Sino-Ocean Capital Launches $ 1.4 Billion China Office Fund | New

Sino-Ocean Capital (SOC) has launched a fund to invest $ 1.4 billion (€ 1.21 billion) in Chinese office markets.

The Beijing-based asset manager said the capital would be provided by parent company Sino-Ocean Group (SOG) and “global sovereign wealth funds or reputable institutional investors.”

Sino-Ocean Prime Office Partners I LP will be seeded with two grade A office assets in Beijing’s central business district: Ocean Office Park, which is already operational, and Project Z6, which is being developed by SOG on a plot of 11 000 m². ground.

SOG, listed on the Hong Kong Stock Exchange in 2007, has been developing commercial real estate in China since the late 1990s, including the China Life Financial Center and the Ocean International Center.

SOC said the new fund will focus on Class A buildings in China’s major office markets.

China Life Insurance and Dajia Life Insurance are major shareholders of SOG, itself the largest shareholder of SOC, an alternative asset manager with $ 20 billion under management.

Chris Wang, CEO of SOC and Vice President of SOG, said the launch of the fund was part of a “strategy to grow our fund management business and grow our assets under management in an efficient manner. capital, strengthening our position as China’s premier real estate fund manager and establishing long-term capital to further expand our real estate portfolio ”.

He said, “We are continuously consolidating our ability to raise, manage and disburse funds, while establishing long-term strategic cooperation with many well-known domestic and foreign institutional investors.

Eric Zhou, executive deputy general manager of SOC, said, “We are currently at the bottom of the office real estate cycle and the market is already showing signs of recovery.

“In the medium to long term, China’s urbanization, industrial upgrading and consumer upgrading will continue to drive demand for office space.

“Our collaboration with global institutional investors allows us to realize the potential for long-term growth and capital preservation in this attractive asset class. “

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Jose C. Birney