China's Biguiyuan Completely Withdraws from Australia: "Selling All Remaining Land"

Country Garden, a Chinese real estate developer that declared default, has completely withdrawn from the Australian market. It appears to be in the process of winding down some of its businesses by selling off remaining projects and owned land.

On the 18th, Hong Kong's South China Morning Post (SCMP) reported that Country Garden's Australian subsidiary, Risland Australia, sold land in the Wilton Greens housing complex in southwestern Sydney for approximately 240 million Australian dollars (about 211.4 billion KRW) to the Chinese private developer Avantous. Risland stated, "We have signed a contract to sell part of the equity in residential complexes, including phases 3 to 6 of the project, covering a total of 330 hectares."

[Image source=Yonhap News]

Guo Taohu, CEO of Risland, said, "Through this sale, Risland has been able to rebalance its portfolio and continue to seek new business opportunities in the important Australian market."

However, SCMP noted, "Wilton Greens is the last piece of land that Risland and Country Garden hold in Australia," adding, "Once the sale is completed, the company’s operations will end after 10 years of entering the Australian market." It also explained, "In October, the Windermere housing complex in Melbourne was sold to Singapore’s Frasers Property for more than 200 million Australian dollars."

SCMP diagnosed, "Country Garden is facing repayment of a mountain of debt and will face more tests this year," adding, "Risland’s difficulties were also influenced by the successive defaults of peer companies." Furthermore, "As China’s real estate crisis deepens, housing sales continue to decline," and "Country Garden has implemented wage cuts from the chairman down to executives," it elaborated.