Chinese Developers Unload Empty Homes at 30pc Discounts

Developers are starting to recoup capital by selling properties. Some are unloading their vacant properties at a discount to book value, although they all say the sales will increase profits.

Caijing: 今年两市8家公司筹卖房产 被售住宅多“空置”状态
Yesterday evening, Zhejiang Zhenyuan issued an announcement about the sale of idle properties by the company and its subsidiaries, and it is planned to sell 23 villas that are idle in Shaoxing.

According to the announcement, the original value of the 23 houses was about 4.42 million yuan. As of December 31, 2017, the net value was about 2.89 million yuan and the depreciation was about 1.52 million yuan.

“The disposal of the above properties will increase the profits of the company and its subsidiaries, and provide good financial support for the next development of the company and its subsidiaries. The final result will be based on the results of the audit and the results of the audit by the auditors.” Zhejiang Zhenyuan Explain in the announcement.

This is not the first time a listed company will sell a property it will hold this year. According to the incomplete statistics of the "Securities Daily" reporters, this year, a total of eight listed companies have issued announcements on matters related to the sale of real estate. These properties are intended to be sold in a wide range of locations, including Chongqing, Beijing and Shenzhen. Among the properties being sold, residential and commercial buildings, the properties sold were often referred to as “vacant” status.

No comments:

Post a Comment