China Vanke pays $281m for property assets

China Vanke Co. has acquired real estate assets worth CNY1.78 billion ($281 million) from state-owned Hangzhou Iron & Steel Group Co.

China Vanke Co. will take over eight projects spanning five eastern cities including Hangzhou, Jiaxing, Taizhou, Ma'anshan and Zhuji.

“This is also the first time that Vanke has been involved in the reform of mixed-ownership state-owned enterprises in Zhejiang,” said Zhang Hai, senior vice president of Vanke Group and CEO of Shanghai regional headquarters.

The sale is part of Hangzhou Iron & Steel Group’s transforming strategy following provincial government regulations issued in 2016 calling on state firms to exit the real estate sector within three to five years.