Hysan expands investment in city with purchase of a 3.5-billion-yuan property
Hysan Development Co Ltd, a leading property investment, management and development company in Hong Kong, is expanding its investment portfolio in Shanghai with the acquisition of an office/retail mixed-use property in downtown Jing'an District for 3.5 billion yuan (US$541 million).
Located on Xinzha Road, the 24-story newly completed development, known as "City Link," features about 50,000 square meters of ready-to-rent Grade A office space, and some 18,000 square meters of retail space, which Hysan plans to renovate and complete by mid-2023.
"This acquisition marks a very important step for our long-term planning and development in Shanghai," Irene Lee, chairman of Hysan Development, said in a statement on Friday. "We will continue to identify new development opportunities in Shanghai, the Greater Bay Area and the other tier-one cities across China."
Hysan is buying the project from a subsidiary of CK Asset Holdings, the Hong Kong conglomerate founded by billionaire Li Ka-shing, which currently has a 60 percent stake. The remaining stake is owned by two Shanghai-based property firms. The deal is expected to be completed in early 2022.
The latest acquisition marks Hysan's latest impact upon the city, following the company's investment in the Shanghai Grand Gateway 66 project in 2013, in which it holds a 24.7 percent interest.
A few minutes' walk from the Shanghai Natural History Museum, and one stop away from the Nanjing Road W. and Hanzhong Road Metro stations, the project is adjacent to East Siwenli, a cultural and architectural conservation area about to be developed into another major commercial precinct.
Hysan has identified similar characteristics to Hong Kong's Lee Gardens business district in Causeway which boasts a diverse mix of high-rise and heritage buildings, as well as a strong sense of local community and cultural flavor. With roots in Causeway Bay since the 1920s, Hysan is one of the largest commercial developers there.
