Soho China to sell three more non-core sites, all in Shanghai
But chairman Pan Shiyi says firm still committed to its ‘build-to-hold’ business model, after revealing 344pc surge in profit
Commercial real estate firm Soho China plans to sell another two to three non-core properties to cash in on the rising market, as it continues to focus its attention more on securing recurring rental income in first-tier cities.
Announcing the company’s interim results, which showed a 344 per cent surge in profit, the chairman Pan Shiyi said on Wednesday that three Shanghai sites had been identified for sale: Tianshan Plaza, Hongkou SOHO, and Lingkong SOHO, all of which are in areas away from the centre of the metropolis.
Tianshan Plaza is still under construction, and is expected to be finished before the year-end.
The sell-off plan comes after the company offloaded Soho Century Plaza in late July for 3.22 billion yuan, or 76,700 yuan per square metre, a 21 per cent premium on its book value.
Pan insisted, however, that the company’s new “build-to-hold” business model had not changed, and the project still only represents 3.7 per cent of Soho’s leasable areas.
“Soho will continue to hold and operate its core assets in Beijing and Shanghai,” Pan said.