ING Real Estate today announced it has entered into a joint venture partnership with Raycom, a wholly-owned real estate subsidiary of Legend Holdings. ING Real Estate has invested US$22.4 million in the joint venture to develop Raycoms two existing residential projects (estimated total Gross Floor Area of 450,000 m²) and potential new projects in Changsha, the capital of Hunan province in south central China. In addition, the joint venture will serve as a strategic platform for both parties to pursue future joint venture opportunities in the rest of the Hunan Province.
Dr. Robert T Lie, CEO of ING Real Estate Investment Management Asia, said We are extremely pleased to be Raycoms partner. This is the beginning of a long-term ING Real Estate-Raycom strategic partnership and we are confident that our cooperation will extend beyond the Changsha market. The investment fits well with the strategy of the new ING Real Estate China Opportunity Fund which focuses on investing in residential development projects in first and second-tier cities of China.
Mr. Chen Guo Dong, President of Raycom, said This is a win-win strategic cooperation for both parties. ING Real Estate is one of the very few foreign investors that has been active in China for more than a decade and has developed solid local operational knowledge. We believe the cooperation combines experiences and strengths from each party and will create more value for all of our shareholders. In addition, the partnership will help to elevate the overall development standard of the Hunan real estate market.
Source: ING Real Estate