Chinese real estate debt Evergrande promises to deliver houses

Struggling Chinese company Evergrande will deliver nearly four times as many homes to buyers in December than it did in the previous three months, its chairman said, despite the real estate giant dragging massive debt.

With nearly $ 300 billion in debt, Evergrande has struggled to pay bondholders and investors after being hit by Beijing’s restrictive measures to control the expansion of the real estate industry.

But the group, which officially defaulted on a bond this month, insists it will be able to deliver tens of thousands of units in December and pay off some of its debts.

“Since the company’s troubles began, we have delivered less than 10,000 units in September, October and November,” Chairman Hui Ka Yan said at a meeting on Sunday evening, according to Evergrande’s account on the Chinese WeChat network.

“There are only five days left in this month, we need to step up to ensure delivery of 39,000 units this month,” he added.

The new homes are spread across 115 projects, he said.

In recent months, the company has said it will complete unfinished projects and hand them over to buyers, in a desperate attempt to save debts, even though it defaulted by more than $ 1.2 billion this month.

Previous attempts to pay suppliers and contractors sparked protests from buyers and investors at the group’s headquarters in Shenzhen in September.

Since then, the company has tried to sell assets and reduce its stake in other companies, and Hui has paid off some of its debts with his large personal fortune.

Source of the article

Disclaimer: This article is generated from the feed and not edited by our team.

About Adam Gray

Adam Gray

Check Also

The future of the current real estate market uncertain

With such a low inventory and an abundance of buyers, many wonder how long the …