Shun Tak Holdings has signed a $1.8 billion revolving loan agreement, its largest to date, to cover part of the redevelopment costs of the $11 billion Belcher Garden project in western Mid-Levels. Following yesterday's signing ceremony, Shun Tak Holdings director Daisy Ho Chiu-fung said a consortium of four developers involved in the project hoped to secure a $6.4 billion syndicated loan to cover further construction costs. Belcher Garden is a large-scale property redevelopment project on Pokfulam Road with a gross floor area of 2.7 million square feet. It eventually will comprise more than 2,200 residential units and a 215,000-sq ft shopping mall. Shun Tak Holdings has a 51 per cent stake in the development, alongside Sun Hung Kai Properties with a 29 per cent stake and New World Development and Liu Chong Hing Investment Co, both with 10 per cent. Shun Tak officials were coy about how much of the $1.8 billion loan was earmarked for the project. Executive chairman Stanley Ho said only part of the loan was for Belcher Garden, with the rest being used to fund other operations in Hong Kong, Macau and China. Analysts said an agreement had been reached under which Shun Tak would pay 25 per cent of the $5 billion land premium - probably with this loan. The three-year facility, guaranteed by Shun Tak Holdings, will pay an all-in yield of 108 basis points over the Hong Kong interbank offered rate and can be extended at the option of the lenders. A total of 26 international banks were involved in raising the money. The market reacted positively to the announcement of the loan signing, with Shun Tak Holdings stock putting on 10 cents by the end of the trading day.