By South China Morning Post | Created at 2024-12-17 07:01:37 | Updated at 2024-12-17 09:34:00
2 hours ago
A landmark commercial complex in Beijing is being put up for sale by Hong Kong-headquartered property company Parkview Group, as China’s prolonged property slump weighs on its cash flow.
Parkview Green, locally known as Fang Cao Di, located in Beijing’s central business district, is up for sale as the company grapples with high mortgage payments and low occupancy rates in the capital city, according to people familiar with the matter, asking not to be named discussing private matters.
A Chinese state-owned firm is interested in purchasing the asset, which is known for its unique pyramid-shaped structure, the people said. Considerations are ongoing and no final decisions have been made, the people added.
Completed in 2012, the 200,000-square-meter, mixed-use development located in Beijing’s Chaoyang district includes a shopping centre, hotel, office towers and an arts hub, according to its website.
The potential sale of Parkview Green comes amid China’s prolonged real estate slump and sluggish consumer spending. Retail sales rose 3 per cent in November from a year ago, the slowest pace in three months and undershooting even the most bearish of forecasts.
Meanwhile, China’s commercial real estate is suffering a downturn, with Beijing’s citywide vacancies jumping to 20.6 per cent in the second quarter, the highest in at least 15 years, Bloomberg News reported earlier citing Colliers data.
