A 40/60 joint venture between HKR International Ltd. and Hysan Development Co. Ltd. secured loans to help pay for two residential sites it bought in New Territories, Hong Kong, for HK$3.40 billion.

HKR provided an approximately HK$1.44 billion unsecured shareholder loan out of its internal resources to Gainwick Ltd., subject to certain conditions. About HK$1.36 billion of interest-free credit will be used to fund the acquisition. The remaining HK$80 million, which bears an interest of 2% per year over one-month Hong Kong Interbank Offer Rate, meanwhile, will be for Gainwick's initial working capital.

Separately, Hysan said Gainwick secured facilities with lenders and mandated lead arrangers Bank of China (Hong Kong) Ltd., HSBC, Hang Seng, The Bank of Tokyo-Mitsubishi UFJ Ltd. and DBS Bank Ltd. Hong Kong Branch. Bank of China is the agent and security agent for the facility, according to a filing.

Gainwick's agreement has four facilities: HK$1.14 billion and HK$519.0 million for the land premium; and roughly HK$2.26 billion and HK$1.08 billion for construction costs related to the project.