Chinese PE Firm to Lead $1.5B London Real Estate Project

An $8 billion Chinese investment fund took a major position on UK property this week when China Minsheng Investment announced that it is backing a £1 billion (US$1.5 billion) scheme to build a new downtown in eastern London.

The financial commitment makes Minsheng the largest investor in the Asian Business Port, a development planned by Beijing’s Advanced Business Park to build a mixed-use project that includes a business centre for Asian companies in a run-down section of eastern London.

By making this investment, Minsheng appears to be betting that a lightly experienced Chinese business park developer, with a boost from the high level of interest in London real estate from China’s individual and smaller corporate investors, will help it make a profit on an area of London that has been declining for more than 50 years.

Read full story: Chinese PE Firm to Lead $1.5B London Real Estate Project