Chinese developer Logan Group has secured a HK$8.2 billion loan to refinance a facility used for the development of a luxury property in Hong Kong. This loan is part of Logan's ongoing effort to restructure approximately $8 billion in offshore debt. The loan was obtained by Unicorn Bay (Hong Kong) Investments, in which Logan holds a 50% stake.
The property in question, The Corniche, was developed during China's real estate boom by Logan Group and KWG Group and was anticipated to generate around HK$30.9 billion in sales. However, a downturn in the local property market and the high costs of premium locations have left many apartments unsold since the project's completion last year. Some units at The Corniche's first tower have seen their prices slashed to about HK$25,000 per square foot, representing a 40% discount from the original asking price, according to a source. (Bloomberg News & ET)
