DLJ Real Estate Capital Partners and Sino-Ocean Land Announce Successful Launch of Shenzhen Residential Development 370 Units Sold Exceeds Market Expectations
SHENZHEN, China, Dec. 17, 2012 /PRNewswire/ -- DLJ Real Estate Capital Partners, LLC ("DLJ RECP") announced the successful launch of Sino Ocean Express, a residential development project located in the Longgang District of Shenzhen, China. The development is a joint venture between DLJ RECP and Sino-Ocean Land (SEHK: 03377). All 370 condominiums released to the market were sold within the first few hours of the sales event on December 15th.
The Project consists of 4.4 million square feet of residential, retail and outdoor space. The majority of the purchasers, young professional couples, were attracted to the project due to its location with a direct subway access, efficient units, and Sino-Ocean's reputation as a high quality developer. Unit sizes average 947 square feet with three bedrooms and have efficient layouts designed especially for the fast growing middle-class, young and expanding families seeking a vibrant city lifestyle. The first phase units will be delivered to the homebuyers in 2014.
"The key to the project's successful launch is attributable to our understanding of what consumers want and aspire to have," according to Mr. Shen Zhu Yuan, Project Director and Group Vice President of Sino-Ocean.
Shenzhen, one of China's top-tier cities with a population of 10 million, is home to China's Shenzhen Stock Exchange and high technology manufacturing companies. Its proximity to Hong Kong elevates its status as China's first Special Economic Zone, where its citizens are among the highest GDP per capita in the country. China's New President, Xi Jinping, made his first official visit as President to the city, reinforcing Shenzhen's growing significance as a beacon of economic growth.
"The hard demand for housing, driven by household formation, is most evident in Shenzhen, with the youngest population of all major cities in China," said John Lien, Managing Director at DLJ RECP. "The project not only benefits from strong pent-up demand resulting from a series of restrictive policies in the real estate sector implemented in 2010, but also favorable demographics unique to Shenzhen."
DLJ RECP was one of the first U.S. partners to invest with Sino-Ocean Land, beginning in 2006 before Sino-Ocean Land became a public company. The Shenzhen joint venture was established in March 2012 to develop the Sino-Ocean Express property.
Andy Rifkin, Managing Partner of DLJ Real Estate Capital Partners, said, "Our investment in Shenzhen is consistent with our strategy to target markets characterized by high barriers to entry, strong transportation infrastructure, and sustained growth dynamics. We are pleased to partner with Sino-Ocean to deliver a quality property that is well positioned to meet pent-up demand in the local community."
ABOUT DLJ REAL ESTATE CAPITAL PARTNERS, LLC
DLJ RECP is a leading global investment firm focusing on real estate and real estate-related assets. DLJ RECP was founded in 1995 and has offices in New York, Los Angeles, Hong Kong and Tokyo. DLJ RECP manages a series of real estate private equity funds with total capital commitments in excess of $4 billion. The DLJ RECP funds have acquired 180 investments representing approximately $15 billion in gross transaction value throughout North America, Western Europe and Asia. DLJ RECP takes a rigorous property-by-property approach to investing. The firm's strategy is to acquire well-located assets with high intrinsic value and to enhance that value through creative repositioning and intensive management strategies.
ABOUT SINO-OCEAN LAND
Founded in 1993, Sino-Ocean Land was listed on the Main Board of the Hong Kong Stock Exchange (stock code: 03377) on September 28, 2007 and has become one of the top ten Mainland real estate companies listed in Hong Kong. In March 2008, Sino-Ocean Land was selected as a constituent of the Hang Seng Hong Kong Composite Index and the Hang Seng China-Affiliated Corp Index. Sino-Ocean Land is mainly engaged in the development of mid- to high-end residential properties, premium office buildings, retail properties and serviced apartments. Based in Beijing, Sino-Ocean Land has a multi-regional and diversified portfolio of both development and investment properties. Sino-Ocean Land sold 18 million, 23 million and over 27 million square meters of real estate in 2010, 2011 and 2012, respectively. As of June 2012, Sino-Ocean has a land bank of approximately 253 million square feet across 19 Chinese cities.
SOURCE DLJ Real Estate Capital Partners, LLC