Mori sells 10% of tallest China bldg to M.Stanley

[touchring]

My friend used to have an office in Pudong around 2000, that time, the place was relatively new and deserted, and rental was low and startups occupied the newly built offices. But 6 years later, the banks and international companies moved in and everytihng changed.

And to think that in 1990, water buffalos ploughing rice roamed the place!


Mori sells 10% of tallest China bldg to M.Stanley

http://www.reuters.com/article/mergersNews/idUSPEK8021220070913

SHANGHAI, Sept 13 (Reuters) - Japan's Mori Building Group has sold a 10 percent stake in China's tallest building, the 125 billion yen ($1.1 billion) Shanghai World Financial Centre, to investment bank Morgan Stanley (MS.N: Quote, Profile, Research), the group's president Minoru Mori said on Thursday.

Mori Group expects to charge the highest rents in China for the 101 storey tower, in which it now holds a 70 percent stake, and to recoup its investment within 15 years, he added.

"We will be a price leader," Mori told reporters, adding that rents would start at about $3 per square metre per day.

"Shanghai is growing rapidly and may one day surpass Hong Kong or even Tokyo."

[Rubber Duck]

In my estimation Hong Kong is already Toast. Tokyo will take a little longer, but the outcome is inevitable.

My friend used to have an office in Pudong around 2000, that time, the place was relatively new and deserted, and rental was low in shanghai. 6 years later, the banks and international companies moved in and everytihng changed.

And to think that in 1992, water buffalos ploughing rice roamed the place!


Mori sells 10% of tallest China bldg to M.Stanley

http://www.reuters.com/article/mergersNews/idUSPEK8021220070913

SHANGHAI, Sept 13 (Reuters) - Japan's Mori Building Group has sold a 10 percent stake in China's tallest building, the 125 billion yen ($1.1 billion) Shanghai World Financial Centre, to investment bank Morgan Stanley (MS.N: Quote, Profile, Research), the group's president Minoru Mori said on Thursday.

Mori Group expects to charge the highest rents in China for the 101 storey tower, in which it now holds a 70 percent stake, and to recoup its investment within 15 years, he added.

"We will be a price leader," Mori told reporters, adding that rents would start at about $3 per square metre per day.

"Shanghai is growing rapidly and may one day surpass Hong Kong or even Tokyo."

[touchring]

At this rate, Shanghai will surpass them all, which isn't unprecedented. Shanghai was far more important than Tokyo or Hong Kong in the 30s, despite the civil war in China at that time, between the Nationalists and Mao. If business can thrive in Shanghai in war time, let alone peaceful times.

I wanted to invest in shanghai earlier on, but had no money then, and couldn't convince people. It's an image factor, people are put off by the communist image.