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Macau Property Opportunities wind up limps on

a view of the Waterside apartment complex in Macau at dusk

Macau Property Opportunities has been selling off its portfolio for many years now, and a formal wind down process began in 2022. However, progress has been painfully slow. In its latest update, covering the second half of 2024, it says that two villas at The Fountainside were sold, along with five additional units at The Waterside. These transactions brought total gross sales proceeds to about US$93m. The company allocated up to 85% of the sales proceeds to debt reduction, reducing its overall loan-to-value ratio to 49.4% [which is still on the high side].

The Waterside

The company sold a further five units at The Waterside in H2 2024, for a total gross value of HK$696.9m (US$89.6m). A total of 32 units out of a total of 59 have now been sold since the divestment programme began in mid-2022. Although the leasing programme at The Waterside has been terminated to facilitate sales, some of the remaining 27 units continue to be leased for shorter terms. At the end of 2024, the occupancy rate for the remaining units was approximately 52% of the gross floor area.

The Fountainside

Two villas together with car-parking spaces at The Fountainside were sold in H2 2024. The two villas were sold on an individual basis after the manager was unable to progress discussions with an en-bloc buyer. Further details about the sales will be presented in the company’s forthcoming interim results.

Three reconfigured apartments and two car-parking spaces now remain available for sale. Bureaucratic challenges have arisen relating to approvals for the newly built parking spaces, which has affected the divestment of these units. The company continues to deploy numerous sales and marketing strategies to divest the remaining assets.

Penha Heights

Investor interest had been hampered by the Covid-19 pandemic and remains affected by the prevailing high-interest rate environment and weakness in China’s economic recovery. To expand its appeal to potential purchasers who currently remain on the sidelines, the company has engaged a firm of specialist Hong Kong real estate agents to market the property to ultra-high-net-worth individuals in the region. In addition, the company continues to explore marketing avenues to showcase the property to a select group of potential purchasers.

MPO : Macau Property Opportunities wind up limps on

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