Franshion Properties mulls acquiring China World Trade Center

Jul. 15, 2009 (China Knowledge) - Franshion Properties (China) Ltd<0817>, a real estate subsidiary of state-owned Sinochem Group, is considering purchasing China World Trade Center Co Ltd<600007>, which owns a mixed-use property called China World Trade Center, sources reported.

At the end of last year, Franshion Properties started the purchase plan, but the plan failed due to economic turmoil. Now that the real estate enterprise has acquired a piece of undeveloped land for RMB 4.06 billion on Guangqu Road, Beijing, the firm is reconsidering obtaining the China World Trade Center, but the terms of the deal have not been released. 

China World Trade Center, which is located on East Third Ring Road in Beijing, comprises China World Offices, China World Apartments, the five-star China World Hotel, which has 738 guest rooms, the four-star Traders Hotel, which has 552 guest rooms, China World Shopping Mall and China World Exhibition Hall.

China World Offices comprises two 38-story buildings, one 6-story building and one 2-story building.

Reportedly, at the beginning of March, Franshion Properties obtained loans from Bank of China<601988><3988> and Industrial and Commercial Bank of China<601398><1398> for a total of RMB 24.5 billion. In June, the firm sold seven office builds in Shanghai for RMB 5 billion in total.