R&f Properties In Liquidity Crisis, Sells Assets Frequently To Pay Off Debts

R&F Properties of Guangzhou sold all of its shares in Wanda Realm Beijing to Beijing Yingxie Real Estate on September 5. The seller is anticipated to lose about RMB 6.53 million as a result of the deal, and the money would be used to pay off the debts. According to information from R&F Properties’ annual reports from prior years, the company lost 150 million yuan, 459 million yuan, and 1 billion yuan in the hotel industry in those three years from 2017 to 2019. According to the company’s financial report information for the first half of 2022, sales for the period fell drastically by 58% from 35.9 billion yuan in the same period of 2021, the gross margin dropped by 3.4% year over year, and the loss for the time period was 6.9 billion yuan. Revenues from selling real estate plummeted by 54% year over year in the first half of the year, and revenue from leasing investment properties dropped by 23%.

R&F Properties sold a variety of assets for cash in the first half of this year, including both domestic and international projects. R&F made sales of Vauxhall Square in London for 95.7 million pounds, One Thames City’s 50% stake for 2.66 billion Hong Kong dollars, and a hotel in Fuzhou, China, for 430 million yuan in April. R&F Properties stated that it would keep selling its assets to pay off short-term debts. In order to avoid future defaults in a financing market that lacks liquidity, R&F Properties further stated that it is addressing domestic and foreign noteholders and creditors to discuss amicable solutions for its maturing revolving loans. The CCP kleptocrats have used R&F Properties as a dependable white glove to help them transfer money abroad. And when the CCP’s internal strife intensifies and the real estate sector suffers an increase in frequent defaults, these businesses will finally fall victim to the dictatorship.