Core Viewpoint - The auction of the land use rights and buildings of Shanghai Fuyuan Wanda Plaza is taking place due to a judicial ruling, with a starting price of approximately 1.22 billion RMB, significantly lower than its assessed value of about 1.75 billion RMB, indicating a distressed sale situation [1][4]. Group 1: Project Background - The project was initiated in 2017 when R&F Properties acquired the site for 731 million RMB and later partnered with Wanda Group to develop the urban complex [3]. - The planned total construction area is approximately 261,300 square meters, including a 70,000 square meter Wanda Plaza and a high-end office building of about 40,000 square meters [3]. Group 2: Project Status and Financials - Originally scheduled to open by the end of 2021, the project has been stalled for four years due to R&F's financial difficulties, with construction halting at the end of 2021 [4]. - R&F Properties reported a 59.43% year-on-year decline in revenue for the first half of 2025, amounting to 576.5 million RMB, with a net loss of 4.08 billion RMB, a significant increase from the previous year's loss of 2.33 billion RMB [4][5]. Group 3: Legal and Financial Issues - R&F Properties has accumulated 89 records of being an executed party, with total amounts exceeding 14.8 billion RMB, indicating severe financial distress [5]. - The company has also faced additional legal actions, with recent execution amounts reaching approximately 167 million RMB [5].