Evergrande crisis: Chinese developer suffers another loss in US$1 billion Shenzhen land sale to state-backed entity
- The 10,376-square-metre plot in Shenzhen’s Nanshan district was sold to government-backed Shenzhen Anju Jianye Investment Operation
- Evergrande bought the land in 2017 for 5.55 billion yuan with the aim of building a 71-storey tower to house its headquarters
Shenzhen Anju Jianye Investment Operation, which is backed by the city government and China Industrial International Trust, acquired the 10,376-square-metre (111,686 sq ft) parcel in Nanshan district for 7.54 billion yuan (US$1.05 billion), according to a statement from the local government on Saturday.
Three stated-owned enterprises based in the tech hub in southern Guangdong province and mainland developer China Vanke founded the company in January, according to Tianyancha, a business data tracking firm.
It has been reported in the Chinese media that the company supports liquidity-strapped Chinese developers. The company has been involved in many Evergrande projects to ensure their completion and delivery, including four in Shenzhen’s Longgang district.
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China Industrial International Trust, based in Foochow in southeastern Fujian province and backed by the Industrial Bank, is one of Evergrande’s creditors, according to local media reports. But the Post is unable to confirm the relationship between the two.