Fortune REIT looks to buy more malls in HK

Plans to raise to raise US$103 million to fund spree.

Fortune Real Estate Investment Trust will buy a shopping mall complex in Hong Kong for US$754 million, according to Bloomberg. Fortune REIT operates 16 malls in Hong Kong,

Fortune REIT recently signed a memorandum of understanding with Cheung Kong Holdings, its parent firm. Fortune REIT will finance the purchase of the Kingswood Ginza in Hong Kong’s New Territories by drawing down US$656 million of loans and using HK$99 million from selling new units to investors.

Cheung Kong executive director Justin Chiu said Fortune REIT is looking to buy more properties in Hong Kong.

Fortune REIT is a real estate investment trust whose principal activity is investment holding. It is engaged in the owning and investing in a portfolio of retail shopping malls located in Hong Kong. Its properties include Fortune City One, Ma On Shan Plaza, Metro Town, Fortune Metropolis, Waldorf Avenue and Caribbean Square.