Zhongnan Construction(SZ:000961) Xin Lang Cai Jing·2025-12-24 00:44Core Viewpoint - The announcement regarding the transfer of non-performing debt related to the Suzhou Zhongnan Center project highlights significant financial and operational challenges faced by the project, including ongoing legal proceedings and multiple rounds of asset seizures [1][3]. Group 1: Project Overview - The Suzhou Zhongnan Center project has a total non-performing debt of approximately 1.271 billion yuan (about 127.1 million) as of March 31, 2024, consisting of 1.2 billion yuan in principal and 71.37 million yuan in interest [1]. - The project is located in the Suzhou Industrial Park and was initially planned to be the tallest building in Suzhou at a height of 499.15 meters, with a total construction area of 364,300 square meters [3][4]. - Construction began on January 3, 2014, but has faced significant delays, with work effectively halting after April 2015 due to various setbacks, including legal issues and ownership changes [3][5]. Group 2: Financial and Legal Aspects - The debt is secured by multiple guarantees, including pledges from Zhongnan Holdings Group and its chairman, Chen Jinshi, as well as equity pledges from related companies [3]. - The project has been subject to multiple asset seizures, including 53 properties in Hangzhou, and has entered judicial proceedings initiated by creditors since December 11, 2022 [1][3]. - The project was originally intended to be completed within five years, but the timeline has been significantly extended due to the ongoing issues [5].