CapitaLand said in a statement to the Singapore Stock Exchange that it has taken a major position in the Raffles City China Fund. This successfully closed at $1 billion and CapitaLand has subscribed for a 50% sponsor stake in the RCCF.
The RCCF intends to acquire CapitaLand’s effective 55.9% stake in the completed Raffles City Shanghai and 100% stake of the other three Raffles City projects in Beijing, Chengdu and Hangzhou, due to be completed between 2009 and 2012.
(It should be noted that Sir Stamford Raffles after whom all this is named and who is seen in our illustration never once came near China.)
The RCCF is CapitaLand’s eighth real estate private equity fund in China.
At present, CapitaLand has total assets under management of over $13.57 billion from its five REITs and 15 private funds excluding RCCF.
Entering China early in 1994, the Singapore-based company, which owns more than 70 malls and developed homes in cities such as Shanghai and Beijing, made close to 30% of its revenue in China last year, up from 20% in 2006.
Source: Shanghai Daily