Soho China offloads iconic Shanghai complex for US$750m, including debt
Considered one of Shanghai Greater Hongqiao area’s most iconic office addresses, Sky SOHO was designed by the late British-Iraqi architect, Zaha Hadid
Soho China, one of the country’s largest office landlords owned billionaire Pan Shiyi and his wife, has agreed to sell a flagship Shanghai complex for 5 billion yuan (US$750 million) to Hong Kong’s Gaw Capital Partners – its second major disposal in the city in four months.
Considered one of Shanghai Greater Hongqiao area’s most iconic office addresses, Sky SOHO (Lingkong SOHO) was designed by the late British-Iraqi architect, Zaha Hadid.
The price tag takes into account outstanding bank loans and net working capital. The proposed sale price of the project itself was 2.95 billion yuan, the company said in a statement Monday night.
The development has 128,175 square metres of gross floor area, of which 103,014 sq m is dedicated to offices and 25,161 sq m to retail. As of June 30, 2017, its occupancy rate was 97 per cent.
Soho China expects to record a gross profit of 367 million yuan from the disposal, the company added, and the 5 billion yuan valuation is a 85 per cent premium of its total development costs, as at June 30, 2017. Soho’s Hong Kong shares jumped 4 per cent in the morning trading on Tuesday to HK$4.74.
