Core Viewpoint - South China City Holdings Limited is accelerating the divestment of its domestic assets amid its liquidation process, having sold two real estate projects in Harbin for a total of 217 million yuan [1][3]. Asset Sale Details - The buyer, Harbin Guangmai Real Estate Agency Co., Ltd., acquired 100% equity of two project companies holding the "1668 Industrial Park C22 Plot" and "Boutique D District Project" [3]. - The sale price includes 72 million yuan for Asset A and 145 million yuan for Asset B, with the latter involving a three-phase payment structure [4][6]. - The total area for Asset A is 13,000 square meters with a total construction area of 8,700 square meters, while Asset B has a planned area of 118,000 square meters and a total construction area of 151,700 square meters [6]. Financial Implications - The transaction is expected to result in a loss exceeding 660 million yuan, as the book value of the two projects is approximately 879 million yuan [8]. - The proceeds from the sale will primarily be used to repay financing costs and advances related to project development, with remaining funds allocated for general operational purposes [11]. Market Context - The transaction highlights the challenges faced by distressed real estate companies in liquidating assets under financial strain, reflecting a broader trend in the industrial real estate market [8][12]. - The sale structure, including equity transfer and differentiated payment arrangements, aims to minimize transaction complexity and tax burdens while clarifying responsibilities to reduce potential disputes [12]. - The deal indicates a shift in the Harbin market, where large developers are divesting non-core assets while local firms seek opportunities in existing projects [12].
华南城清盘进程加速，2.17亿元出售哈尔滨两项目全部股权