A mansion in Hong Kong previously owned by China Evergrande Group’s chairman, Hui Ka Yan, has been sold for $57.37 million. This represents a significant drop from the initial valuation of $88 million set by receivers in March 2023. The sale comes amid Evergrande’s ongoing financial struggles.
A luxurious mansion in Hong Kong’s prestigious Peak District, once owned by the chairman of China Evergrande Group, has found a new buyer. According to Land Registry records, the 5,000-square-foot property was sold for HK$448 million (US$57.37 million).
The mansion was seized by China Construction Bank (Asia) in November 2022 through the appointment of receivers, tasked with recouping debts owed by the struggling property developer Evergrande. At the time, the property was valued at HK$880 million (US$112.4 million), but it failed to find a buyer at that price.
The final sale price reflects a substantial decrease of nearly 50% from the initial valuation. This highlights the ongoing challenges faced by Evergrande, as the company grapples with its massive debt burden.
Real estate agents haven’t disclosed the identity of the new owner. However, the sale significantly develops Evergrande’s ongoing financial restructuring efforts. The company is facing pressure from creditors to sell assets to repay its debts.
Hui Ka Yan, the former owner and chairman of Evergrande, remains a prominent figure in China’s business landscape. However, the sale of his luxury mansion serves as a stark reminder of the financial difficulties currently plaguing the company he once led.
