Blackstone buys Shanghai shopping mall for $600m

The US firm has bought the mall from Chinese developer Super Ocean Group, state media has reported.

The Blackstone Group has bought a shopping mall in Shanghai for about 4.5 billion yuan ($660 million, €444 million), Chinese state media said Wednesday.

The project, which is a completed development available for lease, was purchased from Chinese developer Super Ocean Group, and has a floor area of 300,000 square metres, the Oriental Morning Post report said.

Blackstone made its first investment in Chinese property in June when it bought a 90 percent stake in a commercial building in Shanghai for 1.1 billion yuan from Hong Kong-listed developer VXL Capital.

The purchase is possibly just one of four commercial buildings that Super Ocean Group is reportedly selling to global buyout funds and property advisors. According to a Reuters report earlier this week sources at the firm said that the Bank of Shanghai Tower and the Southern Securities Mansion are also in negotiations to be sold. The company reportedly wanted to sell all four buildings for $1 billion. It was unclear whether Blackstone has purchased the mall as part of a package with the other properties at the time of publishing. Blackstone could not be immediately reached for comment.

Earlier this month Blackstone opened a Beijing office and hired a former government official to expand its acquisition business in China. China’s sovereign wealth fund now owns a large stake in Blackstone.