Staff reporter
China Vanke (2202) has reportedly sold its largest commercial project to a unit under Singapore's sovereign wealth fund GIC, as the mainland developer continues to sell assets to survive the sector's liquidity crisis.
The target property is Shanghai Nanxiang Impression City MEGA, following the disposal of Qibao Vanke Plaza in the same city to Hong Kong's Link Real Estate Investment Trust (0823) in February.
According to a company data platform Tianyancha, the stake of Shenzhen Yinli Management under Vanke in the Shanghai Nanxiang Impression City MEGA has lowered to 2 percent from 48 percent, while the foreign shareholder Reco Yiyuan Private has its holdings increased to 98 percent from 50 percent.
Reco Yiyuan Private is a unit under GIC.
Mainland media outlet Caixin cited one source in Vanke that Shanghai Nanxiang Impression City MEGA was the largest commercial project in size operated by Vanke and the equity sale is one of the developer's measures to "lose weight and keeping fit".
According to Vanke, Shanghai Nanxiang Impression City MEGA posted a rent rate of 99 percent as of June 2023.
The mall recorded a revenue of 193 million yuan (HK$207 million) in the first half of 2023.
Meanwhile, China's electric appliance-making giant Gree retreated from the property market, following Midea's similar move earlier.
