{"id":345430,"date":"2023-03-12T16:51:21","date_gmt":"2023-03-12T08:51:21","guid":{"rendered":"https:\/\/www.mingtiandi.com\/?p=345430"},"modified":"2023-03-13T11:15:48","modified_gmt":"2023-03-13T03:15:48","slug":"evergrande-founders-hong-kong-mansion-set-to-sell","status":"publish","type":"post","link":"https:\/\/www.mingtiandi.com\/real-estate\/finance\/creditors-close-in-on-sale-of-evergrande-founders-seized-112m-hong-kong-mansion\/","title":{"rendered":"Creditors Close in on Sale of Evergrande Founder\u2019s Seized $112M Hong Kong Mansion"},"content":{"rendered":"<div id=\"attachment_335609\" style=\"width: 790px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" aria-describedby=\"caption-attachment-335609\" class=\"size-full wp-image-335609\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/10-Blacks-Link.jpeg\" alt=\"10 Black's Link\" width=\"780\" height=\"453\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/10-Blacks-Link.jpeg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/10-Blacks-Link-400x232.jpeg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/10-Blacks-Link-640x372.jpeg 640w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/10-Blacks-Link-420x244.jpeg 420w\" sizes=\"(max-width: 780px) 100vw, 780px\" \/><p id=\"caption-attachment-335609\" class=\"wp-caption-text\">Evergrande owned three homes in the development at 10 Black&#8217;s Link<\/p><\/div>\n<p>Evergrande boss Xu Jiayin still holds the reins of what was once China\u2019s biggest builder, but his pile of assets is getting whittled down with an HK$880 million ($112.1 million) mansion formerly held by the developer said to be nearing a sale.<\/p>\n<p>Agents CBRE and Centaline Property, which have been appointed to jointly market the villa on Hong Kong\u2019s Peak on behalf of receivers, <a href=\"https:\/\/www.cbre.com.hk\/zh-hk\/press-releases\/cbre-appointed-as-agent-for-sale-of-BlacksLink\">issued a statement on Thursday<\/a> saying they expected a tender for the home to result in a sale within this month, as changing conditions rekindle market demand.<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/ad.doubleclick.net\/ddm\/trackclk\/N6563.3378992MINGTIANDI\/B30546704.375324595;dc_trk_aid=566156183;dc_trk_cid=192150727;dc_lat=;dc_rdid=;tag_for_child_directed_treatment=;tfua=;ltd=;dc_tdv=1\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Copy of APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real Estate\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><script language='JavaScript1.1' src=\"https:\/\/ad.doubleclick.net\/ddm\/trackimpj\/N6563.3378992MINGTIANDI\/B30546704.375324595;dc_trk_aid=566156183;dc_trk_cid=192150727;ord=+ Date.now();dc_lat=;dc_rdid=;tag_for_child_directed_treatment=;tfua=;gdpr=${GDPR};gdpr_consent=${GDPR_CONSENT_755};ltd=;dc_tdv=1?\" attributionsrc ><\/script><\/p>\n<p>\u201cThanks to the reopening of borders between China and Hong Kong, the economy is gradually returning to normal,\u201d Reeves Yan, executive director and head of capital markets for CBRE Hong Kong, said in the Chinese-language statement. \u201cThe luxury real estate market is also expected to recover as US interest rates look close to reaching a peak.\u201d<\/p>\n<p>Receivers appointed by China Construction Bank (CCB) Asia <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/finance\/evergrande-chairmans-hong-kong-mansion-seized\/#\">seized the 5,171 square foot (480 square metre) home on 1 November<\/a> after Xu had begun pledging personal assets to satisfy creditors seeking payment on the company\u2019s debts.<\/p>\n<h3>Luxury Rebounds<\/h3>\n<p><a href=\"https:\/\/www.hk01.com\/%E5%9C%B0%E7%94%A2%E6%A8%93%E5%B8%82\/875513\/%E6%81%92%E5%A4%A7%E8%A8%B1%E5%AE%B6%E5%8D%B0%E5%B1%B1%E9%A0%82%E5%B8%83%E5%8A%9B%E5%BE%91%E5%A4%A7%E5%AE%85%E6%B7%AA%E9%8A%80%E4%B8%BB%E7%9B%A4-%E7%8F%BE%E6%8E%A8%E5%87%BA%E6%8B%9B%E6%A8%99-%E5%B8%82%E5%80%BC8-8%E5%84%84\">Local news reports<\/a> indicate that buyer demand for House B at 10 Black\u2019s Link boosted the expected selling price to around HK$880 million, from an estimated HK$700 million when it was taken over last year.<\/p>\n<div id=\"attachment_341285\" style=\"width: 610px\" class=\"wp-caption aligncenter\"><img decoding=\"async\" aria-describedby=\"caption-attachment-341285\" class=\"size-full wp-image-341285\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Xu-Jiayin-of-Evergrande.jpg\" alt=\"Xu Jiayin of Evergrande (Getty Images)\" width=\"600\" height=\"340\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Xu-Jiayin-of-Evergrande.jpg 600w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Xu-Jiayin-of-Evergrande-400x227.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Xu-Jiayin-of-Evergrande-348x196.jpg 348w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><p id=\"caption-attachment-341285\" class=\"wp-caption-text\">Xu Jiayin of Evergrande (Getty Images)<\/p><\/div>\n<p>That updated expectation for the property, which is reported to have been used as Xu\u2019s family residence, prices it at HK$170,180 per square foot.<\/p>\n<p>Eric Lee, a senior regional sales director at Centaline, traces the strong reception to the tender to improving sentiment amid an anticipated rebound in Hong Kong\u2019s luxury housing market.<\/p>\n<p>\u201cThis mansion occupies a rare independent lot, and is located in a community traditionally favoured by well-known families, which has helped to propel market interest,\u201d Lee said in the statement. \u201cLuxury home buyers have regained confidence in the market. The wait-and-see atmosphere has dissipated and luxury home transactions are heating up.\u201d<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/oxford-ivanhoe-kic-savills-on-singapore-india-markets\/\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"14 NOVEMBER 2023 conrad centennial Singapore\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><\/p>\n<p>Hong Kong saw 96 transactions involving new and secondhand homes worth over HK$50 million in the first two months of 2023, with landed villas accounting for 14 of these purchases, according to Centaline.<\/p>\n<p>CBRE and Centaline said about 60 percent of the enquiries for the property came from wealthy local individuals and families, with another 30 percent coming from mainland parties. The property is sold on an as-is basis, with a winning buyer to be selected in late March.<\/p>\n<h3>Debt and Doom<\/h3>\n<p>Land Registry documents and reports from local media reveal that private local entity Atos Co Ltd mortgaged the home overlooking Hong Kong\u2019s Deep Water Bay to CCB Asia in October 2021 in exchange for a HK$300 million loan, with Xu listed at the time as the sole director of Atos.<\/p>\n<p>House B is one of a set of three villas at the 10 Black\u2019s Link development once owned by Evergrande-linked entities, with the two other properties, Houses C and E, pledged to Japanese financial services firm Orix Asia Capital Ltd in November 2021, according to government records. <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2021-11-16\/kaisa-has-yet-to-pay-as-units-resume-trading-evergrande-update\">A Bloomberg account<\/a> at the time said the two homes served as collateral for a HK$821 million loan.<\/p>\n<p style=\"text-align: center;\"><div style=\"margin-left: auto; margin-right: auto; text-align: center; \" id=\"mingt-1545079865\"><a data-no-instant=\"1\" href=\"https:\/\/www.yardi.asia\/Resource\/?resource=Data+Centres+Fuelling+the+AI+Future+%28White+Paper%29&#038;utm_source=mingtiandi&#038;utm_medium=website&#038;utm_campaign=wp23dcai\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Yardi - Data Centre v3_250\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/08\/Yardi-Data-Centre-v3_250.gif\" alt=\"Yardi - Data Centre v3_250\"  width=\"780\" height=\"250\"  style=\"display: inline-block;\" \/><\/a><\/div><\/p>\n<p>Should the Peak mansion sell, it would represent the latest example of an Evergrande trophy asset being liquidated by creditors, as the Guangdong-based developer struggles to pay off debts previously estimated at $300 billion.<\/p>\n<p>Evergrande\u2019s <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/finance\/lenders-move-to-seize-evergrandes-hong-kong-hq\/\">Hong Kong headquarters in Wan Chai district<\/a> has been on the market since last September after creditors, reportedly led by China CITIC Bank International, had seized the 26-storey office tower earlier last year.<\/p>\n<p>Also in September, Evergrande suffered a court-arranged sale of its <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/finance\/china-evergrande-exits-stake-in-shengjing-bank\/\">14 percent share in Shenyang\u2019s Shengjing Bank<\/a> to a group of seven mainland firms for RMB 7.3 billion (then $1.1 billion), after it lost an arbitration case brought by creditors.<\/p>\n<p>The troubled builder is currently struggling to reach an agreement with offshore bond holders before it faces a winding-up hearing in a Hong Kong court on 20 March, according to <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2023-02-28\/evergrande-fails-to-win-creditors-support-as-key-dates-loom\">Bloomberg<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Evergrande boss Xu Jiayin still holds the reins of what was once China\u2019s biggest builder, but his pile of assets is getting whittled down with an HK$880 million ($112.1 million) mansion formerly held by the developer said to be nearing&#8230;&nbsp;<a href=\"https:\/\/www.mingtiandi.com\/real-estate\/finance\/creditors-close-in-on-sale-of-evergrande-founders-seized-112m-hong-kong-mansion\/\">Read&nbsp;More>><\/a><\/p>\n","protected":false},"author":12201,"featured_media":335609,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[3391],"tags":[6283,5382,5359,694,7250],"ppma_author":[8848],"authors":[{"term_id":8848,"user_id":12201,"is_guest":0,"slug":"beatrice-laforga","display_name":"Beatrice Laforga","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/d4be689d8f5a82939d685df6ef171fcb?s=96&d=mm&r=g","user_url":"","last_name":"Laforga","first_name":"Beatrice","description":""}],"_links":{"self":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/345430"}],"collection":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/users\/12201"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/comments?post=345430"}],"version-history":[{"count":0,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/345430\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media\/335609"}],"wp:attachment":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media?parent=345430"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/categories?post=345430"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/tags?post=345430"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/ppma_author?post=345430"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}