HNA Group looks to unload $11B in assets amid continued selloff

Among the properties is 850 Third Avenue, as the debt-ridden Chinese conglomerate works to balance its books

National /
Oct.October 09, 2018 01:30 PM

HNA Group Chairman Chen Feng and 850 Third Avenue (Credit: Wikipedia and 850 Third Avenue)

Troubled Chinese conglomerate HNA Group is selling off another $11 billion in assets in its latest move to steady the ship.

Included is New York’s 850 Third Avenue, though most of the 80 total are in China, according to Reuters.

HNA bought the office building in 2016 for $463 million and secured a $342 million refinancing loan for it in June.

The buildings for sale were listed in two documents sent to prospective investors in August, and it’s not clear how many have already been sold. One set of documents listed 23 of the buildings with targeted sales in 2019.

The selloff is a result of mounting pressure from creditors and Chinese regulators. HNA has already sold or agreed to sell around $20 billion in assets since January. The company’s debt was listed at $95 billion through June, which was down 10.7 percent from the end of 2017, according to Reuters.

Earlier this year, HNA sold off a stake in Deutsche Bank and listed a stake in Hilton spinoff Park Hotels & resorts. In September, HNA gave up 80,000 square feet of prime Hong Kong office space that it never moved into but rented for $1.5 million a month.

HNA is led by chairman Chen Feng and has a highly diversified business. [Reuters] — Dennis Lynch 


Related Articles

arrow_forward_ios
With a cooling trade war, stocks perform well, including real estate. (Credit: iStock)
Real estate stocks push up this week as U.S.-China trade tensions ease
Real estate stocks push up this week as U.S.-China trade tensions ease
416 West 25th Street and Maverick Real Estate Partners principal David Aviram (Credit: Google Maps and LinkedIn)
Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Chelsea landlord claims “predatory” lender is charging a crippling interest rate as punishment after losing foreclosure case
Steve Witkoff and Ian Schrager in front of the iconic PUBLIC hotel escalators. (PUBLIC, Getty)
EB-5 fund alleges Schrager, Witkoff siphoned money from Public Hotel
EB-5 fund alleges Schrager, Witkoff siphoned money from Public Hotel
Best Buy has closed about 20 of its big-box stores in each of the past two years (iStock)
Best Buy lays off 5,000 staffers, increases store closures
Best Buy lays off 5,000 staffers, increases store closures
Ryan Serhant and Gary Barnett on Development Slowdown in Pandemic
Coffee Talk: Extell’s Gary Barnett and Ryan Serhant
Coffee Talk: Extell’s Gary Barnett and Ryan Serhant
Cushman & Wakefield CEO Brett White
Cushman reports 10% drop in revenue in 2020
Cushman reports 10% drop in revenue in 2020
Central Queens Academy's Ashish Kapadia and United's Chris Jiashu Xu with a rendering of 88-08 Justice Avenue (Linkedin, iStock)
Charter school takes 85K sf in Queens condo building
Charter school takes 85K sf in Queens condo building
(IStock illustration by Kevin Rebong)
Smaller cities look to cash in on shift to remote work
Smaller cities look to cash in on shift to remote work
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...