise the ratio by more than 13 times so that the 1.5… Source…

Read More
Home 

Hong Kong land sale at former Kowloon airport receives muted response from developers

The largest residential site at Hong Kong’s former Kai Tak airport received fewer than expected bids when a government tender closed at noon on Friday, as property developers take a more cautions stance on the local property market following recent downgrades to the city’s economic outlook.The plot designated Area 4A Site 1, located on the former runway with a gross floor area of 1.08 million square feet, received at least four known bids from CK Asset Holdings, Sun Hung Kai Properties, a… Source link

Read More
Property 

Great Eagle launches Ontolo, first residential project in 29 years, at lowest prices in Tai Po after getting land for record-low five years ago

Commercial developer Great Eagle Holdings is offering its first residential project in three decades with prices below the prevailing rate, having secured the land in Tai Po for a record low five years ago.The builder, best known for its portfolio of hotels, is selling flats at the Ontolo project at Pak Shek Kok for a little as HK$11,446 per square foot, the cheapest on the market in the upscale area near the Science Park. The average price in the first batch of 150 flats is HK$13,567 per… Source link

Read More
Home 

Chinese Estates’ Joseph Lau pockets US$2 million paper gain after buying shares of troubled developer Future Land

Joseph Lau Luen-hung, the Hong Kong billionaire owner of Chinese Estates Holdings, is estimated to have pocketed HK$15 million (US$1.9 million) of paper gains in a week through an astute punt in one of China’s biggest real estate developers.Fair Eagle Securities, a wholly-owned unit of Chinese Estates, bought nearly 40.9 million shares of Future Land Development Holdings on the Hong Kong stock exchange at HK$7.19 per share on July 4, according to the Hong Kong stock exchange’s CCASS… Source link

Read More
Home 

Chinese home builders ‘hunger’ for offshore bond markets after land spending binge prompts government clampdown on credit

Chinese developers are flocking to the offshore bond ­market, one of the few fundraising channels available amid a ­government clampdown on credit, as prices for land at tender rise sharply.Developers have issued ­overseas bonds worth more than US$4 billion in the first 10 days of July. That compares with a total of US$3.5 billion in bonds issued in June, according to financial data provider Wind Information.Logan Property Holdings, which paid a record price for a plot in Shenzhen on June 24,… Source link

Read More
Home 

Chinese cities experiment with new approach to land sales while Hong Kong sticks with highest-bidder model

Local authorities in many mainland cities are exploring new ways of awarding land to developers as they seek to curb property prices, throwing the spotlight on Hong Kong’s long-established practice of simply picking the highest ­bidder.Among the new land sale models, some apply administrative limits on how much developers can charge for completed units as a way to help maintain ­affordability, while others include requirements for public housing or picking bidders offering close to an average… Source link

Read More
Home 

Future Land reports property sales gain in June; company chairman and property tycoon Wang Zhenhua under investigation

Future Land Development ­Holdings, the mainland developer which lost tens of billions in market capitalisation last week after its former chairman was arrested, reported a 19 per cent rise in ­contracted sales in June from the previous month, according to a stock market filing on Sunday.Contracted sales for the month totalled 29.5 billion yuan (US$4.28 billion), representing an area of 2.53 million square metres, up from 24.7 billion yuan and 2.03 million square metres in May, the Shanghai… Source link

Read More
Investment 

Hong Kong-listed Future Land chairman’s downfall once again highlights ‘key man risk’ for investors in China

The latest scandal from the mainland, this time involving the billionaire chairman of Chinese developer Future Land Development Holdings, has once again brought into focus “key man risk”.Investors are reeling from the shock arrest of Wang Zhenhua, one of China’s richest men and controlling stakeholder of Hong Kong-listed Future Land, for allegedly molesting a nine-year-old girl. It wiped out more than HK$33 billion (US$4.2 billion) from the company’s market cap since the arrest was confirmed by… Source link

Read More