S&P Global Market Intelligence offers our top picks of Asia-Pacific real estate news stories and more published throughout the week. Please note that some entries may have links to third-party sources that may require a subscription.
Checking in with hotel deals
* Alibaba Group Holding Ltd. formed a travel joint venture with Marriott International Inc. for the overall "travel experience" for Chinese consumers. Marriott CEO Arne Sorenson said the partnership is expected to boost demand from Chinese travelers for its hotel rooms.
* Dalian Wanda Group Co. Ltd. is not planning to sell its two mega projects in Australia, subsidiary Wanda Hotel Development Co. Ltd. said, shortly after The Australian Financial Review reported, citing two unnamed sources, that the conglomerate was planning to sell the under-development schemes worth about A$1.90 billion.
Shortly after, Wanda Hotel released a set of asset restructuring moves within Dalian Wanda Group, including the sale of varying stakes in project companies that oversee the development of its projects in London, Chicago, China and Australia for a price that is yet to be determined. It also said it is buying the group's theme parks and hotels designer/builder/manager for 7.05 billion Chinese yuan.
* Wyndham Worldwide Corp.'s RCI signed an agreement to buy DAE Global Pty. Ltd., the operator of a timeshare exchange company and a software company, both based Down Under, from vacation group Beneficium.
* Hotels in Hong Kong and Sydney registered year-over-year growth in five key performance metrics in July, according to STR's preliminary data.
* AEP Investment Management Pte. Ltd. said a media report stating it was planning to reduce HNA Group Co. Ltd.'s involvement in the planned IPO of HNA Commercial REIT in Singapore "isn't in line with the actual situation" and that the Chinese conglomerate's role in the listing remains the same.
* Embassy Office Parks, India's first listed real estate investment trust, expects to raise about US$1.00 billion from an IPO by the end of 2017, according to sources cited by The Economic Times of India.
* Sabana Shari'ah Compliant Industrial REIT is the target of a possible takeover bid by ESR-REIT. The managers of the duo confirmed this week that advanced discussions are ongoing, but there is no guarantee that a deal will be struck.
* Wing Tai Holdings Ltd. and Wing Tai Investment & Development Pte. Ltd. will, within two months from Aug. 8, launch a compulsory buyout offer for all the shares it does not already own in Wing Tai Malaysia Bhd. The offer comes after the pair secured a roughly 96.75% stake in the Malaysian company, allowing them to start the delisting process for the target.
* An affiliate of CK Hutchison Holdings Ltd. is tipped to have obtained €1.95 billion worth of loans to fund its planned acquisition of a European metering and energy management company.
* Things are not quite so smooth for Chinese company Zhonghong Zhuoye Group Co., Ltd., which is believed to be having trouble funding its reported US$4 billion bid to buy Brookdale Senior Living Inc. It is said that a Chinese bank tagged Zhonghong as "high risk," which is why it has had trouble getting approval from regulators for one of its loans.
Earnings this week
* Global Logistic Properties Ltd. said profit after tax and minority interests in the quarter ended June was 29% lower year over year at roughly US$144.2 million due to lower revaluations brought about by foreign currency movements. Without revaluations, the metric would have been up 130.7% in the period to US$89.0 million from about US$38.6 million.
* Sumitomo Realty & Development Co. Ltd. saw profit attributable to owners of its parent for the first quarter of fiscal 2017 rise 29.0% year over year to ¥42.80 billion from ¥33.17 billion.
* In the Philippines, conglomerates SM Prime Holdings Inc. and Ayala Land Inc. booked year-over-year increases in net income, with the former seeing a 14% increase to 14.39 billion pesos and the latter an 18% increase to 11.5 billion pesos.
Grab the keys
* Fortress Investment Group LLC won an auction in Japan for about 1,300 aging public apartment buildings in small cities, according to Reuters sources. The buyout firm reportedly offered ¥24 billion for the portfolio.
* Brookfield Property Partners LP is said to be close to selling a 25% stake in a Sydney development. AMP Capital and EG Funds Management are reportedly paying A$1 billion for the stake in the Wynyard Place scheme.
* Asia's office property market saw big-ticket deals this week, with Manulife Real Estate declaring that it will be spending at least US$2 billion to expand its office portfolio in the continent.
Co-working giant WeWork Cos. announced a US$500 million plan to expand in Southeast Asia and South Korea. Its Chinese competitor, UrWork, raised US$178 million of capital for its worldwide expansion and technology upgrading.
In India, a source told The Economic Times that Brookfield Asset Management Inc. is in advanced talks to inject 8.00 billion Indian rupees into a residential portfolio owned by developer Total Environment Building System in Bengaluru.
Featured during the week on S&P Global Market Intelligence
Real Estate Rundown: If Anbang looks to sell, hotel investors will be interested: Reports that the Chinese insurer could sell overseas assets raise questions about its large hotel portfolio, which includes the Waldorf Astoria New York and a host of other luxury properties.
Data Dispatch Asia-Pacific: Asia-Pacific real estate companies' capital raising falls 29% YTD through July: Chart Watch: Year-to-date as of July 31, Asia-Pacific real estate companies raised US$42.85 billion through capital activity.
Celestyn Wong contributed to this report.