The risk is expected to be a commercial real estate player Li Ka-shing or the biggest winner

Morning News reporter Raiting Rain recently said, located in Shanghai Jingansi area of the famous office "century Trade Plaza" may again easily master. In May 2008, Li Ka-shing sold the century Trade Plaza to the Asia Pacific Place (APL) at a price of 4.438 billion yuan, the deal set the record of the all-time maximum of the overall trading of Grade A office in Shanghai.　　Holding the property in less than three years, the Asia-Pacific Place outbound selling information, rumors of Pacific Insurance or will be "the original price" plate. Pacific Phase century Trade Plaza Century Business Plaza is located in Chang Changshu Changle Road, near five-star hotel Hilton Hotel, the area near a number of similar grade A office building and shopping malls, a 10-minute walk to a number of national consulates, such as the United Kingdom, Germany and so on.　　The surrounding bus routes are also more developed, belonging to the first-grade grade A office building in Shanghai.　　The source said century Trade Plaza is indeed negotiating the transfer, the Asia-Pacific land and insurance companies are now entering the substantive phase of negotiations, and ultimately or "offshore" (also known as "external transactions", refers to both sides of the transaction are registered outside the curve of the transaction to avoid restrictions) transactions. However, neither buyer nor seller has formally commented on the deal. "Pacific Insurance is not really the first customer. In the second half of this year, the Asia-Pacific land began looking for a home, once contacted Haitong Securities, but after a few months or nothing. "But the current approach to insurance money is very smooth." It is noteworthy that this September, the interim measures for the investment in real estate of insurance funds (hereinafter referred to as the "measures") issued to broaden the investment channels of insurance companies, allowing insurance funds to invest in real estate under the principle of safety.　　Subsequently, the insurance companies in the real estate industry began to become active. In mid-September this year, Ping An trust bought Chengdu Zhonghui Plaza, which was regarded as the first purchase of commercial real estate after the new deal was introduced. At nearly the same time, Taikang life in Beijing's core area quietly took a total floor space of about 60,000 square meters of comprehensive land.　　People familiar with the matter said the plot would build commercial projects such as office buildings, shopping malls and exhibition auctions. Insurance or into real estate investment mainstream as early as 2006, the major insurance companies began to form their own real estate investment team.　　After all, the relevant life insurance policy lasts for up to 20 years and requires a matching long-term investment. "This hole is going to open sooner or later, the final 10% ceiling, beyond the industry's expectations, we thought only 5%~6%." "Xiao Xiaomei, director of the Beijing Research Department, said.　　According to the method, the upper limit of the investment in real estate is 10% of the total assets year of the last quarter.　　A public study report said that about 450 billion yuan of insurance money is expected to be used to invest in commercial property since the "lifting" was released in September this year. "If the Pacific insurance deal succeeds, the case may become an important node in the Shanghai real estate market."　　Chen Limin, managing director of Taiping Investment Management Limited, said. For the Century trade plazaIn terms of trading, although investors like the Asia-Pacific place are looking for more than 8% of the annual rate of return, insurers are likely to be much less demanding, and the building's current rental capacity is ideal for Pacific insurance. DTZ DTZ, co-director of China Investment, Ye Jiancheng, said, "the insurance funds into the commercial real estate sector, in favor of the currently undervalued commercial real estate projects reflect their value, improve property quality." At the same time to guide more developers engaged in quality commercial real estate project development. At present, although the risk of capital into the property market is still in the preparatory stage, but starting next year, insurance funds or will become the main buyers of large transactions. In addition, according to DTZ DTZ research and analysis, a large amount of funds will be in the short term to pull some of the quality of commercial property prices.　　But commercial real estate investors are mostly institutions, more value the performance of long-term rents, and insurance funds will choose long-term holdings and other ways to invest, so the commercial property market in the future will remain relatively stable situation, there will be no sharp surge. Li Ka-shing is still the biggest winner the Morning news reporter learned that the deal with the Asia-Pacific place is still about 4.4 billion yuan, the price and the original from the hands of Li Ka-shing, the same prices, really puzzling.　　The reason, the industry generally believe that the property appreciation potential of the overdraft is the Asia-Pacific Place the main reason for the original price. "From the present point of view, we can temporarily determine that the investment in Asia-Pacific land is not very successful." "Professional analysis, according to the Convention, the possession of high-quality Grade A office buildings in Shanghai after a few years, the property should have a substantial appreciation." But why are the two sides negotiating deals at the original price? The reason is that Li Ka-shing's high level, so that the price of the building has been "choke to the throat mouth." Assuming that the original investment in the Asia-Pacific place expected annual return of 8%, the building even if the full year rent, rental level must also reach 10 yuan/square meters/day. In recent years, Shanghai Jingansi near the new grade A office building including Yue Yang Plaza, will Tak Fung Plaza, Kerry Center two, and so on, its no one is not a high-level grade A office space, such a large area of office concentrated supply, restraining the local rent rising speed, so the rent of the mansion is only to maintain the But it is difficult to maintain a 100% full rent situation.　　Therefore, the investment return of the Asia-Pacific Place on the property appreciation prospects, and the fact that property appreciation has already been the original high-priced Exchange "overdraft." In the 3-year period of property ownership, the biggest benefit of the Asia-Pacific land is relatively robust rental income. However, in terms of Shanghai's first-line location, Jingansi around the office rent level although in the slow growth, but difficult to have a big breakthrough. The expectation of high rents for the Asia-Pacific land high cost acquisition is therefore rather difficult.　　This may be the biggest reason why the Asia-Pacific Place chooses to throw the disk at this point. "Another benefit is the exchange rate gains from the appreciation of the renminbi." "Chen Limin said.　　But the gains have been "meager", as the renminbi has risen for a long period, but in 3, the renminbi has risen by less than 3%. Century trade Plaza is Li Ka-shing's "long andThe landmark office, which was developed in Shanghai, was initially held with 50% interests by both the long real and the Huang.　　In November 2005, Li Ka-shing and Kee Hong Kong announced that $300 million was spent to buy the century trade plaza for the parent company, long Real and Huang, as a long-term investment and property leasing purposes. In May 2008, and the Hong Kong land issued a notice that the equivalent of 4.438 billion yuan in the price of the Century Business Plaza Changle Road sold to the Asia-Pacific place, the expected return of about HK $2.1 billion. To calculate the unit price, Century trade plaza, the average turnover is about 45000 yuan/square meters. According to the data published by the High Power International, the first quarter of 2008 in Shanghai, the average price of grade A office in 51000 yuan/square meters. At that time, several media reports in Shanghai said that the investment Superman Li Ka-shing may be lost. To the Century Trade Plaza location, its unit price is significantly lower than the market price. But it now appears that Mr Li will be the biggest winner of the Sell-off before the financial crisis erupted in the second half of 2008.