HNA Seeks To Raise RMB 2.7b From Sales Of Shanghai, Sanya Hotels

HNA Group is putting up for sale a pair of hotels, one each in Shanghai and in Hainan province, as the financially-troubled mainland fights to stay solvent.

The two hospitality properties, both of which are fully completed and operational, could bring in a total of over RMB 2.7 billion ($393 million) for the cash-starved parent company of China’s Hainan Airlines.

During the last week, the company has listed both the Renaissance Shanghai Pudong Hotel and the Crowne Plaza Resort Sanya Bay, along with other Hainan resort assets, for sale on government-run asset exchanges in China, a move which is often a final step before a transaction is announced.

HNA is asking RMB 803 million for 100 percent of the equity in the holding company for the Renaissance Shanghai Pudong, according to a notice posted on the Shanghai United Assets and Equity Exchange on July 16.

The 370-room hotel, which first opened in 2003, is located 600 metres from the Pudong Expo Centre on Chang Liu Lu in the district’s Lianyang area and is jointly owned by HNA Group subsidiary Shenzhen Qianhai Futai Investment Partnership and HNA Asset Management Group.

The five-star hotel has a total gross floor area of 51,436 square metres (553,652 square feet), spanning 27 above ground storeys with three more floors underground.

Just four days before the Shanghai property was listed on the local asset exchange, HNA had posted its Sanya project for sale on the China Beijing Equity Exchange.

Ref:  Property Report