Latest news with #ChinaVanke
South China Morning Post
31-05-2025
- Business
- South China Morning Post
Tepid sales at Hong Kong's Uni Residence as competition heats up in new home market
Competition is intensifying in Hong Kong's new residential property market as improved sentiment and declining mortgage rates have prompted developers to offer attractive prices to entice buyers. Advertisement Homebuyers snapped up just 58 of the 100 flats on offer on the first day of sales at Uni Residence in Tai Wai, agents said. Five out of 10 flats offered by tender were also sold, generating about HK$38 million (US$4.8 million). In contrast, Henderson Land's The Henley in Kai Tak sold 78 of 80 units on offer less than four hours after sales began at noon on Saturday, according to agents. The batch, priced at a discount, consisted of 18 open studios, 50 one-bedroom units and 12 three-bedroom flats. The lowest-priced one, a 238 sq ft unit, sold for HK$4.62 million, or HK$19,415 per square foot. The developer said one group of buyers bought six units, three groups each acquired three units and seven groups each purchased two units. 'With ample new supplies launching in the market at attractive prices, developers may face competition as homebuyers increasingly consider project quality, supporting facilities and the nearby environment,' said Louis Chan Wing-kit, CEO of Centaline Property Agency. Uni Residence in Tai Wai. Photo: Handout Uni Residence's joint developers Wing Tai Properties and China Vanke priced the first 50 units of the new 32-storey, 240-unit building at an average of HK$15,481 per square foot, about 8.5 per cent lower than recent transactions in the nearby secondary market.
Bloomberg
19-05-2025
- Business
- Bloomberg
Vanke Bond's 144% Rally Shows Credit Strain Easing After Rescue
Financial strains are easing at China Vanke Co. after its largest state shareholder threw a lifeline to the company that proved too big to fail. Since local government officials intervened in January to stabilize Vanke's operations and finances, the builder has repaid publicly-traded bonds with a combined principal of 14.4 billion yuan ($2 billion). That included a 3.15% dollar bond with $423 million outstanding which matured on May 12, its only such note of the year, Bloomberg reported.
South China Morning Post
19-05-2025
- Business
- South China Morning Post
Hong Kong home builders bring new flats to market, seizing on sentiment surge
Hong Kong developers are hastening sales of new residential units at attractive prices amid improving market sentiment and a sharp drop in mortgage rates. Advertisement On Monday, Wing Tai Properties and China Vanke's Hong Kong unit priced flats in a project in the New Territories at around 8.5 per cent lower than recent nearby transactions in the secondary market. Meanwhile, New World Development (NWD) said on Monday that a new project in Wong Chuk Hang, developed with a consortium of builders, would offer its first flats for sale by tender as soon as this week. The announcements came after Sun Hung Kai Properties (SHKP) sold all 376 flats at its Sierra Sea residential project on Sunday, extending a sell-out streak since the company launched the New Territories project last month. Property agents said they expected overall property market sentiment to continue to improve in May, with first-hand transactions nearly doubling from April to around 3,000. Wing Tai Properties and China Vanke priced the first 50 units at Uni Residence in Tai Wai – a 32-storey, 240-unit building – at an average of HK$15,481 (US$1,980) per square foot. The sale was expected to launch this month, they said. Advertisement The price list includes 40 one-bedroom units and 10 two-bedroom flats, ranging from 291 sq ft to 394 sq ft. The cheapest unit is a 297 sq ft one-bedroom home, priced at HK$4.12 million, or HK$13,882 per square foot. Uni Residence was the only new project to hit the market in Sha Tin in the past five years, said Sammy Po Siu-ming, CEO of Midland Realty's residential division. 'The pricing has an advantage as it is more attractive than the current second-hand price of the new developments in Sha Tin,' he said.
South China Morning Post
15-05-2025
- Business
- South China Morning Post
Debt-laden China Vanke gets US$215 million loan from state-owned stakeholder
Indebted property developer China Vanke has secured a 1.55 billion yuan (US$215.4 million) loan from state-owned Shenzhen Metro Group, offering some respite as it looks to meet US$3.4 billion in debt obligations this year. Shenzhen's railway operator, Vanke's largest shareholder with a 27.2 per cent stake, is extending the loan to the cash-strapped developer to help cover interest and principal repayments, according to a stock exchange filing on Wednesday evening. The loan has a 36-month term and may be extended or repaid early upon mutual agreement. It carries an annual interest rate of 2.34 per cent, below the one-year loan prime rate banks offer to their most creditworthy clients. Repayments are structured with 0.5 per cent due every six months, with the remaining 97 per cent to be settled in the final instalment. Shenzhen Metro has given Vanke loans totalling 10.3 billion yuan this year, the filing showed. The financial support follows a government-led shake-up in February, when the southern city's authorities tightened control over the developer by appointing 10 new executives, replacing former CEO Zhu Jiusheng and chairman Yu Liang, who stepped down in January. The government intervention helped Vanke repay a dollar bond due on Monday, clearing its only such obligation of the year, Bloomberg reported, citing people familiar with the matter. But the positive development failed to ease growing concerns in the financial markets. Fitch Ratings on Wednesday downgraded Vanke's bonds further into junk territory, to CCC+ from B-. The agency also downgraded its Hong Kong subsidiary to CCC from CCC+.
New Straits Times
15-05-2025
- Business
- New Straits Times
Fitch downgrades China Vanke further on liquidity concerns
KUALA LUMPUR: Ratings agency Fitch on Wednesday downgraded ratings for Chinese property company China Vanke , citing liquidity concerns amidst an ailing property sector in the world's second largest economy. Fitch downgraded long-term foreign- and local-currency issuer default ratings (IDRs) for the embattled property developer to 'CCC+' from 'B-'. The agency also downgraded the long-term IDR for the company's unit, Vanke Real Estate (Hong Kong), to 'CCC' from 'CCC+', and its senior unsecured rating and the rating on its outstanding senior notes to 'CCC', from 'CCC+'. The downgrade follows Vanke's weak first-quarter results with sales and cash flow generation failing to meet expectations, leading to a reduction in its liquidity buffer, Fitch said. With significant debt maturing in 2025, sales decline will have a direct impact on the company's cash generation and debt-servicing capacity, Fitch said. Earlier this year, several rating agencies including S&P Global and Moody's downgraded the property developer citing liquidity concerns. Last month, China Vanke said it will receive US$454 million in loans from state-owned Shenzhen Metro Group (SZMG), its biggest shareholder, to repay its bonds. "Ongoing and timely liquidity support from SZMG may be essential to address China Vanke's near-term financing requirement and support its ratings, considering the uncertainties surrounding the company's cash flow generation," Fitch said in a statement.
