Shanghai Commercial Bank Ltd, a Chinese bank in Hong Kong with over 40 local and overseas branches, said it has won a bid through an open tender to purchase an office tower, CNAC Group Building in Hong Kong's prime Central business district for HK$1.39 billion.
According to the local report, Shanghai Commercial Bank plans to redevelop the newly-acquired property together with its excising headquarters nearby upon expiry of existing leases, but the timing for the redevelopment is still under review.
The local Chinese bank was paying approximately HK$19,833 per square feet for the CNAC Group Building, the highest price seen in the market since 2005, sources said.
However, the move may not indicate a bright prospect of Hong Kong's office property market as there are still uncertainties for the rest of the year, according to industry insiders.
The owner of tower, CNAC Group, bought the property, which has a gross floor area of 69,981 square feet, for HK$430 million in 1994. |
