Irish company Treasury Holdings has acquired two Shanghai real estate projects valued at about 7.7 billion yuan (US$1 billion) from Macau casino king Stanley Ho, according to industry sources.
The exact price for the deal, which involves office and commercial development in the city CBD in the western Hongqiao area and the Central Plaza on Huangpi Road N. near People's Square, wasn't disclosed.
"It is the second investment made by the Irish company in the city," Kenny Ho, head of research, Jones Lang LaSalle Shanghai, told Shanghai Daily yesterday. "The company purchased an office building in Xuhui District last year."
Treasury Holdings bought Park Center on Huashan Road in the fourth quarter of 2006, according to an earlier Colliers International report.
London bid
Established in Dublin in 1989, Treasury Holdings has in recent years actively expanded operations overseas, with emphasis on the emerging markets of Russia, China and mainland Europe.
In 2005, the company opened an office in Shanghai and in December that year, it established China Real Estate Opportunities, which was listed on the AIM Market in London until February 2007.
CREO is seeking readmission to the AIM market with a proposed placing to raise up to 260 million pounds (US$527.6 million), a major business Website in Ireland reported in June.
The funds will be used to complete the acquisition of an initial portfolio of seven investment and development properties in Shanghai and Beijing, which will in total cost about 416.6 million pounds, the report said.
The company, which plans to pursue opportunities in other cities in China, said it has already identified nine further properties in the country and conducted initial due diligence, according to the report.
City Center of Shanghai, a high-end project, including commercial, office and residential developments, is Ho's first entry into the local real estate market.
In February, Ho acquired a land parcel near Zunyi and Xianxia roads at a price of 1.432 billion yuan for the development of the fourth phase of the City Center of Shanghai project.
LVMH Moet Hennessy Louis Vuitton SA also has shares in the fourth phase, earlier media reports said.
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