China’s Wanda Group Confirms Sale of Circular Quay, Jewel Projects


In a filing to the Hong Kong stock exchange late-Tuesday, Chinese developer Dalian Wanda has confirmed the sale of its Australian real estate projects, with an estimated worth of more than $1 billion, to an unnamed investor.

The two projects, One Circular Quay in Sydney and Jewel at Surfers Paradise on the Gold Coast, have been acquired by a private buyer after a sale exchange contract was signed in Hong Kong on 18 January.

[Related reading: Wanda to Sell $6.6 billion Worth of Projects]

Both Australian projects are under construction and have an end value of about $2 billion.

The identity of the buyer has not been revealed at this stage other than it being “an independent third party” according to the Hong Kong stock exchange announcement.

Dalian Wanda’s shares remain in a trading halt pending a further announcement on the sale.

Wanda Group03

The company, headed by Chinese billionaire Wang Jianlin, last week sold its One Nine Elms hotel and residential project in London according to a stock exchange filing as it complies with a government directive to cease its international expansion and reduce its debt.

In 2017, China’s regulators directed banks to stop providing funding for several of Wanda’s overseas acquisitions as part of a crackdown on what Beijing sees as irrational spending by some domestic conglomerates. In August, Wanda released a statement denying speculation that they would be forced to list their Australian projects following Beijing tightening controls over Chinese offshore investment.

[Related reading: Are China’s Curbs on Outbound Investment an Opportunity for Australian Developers?]

Wang said to Chinese media on the weekend that the company would not default on any debt obligations as it continued the process of selling down overseas assets. China Money Network reported that Wanda has $632 million in repayments of offshore loans due in March.

Wang is China's fourth-richest man, and was once ranked by Forbes as its richest. The company remains in trading halt.

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