Billionaire Pan Sutong-controlled Goldin loses control of crown jewel as creditors put Kowloon headquarters on the market
- The 28-storey Goldin Financial Global Centre may fetch at least HK$12 billion, some 27 per cent below its last appraised value
- Goldin Financial had HK$18.5 billion of total liabilities at the end of December, according to filing
Receivers and managers of the asset have engaged Knight Frank as the sole agent to seek buyers for the 28-story Goldin Financial Global Centre on Kai Cheung Road, according to a statement issued by the property consultancy.
The Grade A tower, with an area of 852,433 square feet, may fetch at least HK$12 billion (US$1.53 billion), or HK$14,000 per sq ft, according to the statement. The tender closes on November 11. At that price, the property would have lost as much as 27 per cent since Goldin last appraised its value at HK$15 billion to HK$16.5 billion, based on the company’s filings in July.
“The asking price is reasonable,” said Vincent Cheung, managing director of Vincorn Consulting and Appraisal. He added that investors may push for a much bigger discount to lower their investment risk considering the gloomy economic sentiment, suggesting that buyers may try to clinch a deal in the HK$8.4 billion to HK$9.6 billion price range.
The company said undisclosed creditors stepped up their pursuit on July 24 by seeking court approval to gain access to some of the company’s accounts and keys to its premises, after appointing their own receivers over the units that owed the creditors.