Hong Kong-based property developer Wang On Properties and APG Asset Management (APG) have established a joint venture company to invest in residential properties in Hong Kong for development and re-development for sale.
Under the partnership, Wang On Properties and APG will work closely to acquire residential development properties across urban locations in Hong Kong with an initial total commitment of HK$4.668 billion.
The JV company will acquire four seed projects from Wang On Properties including two residential sites in Ap Lei Chau and two residential sites in Wong Tai Sin. The four seed projects have an aggregate gross floor area of approximately 250,300 square feet.
Nick Tang, Chief Executive and Executive Director of Wang On Properties, said: “We are excited about the partnership with APG. We believe that is a perfect fit for our business to grow further and it will bring the company to the next level. We are keen to provide more residential products to the Hong Kong market while at the same time providing solid returns to the JV company.”
“We see the Greater Bay Area being an economic cornerstone for China and Hong Kong as a critical part of that initiative. We are therefore delighted to be able to partner with an operator as experienced and embedded in the local market as Wang On. Investing on behalf of our long-term pension fund clients, the strategy for our new joint venture will address several strategic themes for us such as housing affordability, urban regeneration and urbanization. The latter being a key tenet of our aspirations around climate and sustainable investing“ commented Graeme Torre, Head of Real Estate for APG.