On October 13, Sino-Ocean Group transferred its wholly-owned subsidiary Super Goal Development Limited to its partnership fund. The fund was jointly funded by Sino-Ocean Group and several other global investors with total fund size of USD1.4 billion, which will focus on investment in the office market.
The underlying asset of Super Goal Development is located in the core area of East Third Ring CBD of Chaoyang District, Beijing. The asset is an office building that is currently under construction. It is a forward transaction with the expected total consideration of RMB 6.4 billion, comprising of areas on L2 to L27, areas on L1 (excluding the 438 sq m of retail), and underground areas (excluding 50 underground parking spaces and the respective underground space of property B).
The target property is located in the core area of East Third Ring CBD, Chaoyang District, Beijing. It is a project that is under construction. The transaction reflects investors’ confidence in high-quality office buildings in Beijing. With further recovery from the pandemic, in October, Beijing office market also sees recovery with rental rate rebounded by 0.1% compared to last month, reaching RMB341.1 psm per month. Citywide vacancy rate decreased by 1.4 ppts to 16.7% QOQ. Considering the high proportion of self-use of new projects coming into the market in the fourth quarter, it is expected that the market will continue to be active, and the rent will further recover. Office properties, especially the ones in the core areas will continue to be attractive in the capital market.