China Evergrande Group to sell 26-story property for $2b

Developer China Evergrande Group is in talks to sell China Evergrande Center in Hong Kong’s Wanchai district, the firm’s largest single-property asset, sources familiar with the matter told Mingtiandi.

Yuexiu Property, a branch of the local government of Guangzhou, is said to be the potential buyer of the 26-story office property. The sale is expected to fetch $2 billion for China Evergrande Group.

According to Mingtiandi, local property analysts are calling the potential deal a government-driven attempt to rescue Evergrande, which recently pledged to lower its debt levels after being reprimanded by China’s top financial regulators last week.