Logan Property and KWG Property Make Successful Land Bid in Ap Lei Chau Giving Full Play to Their Edges in Win-Win Cooperation

(Hong Kong, 24 February 2017) Logan Property Holdings Company Limited, (“Logan Property”, HKEx stock code: 3380) and KWG Property Holding Limited (“KWG Property”, HKEx stock code: 1813) are pleased to announce that today we made a successful bid for a premium residential site project (Ap Lei Chau Inland Lot No. 136) on Lee Nam Road in Ap Lei Chau for a total consideration of HK$16.855 billion.

The site area is over 126,500 sq. ft., with a total gross floor area of more than 760,000 sq. ft. Located on Lee Nam Road in Ap Lei Chau, the residential plot is a rarity on Hong Kong Island. All units will enjoy a premium scenic facing between mountains and the sea featuring panoramic views of East Lamma Channel, the project will be developed into a large-scale quality residence community. The site is well located near the South Horizons Station, going to Admiralty requires a 12-minute ride only by the South Island Line of MTR. It also takes a short drive to Causeway Bay via the Aberdeen Tunnel.

This is the first time Logan Property and KWG Property work together and both are recognized as well-renowned and large scale quality residential developers in . Leveraging on both competitive edges of brands, years of rich and successful experience in property development and mature and strong operational teams, with a collinear project development concept, such collaboration is expected to play up each other’s respective strengths and a mutually beneficial win-win cooperation can be achieved. In addition, it will lay the foundation for both parties’ long term development in Hong Kong.

Company Introduction: Adhering to the aim of “Building a Better Life”, Logan Property endeavors to create a better living environment for its customers. As its sales in 2016 grew 40% year-on-year with a high rate of cash collection from sales, Logan Property maintained a healthy capital position with an abundant cash flow. Logan Property will seize opportunities that arise to replenish its land bank, and will acquire premium land according to its strategic planning.

Logan Property is a leading integrated property developer in the China focusing on the residential property development, mainly targeting economically prosperous markets, including Shenzhen and the Pearl River Delta region, with products that primarily aimed first-time homebuyers and upgraders. As at 30 June 2016, the Group had a land bank with an aggregate GFA of 14.08 million sq. m. and over 70% saleable resources catering to the Shenzhen market. The Group was ranked the 32th-largest property developer in China in terms of overall business strengths in 2016. In addition, Moody’s and Fitch have affirmed their ratings of “Ba3” and “BB–” to Logan Property respectively with a “Stable Outlook”. Logan Property is a constituent stock in the MSCI China Small Cap Index Series and Hang Seng Composite LargeCap/MediumCap Index. Subsequently, Logan Property has been included in the list of eligible stocks for southbound trading of the Shanghai-Hong Kong Stock Connect as well as Shenzhen- Hong Kong Stock Connect.

Established in 1995, KWG is one of the leading property developers focusing on mid to high-end properties with premium quality in prime locations in . Going through 22 years of development, the Group has an efficient property development system, as well as a balanced product portfolio which includes mid- to high-end residential properties, serviced apartments, villas, office buildings, hotels and shopping malls. Currently, the Group has expanded to high potential markets outside of Guangzhou. A strategic development framework has been formed, with Guangzhou, Foshan, Hainan and Nanning as its hub for South China, , Shanghai, Hangzhou, Nanjing, Hefei and Xuzhou for East China, for Southwest China, , Tianjin for North China, and Wuhan for Central China.

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For further enquiries, please contact: Logan Properties Holdings Group Limited Hill+Knowlton Strategies Asia (Representative of Logan Properties) Linda Pui Sam Fang Tel: (852) 2894 6378 / 9700 0178 Tel: (852) 2894 6231 / 9744 5878 Email: [email protected] Email: [email protected]

KWG Property Holding Limited Cornerstones Communications Limited (Representative of KWG Property) Kylie Yeung Edward Siu Tel：(852) 2903 9293 Tel：(852) 2903 9299 Emai：[email protected] Email：[email protected]

Sharon Kwok Tel：(852) 2903 9288 Email：[email protected]