[photopress:chongqing.jpg,full,alignright]Kuwait Finance House (KFH) by way of its subsidiary, Kuwait Finance House (Malaysia) Bhd (KFHMB) has teamed up with Belanie Management and Chongqing Risun to establish a sino-foreign real estate joint venture corporation in Chongqing, China. Which makes two being set up on similar lines with Belanie Managment and Chongqing Risun possibly being the driving force.
Belanie is a Hong Kong-based privately owned international real estate investment company. Risun Group is a Chinese private enterprise based in Chongqing. Together they have entered into an Islamic funding arrangement with Belanie.
That money runs the Risun Group, which is presently developing a well-known mixed-used real estate project in Chongqing. This venture is called Jahoo Hongkong City. It all seems a little complicated when you start to write it down but it becomes clearer and more logical as you move along.
The Johoo Hongkong City development project has both retail and residential components.
The managing director of KFHMB (that is the company based in Malaysia providing some of the finance) is K. Salman Younis. He said, ‘Through this partnership, KFHMB will be the first Islamic bank to be involved in a corporate real estate transaction in Western China. This is part of the bank’s plan to increase its investment opportunities in the region.’ While the statement says that this is the first Islamic bank to invest in Western China, Islamic money has been invested in real estate in China for well over twelve years.
Belanie’s director, T. Szen Low, said of Chongqing, ‘Most of the real estate demand is generated by owner-occupiers, which is conducive for us as a long-term investor.’