THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
The following is the text of a letter, summary of valuations and valuation certificates prepared for the purpose of incorporation in this listing document received from DTZ Debenham Tie Leung Limited, an independent property valuer, in connection with its opinion of value of the property interests of the Company as at [31 July 2015].
16th Floor Jardine House 1 Connaught Place Central Hong Kong
[●] 2015
The Directors Weiye Holdings Limited 11th Floor No. 50 Yingxie Road Jinshui District Zhengzhou Henan Province The PRC
Dear Sirs,
INSTRUCTIONS, PURPOSE AND DATE OF VALUATION
In accordance with your instructions for us to value the properties in which Weiye Holdings Limited (the “Company”) and its subsidiaries (hereinafter together referred to as the “Group”) have interests in the People’s Republic of China (the “PRC”) and Republic of Singapore (as more particularly described in the attached valuation certificates), we confirm that we have inspected the properties, made relevant enquiries and obtained such further information as we consider necessary for the purpose of providing you with our opinion of the values of such properties as at [31 July 2015].
DEFINITION OF MARKET VALUE
Our valuation of each of the properties represent its Market Value. The definition of Market Value adopted in The HKIS Valuation Standards 2012 Edition follows the International Valuation Standards published by the International Valuation Standards Council (“IVSC”). Market Value is defined by the IVSC as “the estimated amount for which an asset or liability should exchange on the valuation date between a willing buyer and a willing seller in an arm’s length transaction, after proper marketing and where the parties had each acted knowledgeably, prudently and without compulsion”.
VALUATION BASIS AND ASSUMPTION Our valuations exclude an estimated price inflated or deflated by special terms or circumstances such as atypical financing, sale and leaseback arrangement, special considerations or concessions granted by anyone associated with the sale, or any element of special value.
In valuing the properties, we have complied with the requirements set out in Chapter 5 and Practice Note 12 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited and The HKIS Valuation Standards (2012 Edition) published by The Hong Kong Institute of Surveyors.
III-1 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Unless otherwise stated, in the course of our valuation of the properties in the PRC, we have assumed that the transferable land use rights of the properties for their specific terms at nominal annual land use fees have been granted and that any premium payable has already been fully settled. We have relied on the information provided by the Group and the advice provided by Grandall Law Firm (Shanghai), the Group’s legal adviser, regarding the title to each of the properties. In valuing the properties, we have assumed that the grantee or the user has an enforceable title to each of the properties and has free and uninterrupted rights to use, occupy or assign the properties for the whole of the respective unexpired land use term as granted.
In respect of the properties situated in the PRC, the status of titles and grant of major certificates, approvals and licenses, in accordance with the information provided by the Group are set out in the notes of the respective valuation certificates.
No allowance has been made in our valuations for any charges, mortgages or amounts owing on the properties nor for any expenses or taxation which may be incurred in effecting a sale. Unless otherwise stated, it is assumed that the properties are free from encumbrances, restrictions and outgoing of an onerous nature which could affect their values.
METHOD OF VALUATION In valuing the properties in Group I, which are properties held by the Group for investment in the PRC, we have adopted the investment approach by capitalizing the rental income derived from the existing tenancies with due provision for the reversionary income potential of the properties, or where appropriate, direct comparison method by making reference to comparable sales transactions as available in the relevant market.
In valuing the property in Group II which is the property held by the Group under development for investment in the PRC, and the properties in Group V and Group VI which are held by the Group under development or for future development respectively in the PRC, we have valued on the basis that each of these properties will be developed and completed in accordance with the Group’s latest development proposals provided to us, if any. We have assumed that all consents, approvals and licenses from relevant government authorities for the development proposals have been obtained without onerous conditions or delays. We have also assumed that the design and construction of the development are in compliance with the local planning regulations and have been approved by the relevant authorities. In arriving at our opinion of value, we have adopted the direct comparison approach by making reference to comparable sales evidence as available in the relevant market and have also taken into account the expended construction costs and the costs that will be expended to complete the development to reflect the quality of the completed development. The “market value when completed at the date of valuation” represents our opinion of the selling price of the proposed development assuming that it were completed at the date of valuation.
In valuing the property in Group III, which is the property contracted to be acquired by the Group for investment in the PRC, we have been advised by the Group that the Building Ownership Certificates of the property have not been obtained yet and we usually ascribe no commercial value to the property.
In valuing the properties in Group IV, which are properties held by the Group for sale in the PRC, we have used the direct comparison approach assuming sale of each of these properties in its existing state with the benefit of vacant possession by making reference to comparable sales transactions as available in the relevant market.
In valuing the properties in Group VII, which are leased and occupied by the Group in the PRC and Singapore, we consider that the properties have no commercial value due mainly to the prohibition against assignment and subletting or otherwise to the lack of substantial profit rents.
III-2 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
SOURCE OF INFORMATION
We have been provided with extracts of the title documents relating to the properties in the PRC. However, we have not carried out searches to verify the ownership of the properties or to ascertain any amendments which may not appear on the copies handed to us.
In the course of our valuation, we have relied to a very considerable extent on the information given to us by the Group and its legal adviser, Grandall Law Firm (Shanghai) (國浩律師(上海)事務所) regarding the title to each of the properties and the interests of the Group in the properties. We have accepted advice given by the Group on such matters as planning approvals or statutory notices, easements, tenure, identification of land and buildings, completion date of buildings, number of car parking spaces, particulars of occupancy, site and floor areas, interest attributable to the Group and all other relevant matters.
Dimensions, measurements and areas included in the valuation certificates are based on the information provided to us and are therefore only approximations. We have no reason to doubt the truth and accuracy of the information provided to us by the Group which is material to the valuations. We were also advised by the Group that no material facts have been omitted from the information provided.
TITLE INVESTIGATION
We have been provided with extracts of documents in relation to the title to the properties in the PRC, but no searches have been made in respect of the properties. We have not searched the ownership or to ascertain any amendment which may not appear on the copies handed to us. We are also unable to ascertain the title of the properties in the PRC and we have therefore relied on the advice given by the Group and its legal adviser regarding the Group’s interests in the PRC properties.
SITE INSPECTION
Our Guangzhou office valuer Mr. Victor Li have inspected the exterior and, whenever possible, the interior of the properties located in Henan Province in July, 2015. Mr. Victor Li has over 2 years experience in valuation of various kinds of properties in China. Our Shenzhen Office valuers Ms. Xiaodan Jin and Mr. Sixuan Gao have inspected the exterior and, whenever possible, the interior of the properties located in Hainan Province in June, 2015, Ms. Xiaodan Jin is a Member of China Institute of Land Appraisers. She has over 4 years experience in valuation of various kinds of properties in China. Mr. Sixuan Gao has over 3 years experience in valuation of various kinds of properties in China. However, we have not carried out investigation on site to determine the suitability of the soil conditions and the services etc. for any future development. Our valuation is prepared on the assumption that these aspects are satisfactory and that no extraordinary costs or delays will be incurred during the construction period. No structural survey has been made, but in the course of our inspection, we did not note any serious defects. We are not, however, able to report that the properties are free of rot, infestation or any other structural defects. No tests were carried out to any of the services. Unless otherwise stated, we have not been able to carry out on-site measurements to verify the site and floor areas of the properties and we have assumed that the area shown on the documents handed to us are correct.
III-3 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
CURRENCY
Unless otherwise stated, all money amounts stated in this valuation report are in Renminbi (“RMB”), the official currency of the PRC.
We enclose herewith a summary of valuations and our valuation certificates.
Yours faithfully, for and on behalf of DTZ Debenham Tie Leung Limited Andrew K.F. Chan Registered Professional Surveyor (GP) Registered China Real Estate Appraiser MSc., M.H.K.I.S. Senior Director
Note: Mr. Andrew K.F. Chan is a Registered Professional Surveyor who has over 28 years of experience in the valuation of the properties in the PRC.
III-4 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
SUMMARY OF VALUATIONS
Group I – Properties held by the Group for investment in the PRC
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 1. Various units of Weiye Ru Guo Ai, 36,000,000 100 36,000,000 No. 50 Yingxie Road, Jinshui District, Zhengzhou Henan Province, the PRC
2. Various units of Weiye Costa Rhine, 85,000,000 100 85,000,000 Taiyanghe Hotspring Resorts, Xinglong District, Wanning, Hainan Province, the PRC
3. Various units of 11,000,000 100 11,000,000 Block No. 12 of Weiye Oxygen Cube B, east of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province, the PRC
4. Various units of 69,000,000 100 69,000,000 Block No. 2 of Phase II of Weiye Oxygen Cube A, east of Huandong 2nd Road, Tuncheng Town, Tunchang, Hainan Province, the PRC Sub-total: 201,000,000 201,000,000
III-5 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Group II – Property held by the Group under development for investment in the PRC
Market value in existing state Market value in Interest attributable to the existing state as at attributable Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 5. The under construction development 50,000,000 100 50,000,000 known as Weiye Rhine Coast, Fengjia Bay, Huiwen Town, Wenchang, Hainan Province, the PRC Sub-total: 50,000,000 50,000,000
Group III – Property contracted to be acquired by the Group for investment in the PRC
Market value in existing state Market value in Interest attributable to the existing state as at attributable Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 6. Various units of No 100 No Tower C of Weiye International Square, Commercial Commercial north of Shangdu Road, Value Value east of Xinyi Road, Zhengdong New District, Zhengzhou, Henan Province, the PRC Sub-total: No No Commercial Commercial Value Value
III-6 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Group IV – Completed properties held by the Group for Sale in the PRC
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 7. Various units of Weiye Tiandao 70,000,000 51 35,700,000 Tianheshuian, west of Yangqiao Road, north of Ruifeng Road, Zhongmu County, Zhengzhou, Henan Province, the PRC
8. Various units of 125,000,000 100 125,000,000 Weiye Xiangdi Bay, Jinyao Road, Jinming District, Kaifeng, Henan Province, the PRC
9. Various units of Block Nos. 11, 12, 172,000,000 100 172,000,000 13, 22, 23, 24, 25 and 27 of Phases II to IV of Weiye Central Park, Pingyuan Road, Hongqi District, Xinxiang, Henan Province, the PRC
10. Various units of 50,000,000 100 50,000,000 Weiye West International Plaza, East of Lanyangbei Road, northern district, Danzhou, Hainan Province, the PRC
III-7 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 11. Various units of 64,000,000 100 64,000,000 Weiye Costa Rhine, Taiyanghe Hotspring Resorts, Xinglong District, Wanning, Hainan Province, the PRC
12. Various units of 139,000,000 100 139,000,000 Block No. 1, No. 3 and No. 4 of Phase II of Weiye Oxygen Cube A, east of Huandong 2nd Road, Tuncheng Town, Tunchang, Hainan Province, the PRC
13. Various units of 224,000,000 100 224,000,000 Block No. 5 to No. 10 of Phase I of Weiye Oxygen Cube A, east of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province, the PRC
14. Various units of 38,000,000 100 38,000,000 Block No. 11 to No. 13 of Weiye Oxygen Cube B, east of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province, the PRC Sub-total: 882,000,000 847,700,000
III-8 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Group V – Properties held by the Group under development in the PRC
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 15. The under construction development 790,000,000 51 402,900,000 known as Weiye Tiandao International, west of Yangqiao Road, north of Ruifeng Road, Zhongmu County, Zhengzhou, Henan Province, the PRC
16. The under construction development 373,000,000 100 373,000,000 known as Block No. 16 of Phase II and Block No. 29 of Phase IV of Weiye Central Park, Pingyuan Road, Hongqi District, Xinxiang, Henan Province, the PRC
17. The under construction development 64,000,000 100 64,000,000 known as portion of Weiye Paris Impression, north of Xueyuan Road, east of Zhanlixi Road, Zhongmu County, Zhengzhou, Henan Province, the PRC
18. The under construction development 15,000,000 100 15,000,000 known as No. 17 of Phase III of Weiye Oxygen Cube A, east of Huandong 2nd Road, Tuncheng Town, Tunchang, Hainan Province, the PRC Sub-total: 1,242,000,000 854,900,000
III-9 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Group VI – Properties held by the Group for future development in the PRC
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 19. Development site for portion of 78,000,000 100 78,000,000 Weiye Paris Impression, north of Xueyuan Road, east of Zhanlixi Road, Zhongmu County, Zhengzhou, Henan Province, the PRC
20. Development site for proposed 197,000,000 100 197,000,000 commercial development of Weiye Paris Impression, north of Xueyuan Road, east of Zhanlixi Road, Zhongmu County, Zhengzhou, Henan Province, the PRC
21. Development site of Hanwei Project, 259,600,000 51 132,396,000 west of Gaozhuang Road, north of Yongchang Road, Zhongmu County, Zhengzhou, Henan Province, the PRC
22. Development site for Block No. 28 of 44,000,000 100 44,000,000 Phase V of Weiye Central Park, Pingyuan Road, Hongqi District, Xinxiang, Henan Province, the PRC
III-10 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 23. Development site for Phase V of 100,000,000 100 100,000,000 Weiye Central Park, Pingyuan Road, Hongqi District, Xinxiang, Henan Province, the PRC Sub-total: 678,600,000 551,396,000
Group VII – Properties leased and occupied by the Group in the PRC
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 24. Unit 110013, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
25. Unit 110020, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
26. Unit 110021, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
III-11 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 27. Unit 5, Block No. 19, No 100 No No. 9 Jingnan 3rd Road, Commercial Commercial Economic and Technology Value Value Development Zone, Zhengzhou, Henan Province, the PRC
28. 3 units, west of Village Committee of No 100 No Er Shi Li Pu, Commercial Commercial Baisha Town, Value Value Zhongmu County, Zhengzhou, Henan Province, the PRC
29. A unit of No 100 No Zhongmu Industrial Zone Commercial Commercial Administration Committee, Value Value No. 119 Zhengkai Avenue, Zhengzhou, Henan Province, the PRC
30. 5/F of Henan Yijia Environmental No 100 No Protection Co., Ltd, Commercial Commercial No. 6 Yongxing Road, Value Value Yangkui Industrial Zone, Zhengzhou, Henan Province, the PRC
31. Unit 703 and Unit 704, No 100 No 7/F, No. 9 Yongxing Road, Commercial Commercial Jinshui District, Value Value Zhengzhou, Henan Province, the PRC
III-12 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 32. A unit of Block No. 14, No 100 No No. 150 Huozhan Street, Commercial Commercial Guancheng Huizu District, Value Value Zhengzhou, Henan Province, the PRC
33. 10 units of Block No. 14, No 100 No No. 150 Huozhan Street, Commercial Commercial Guancheng Huizu District, Value Value Zhengzhou, Henan Province, the PRC
34. Unit 110019, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
35. Unit 110002, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
36. Unit 110001, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
III-13 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 37. Unit 110003, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
38. Unit 110015, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
39. Unit 110011, 11/F, Block No. 5 north of No 100 No Shangcheng East Road, Commercial Commercial West of Shangmao Road, Value Value Jinshui District, Zhengzhou, Henan Province, the PRC
40. 11/F of Block No. 5, Ru Guo Ai, No 100 No No. 50 Yingxie Road, Commercial Commercial Jinshui District, Value Value Zhengzhou, Henan Province, the PRC
41. 4 units, No. 1 Wansheng Road, No 100 No Jinming District, Commercial Commercial Kaifeng, Value Value Henan Province, the PRC
42. 3 units, No. 1 Dong’an Alley, No 100 No No. 250 Pingyuan Road, Commercial Commercial Hongqi District, Value Value Xinxiang, Henan Province, the PRC
III-14 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 43. Unit C, 22/F, Dihao Building, No 100 No No. 2 Longkun West Road, Commercial Commercial Haikou, Value Value Hainan Province, the PRC
44. Unit 7G of Xiang Di Ge, C1, No 100 No Jinyu Wanpan, Commercial Commercial Lijing Road, Value Value Haikou, Hainan Province, the PRC
45. Unit 17E, Block No. 5, Zhidi Garden, No 100 No No. 2 Mingzhu Road, Commercial Commercial Jinmao District, Value Value Haikou, Hainan Province, the PRC
46. Unit 23A, Block No. 5, Zhidi Garden, No 100 No No. 2 Mingzhu Road, Commercial Commercial Haikou, Value Value Hainan Province, the PRC
47. Unit S405-C, Investment and Services No 100 No Centre Haikou Bonded Area, Commercial Commercial No. 168 Nanhai Avenue, Value Value Haikou, Hainan Province, the PRC
48. 6/F and 7/F, Yi Hai Building, No 100 No No. 47 south of Wuxi Road, Commercial Commercial Haidian Island, Value Value Hainan Province, the PRC
49. No. 114 Xinjian 3rd Road, No 100 No Tuichang County, Commercial Commercial Hainan Province, Value Value the PRC
III-15 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state Market value in Interest attributable to existing state as at attributable the Group as at Property 31 July 2015 to the Group 31 July 2015 (RMB) (%) (RMB) 50. No. 115 Xinjian 3rd Road, No 100 No Tuichang County, Commercial Commercial Hainan Province, Value Value the PRC
51. No. 87 Wenjian West Road, No 100 No Mayuanpo, Wencheng Town, Commercial Commercial Wenchang, Value Value Hainan Province, the PRC
52. Unit 2502, 25/F, Tongmao Building, No 100 No No. 357 Songlin Road, Commercial Commercial Pudong New District, Value Value Shanghai, the PRC
53. 13/F, Office Building No. 2, No 100 No Cultural and Innovative Industrial Zone, Commercial Commercial Shenzhen Broadcasting, Value Value Film and Television Group, Longhua Office, Longhua New District, Shenzhen, Guangdong Province, the PRC
54. Unit #01-06, No 100 No 8 Pandan Crescent Commercial Commercial Singapore 128464 Value Value Sub-total: No No commercial commercial Value Value Grand-total: 3,053,600,000 2,504,996,000
III-16 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group I – Properties held by the Group for investment in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
1. Various units of The property comprised 5 retail As at the valuation date, the RMB36,000,000 Weiye Ru Guo Ai, units of Weiye Ru Guo Ai property was subject to No. 50 Yingxie completed in 2007. various tenancies at a total (100% interest Road, monthly rent of attributable to the Jinshui District, The property has a total gross approximately RMB87,546 Group Zhengzhou, floor area of approximately with the latest tenancy due RMB36,000,000) Henan Province, 2,384.46 sq m and a respective to expire on 10 July 2023. the PRC total site area of 357.63 sq m.
中國河南省 鄭州市金 The property is held with land 水區 英協路50號偉 use rights for a term due to 業如果 • 愛若干個單 expire on 27 August 2074 for 元 residential use. Notes: (1) According to five State-owned Land Use Rights Certificates listed below, the land use rights of the property have been vested in 河南偉業建設投資集團有限公司 (Henan Weiye Construction Investment Co., Ltd.) with details as follows: Expiry date of land Respective Certificate No. Date of Issue Use use term Site area
(sq m) (2012)7388 19 March 2012 Residential 27 August 2074 16.24 (2012)7387 19 March 2012 Residential 27 August 2074 45.75 (2012)7384 19 March 2012 Residential 27 August 2074 70.25 (2012)7377 19 March 2012 Residential 27 August 2074 108.89 (2012)7391 19 March 2012 Residential 27 August 2074 116.50
Total 357.63
(2) According to five Building Ownership Certificates issued on 11 March 2013, the building ownership of the property with a total gross area of 2,384.46 sq m have been vested in 河南偉業建設開發集團有限公司 (Henan Weiye Construction Development Group Co., Ltd.) with a land use term due to expire on 27 August 2074. Gross floor area details are as below: Gross Floor Area Certificate Nos. Location Use (sq m)
1301044808 No. 1, 1/F of Block No. 5, No. 50 retail 108.29 Yingxie Road, Jinshui District 1301044809 No. 12A, 2/F of Block No. 5, No. 50 retail 305.05 Yingxie Road, Jinshui District 1301044811 No. 12B, 2/F of Block No. 5, No. 50 retail 468.37 Yingxie Road, Jinshui District 1301044810 No. 13, 2/F of Block No. 5, No. 50 retail 726.00 Yingxie Road, Jinshui District 1301044807 No. 14, 2/F of Block No. 5, No. 50 retail 776.75 Yingxie Road, Jinshui District
Total 2,384.46
III-17 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(3) According to Approval Letter for Enterprise Name Modification issued by Henan Administration of Industry and Commerce dated 18 May 2012, the name of Henan Weiye Construction Investment Co., Ltd. (河南偉業建設投 資有限公司) was approved to change to be Henan Weiye Construction Development Group Co., Ltd (河南偉業 建設開發集團有限公司). (4) According to Business License No.410000100005759 dated 30 October 1999, 河南偉業建設開發集團有限公司 (Henan Weiye Construction Development Group Co., Ltd) was established as a limited liability company with a registered capital of RMB200,000,000. (5) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The State-owned Land Use Rights Certificates and the Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws; (ii) 河南偉業建設開發集團有限公司 (Henan Weiye Construction Development Group Co., Ltd) is the sole legal owner of the property; (iii) The property is subject to a mortgage, Henan Weiye Construction Development Group Co., Ltd cannot freely transfer, lease and/or mortgage the property without prior consent from the mortgagee; and (iv) Henan Huibang Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (6) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows: State-owned Land Use Rights Certificate Yes Approval Letter for Enterprise Name Modification Yes Building Ownership Certificate Yes Business License Yes
III-18 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group I – Properties held by the Group for investment in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
2. Various units of The property comprises 170 tourist As at the valuation RMB85,000,000 Weiye Costa apartment units and a retail unit of date, the property Rhine, Taiyanghe Weiye Costa Rhine with a total gross was subject to a (100% interest Hotspring Resorts, floor area of 8,177.45 sq m completed tenancy at a total attributable to the Xinglong District, in 2013. annual rent of Group RMB85,000,000) Wanning, approximately Hainan Province, Weiye Costa Rhine is an apartment RMB2,000,000 due to the PRC hotel development erected on a expire on 31 parcel of land with a site area of December 2015. 中國萬寧市興隆太陽 approximately 49,453.81 sq m. 河溫泉旅遊度假區 萊茵半島若干個單元 The gross floor area details of the property are as follows:
Approximate Use gross floor area (sq m) Apartment 6,911.60 Retail 1,433.41 Total 8,345.01
The property is held with land use rights for a term due to expire on 31 December 2063 for tourism use.
Notes:
(1) According to State-owned Land Use Rights Certificate No. (2011)401001 issued by Wanning People’s Government, the land use rights of a parcel of land with a site area of 49,453.81 sq m have been vested in 萬 英德置業有限公司 (Wanning Yingde Property Co., Ltd) for a term due to expire on 31 December 2063 for tourism use.
(2) According to Building Ownership Certificates listed below, the building ownership with a total gross area of 8,345.01 sq m have been vested in 萬英德置業有限公司 (Wanning Yingde Property Co., Ltd) with details as follow:
Gross Floor Certificate Nos. Date of Issue Use Location Area
(sq m)
1502145 11 June 2015 Apartment hotel Block No.1 of Weiye 4,997.41 Costa Rhine 1502150 11 June 2015 Apartment hotel Block No.1 of Weiye 3,347.60 Costa Rhine
Total 8,345.01
(3) According to Housing Gross Floor Area Surveying Report Nos. (2015)1506143 to 1506144, the property comprising 170 apartment units and a retail unit has a total of gross floor area of 8,345.01 sq m.
(4) According to the information provided by the Company, various apartment units of the property with a total gross floor area of approximately 167.6 sq m have been pre-sold for a consideration of RMB 1,365,345. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
III-19 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(5) According to Business License No. 469006000011958 dated 17 December 2009, 萬寧英德置業有限公司 (Wanning Yingde Property Co., Ltd) was established as a limited liability company with a registered capital of RMB200,000,000.
(6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:
(i) The State-owned Land Use Rights Certificate and the Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 萬寧英德置業有限公司 (Wanning Yingde Property Co., Ltd) is the sole legal owner of the property; and
(iii) Wanning Yingde Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
(7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Building Ownership Certificate Yes Housing Gross Floor Area Surveying Report Yes Business License Yes
III-20 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group I – Properties held by the Group for investment in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
3. Various units of The property comprises 30 As at the valuation date, the RMB11,000,000 Block No. 12 of residential units of Block No. 12 property was subject to a Weiye Oxygen completed in 2013. tenancy at a annual rent of (100% interest Cube B, approximately RMB189,600 attributable to the east of Huandong Oxygen Cube B is a residential due to expire on 30 June Group 2nd Road, development erected on a parcel 2017. RMB11,000,000) Tuncheng Town, of land with a site area of Tunchang County, approximately 12,977.20 sq m. Hainan Province, the PRC The property has a total gross floor area of approximately 中國屯昌縣屯城鎮 環 2,078.28 sq m. 東二路東側 氧立方B 12號樓若干個單元 The property is held with land use rights for a term due to expire on 8 July 2079 for residential use. Notes: (1) According to State-owned Land Use Rights Certificate No. (2010)13-00075 issued by Tunchang People’s Government, the land use rights of a parcel of land with a site area of 12,977.2 sq m have been vested in 屯昌 雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.) for a term due to expire on 16 December 2079 for residential use. (2) According to Building Ownership Certificate No. 13870, the building ownership with a total gross floor area of 7,994.68 sq m has been vested in 屯昌雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.).
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Building Ownership Certificate mentioned above. (3) According to Housing Gross Floor Area Surveying Report No. 5235, the property comprising 30 residential units has a total gross floor area of 2,078.28 sq m. (4) According to Business License dated 10 April 2015, 屯昌雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.) was established as a limited liability company with a registered capital of RM100,000,000. (5) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The State-owned Land Use Rights Certificates and the Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws; (ii) 屯昌雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.) is the sole legal owner of the property; and (iii) The property is subject to a mortgage, Tunchang Yajing Property Co., Ltd cannot freely transfer, lease and/or mortgage the property without prior consent from the mortgagee; and (iv) Tunchang Yajing Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance. (6) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Right Certificate Yes Building Ownership Certificate Yes Housing Gross Floor Area Surveying Report Yes Business License Yes
III-21 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group I – Properties held by the Group for investment in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
4. Various units of The property comprises 231 As at the valuation RMB69,000,000 Block No. 2 of residential units and 22 retail units of date, the property Phase II of Weiye Block No. 2 of Phase II of Weiye was vacant. (100% interest Oxygen Cube A, Oxygen Cube A completed in 2015. attributable to the east of Huandong Group RMB69,000,000) 2nd Road, Weiye Oxygen Cube A is a residential Tuncheng Town, development erected on a parcel of Tunchang, land with a site area of approximately Hainan Province, 54,810.70 sq m. the PRC The property has a total gross floor 中國屯昌縣屯城鎮 area of approximately 14,003.92 sq m 環東二路東側 氧立 with the details as follows: 方A二期2號樓若干 個單元 Approximate Use gross floor area (sq m) Residential 2,145.40 Retail 11,858.52 Total 14,003.92
The property is held with land use rights for a term due to expire on 30 June 2080 for residential use. Notes:
(1) According to State-owned Land Use Rights Certificate No. (2010)13-00506 issued by People’s Government of Tunchang County, the land use rights of a parcel of land with a site area of 54,810.70 sq m has been vested in 屯昌宏基偉業地產開發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) for a term due to expire on 30 June 2080 for residential use.
(2) According to Grant Contract of State-owned Land Use Rights No. 4690222010B03557 entered into between 屯 昌縣國土環境資源局 (Tunchang County Land Resources Bureau) and 屯昌宏基偉業地產開發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) on 30 June 2010, the land use rights of Lot No. 10-003-03 comprising a site area of approximately 54,810.70 sq m have been granted to 屯昌宏基偉業地產開 發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) at a premium of RMB61,000,000. (3) According to Planning Permit for Construction Use of Land No. (2010)0155 dated 27 July 2010 issued by Housing and Urban Construction Bureau of Tunchang, the proposed construction land use of the property complies with the town planning requirements and permit for construction of a site area of 54,810.70 sq m.
(4) According to Planning Permit for Construction Works No. (2011)0015 on 25 January 2011 issued by Tunchang Housing and Urban Construction Bureau, the construction works with a total gross floor area of 108,033.87 sq m are in compliance with the urban planning requirements and have been approved. As advised by the Group, the property comprises a portion of the gross floor area as stated in the Planning Permit for Construction Works mentioned above.
(5) According to Commencement Permit for Construction Works No. 2011009 on 25 April 2011 issued by Tunchang Housing and Urban Construction Bureau, the construction works with a total gross floor area of 108,033.87 sq m is approved. As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commencement Permit for Construction Works mentioned above.
III-22 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(6) According to Construction Works Completion Acceptance Letter No. QZJ1-013 dated 25 May 2015, the construction works of Block No.1 to 4 of Phase 2 of Oxygen Town were conformed to the delivery standard with a total gross floor area of approximately 42,629.76 sq m.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Construction Works Completion Acceptance Letter mentioned above.
(7) According to Commodity Housing Pre-sales Permit No. (2013)10, the commercial housing of Block No. 1 to 4 was permitted to sale with a total gross floor area of approximately 42,868.88 sq m.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commodity Housing Pre-sales Permit mentioned above.
(8) According to Business License No. 469026000008938 dated 30 June 2011, 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) was established as a limited liability company with a registered capital of RM100,000,000.
(9) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:
(i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) is the sole legal owner of the property; and
(iii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
(10) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Grant Contract of State-owned Land Use Rights Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Construction Works Completion Acceptance Letter Yes Commodity Housing Pre-sales Permit Yes Business License Yes
III-23 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group II – Property held by the Group under development for investment in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
5. The under Rhine Coast is an apartment hotel As at the date of RMB50,000,000 construction development which is developing on a valuation the property development site comprising 3 parcels of land with was under (100% interest known as Weiye a total site area of approximately construction. attributable to the Rhine Coast, 15,136 sq m. Group RMB50,000,000) Fengjia Bay, Huiwen Town, Upon completion, the property will Wenchang, comprise a total gross floor area of Hainan Province, approximately 15,478.99 sq m with the PRC details as follows:
中國海南省文昌市 Approximate 會文鎮馮家灣 萊茵 Use gross floor area 海岸 在建工程 (sq m) Apartment 10,321.49 Ancillary 2,722.21 Basement 2,435.29 Total 15,478.99
As advised by the Group, the property is scheduled for completion in 2016.
The property is held with land use rights for terms due to expire on 8 September 2064 for tourist use and 2 February 2066 for tourist and commercial use respectively.
(See note (1) below) Notes:
(1) According to State-owned Land Use Rights Certificates listed below, the land use rights of three parcels of land with a total site area of 15,136.0 sq m have been vested in 文昌市茂源旅業有限公司 (Wenchang Maoyuan Tourism Co., Ltd.) with details as follows:
Expiry date of Certificate No. Date of Issue Use land use term Site area
(sq m)
W0401638 13 December 2000 Tourist 2 February 2066 6,664.2 W0401992 14 December 2010 Tourist 8 September 2064 1,976.8 W0402361 14 January 2011 Commercial 2 February 2066 6,495.0
Total 15,136.0
(2) According to Planning Permit for Construction Works No. (2011)A024 dated 29 March 2011, the construction works with a aboveground planned gross floor area of 13,103.1 sq m and an underground planned gross floor area of 2,392.2 sq m are in compliance with the urban planning requirements and have been approved.
(3) According to Commencement Permit for Construction Works No. 460022201104250101 dated 25 April 2011, the construction works with a total planned gross floor area of 15,495.3 sq m are in compliance with the requirements for works commencement and have been permitted.
III-24 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(4) According to Commodity Housing Pre-sales Permit No. (2012)018 dated 22 October 2014 issued by Housing and Urban Construction Bureau of Wenchang, the construction works with a total gross floor area of 10,392.64 sq m were permitted to pre-sales.
(5) According to Survey Report issued by Wenchang City Real Estate Survey and Drawing Centre dated, the total gross floor area of the property is 15,478.99 sq m.
(6) According to the Group, the construction cost expended as at 31 July 2015 was approximately RMB25,000,000, the outstanding construction cost as at 31 July 2015 was approximately RMB38,000,000. In the course of our valuation, we have made allowance for such amount.
(7) The market value of the property when completed as at 31 July 2015 was RMB122,000,000.
(8) According to Business License No. 469005000017795 dated 6 August 2009, 文昌市茂源旅業有限公司 (Wenchang Maoyuan Tourism Co., Ltd.) was established as a limited liability company with a registered capital of RM680,000.
(9) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:
(i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws.
(ii) 文昌市茂源旅業有限公司 (Wenchang Maoyuan Tourism Co., Ltd.) is the sole legal land user of the property and has obtained the relevant certificates and approval from the government in respect of the construction of the property; and
(iii) 文昌市茂源旅業有限公司 (Wenchang Maoyuan Tourism Co., Ltd.) has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
(10) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Planning Permits for Construction Works Yes Commencement Permit for Construction Works Yes Commodity Housing Pre-sales Permit Yes Survey Report Yes Business License Yes
III-25 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group III – Property contracted to be acquired by the Group for investment in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
6. Various units of The property comprises 30 retail units As at the valuation No Commercial Value tower C of Weiye and 104 office units of tower C of the date, the International proposed development known as superstructure of the (See Note 1 Below) Square, Weiye International Square. property was north of Shangdu completed and the Road, Upon completion, Weiye International interior construction east of Xinyi Road, Square will be a complex was being conducted. Zhengdong New development with 3 office towers and District, a commercial podium developing on a Zhengzhou, parcel of land with a site area of Henan Province, approximately 13,333.33 sq m. the PRC Gross floor area details of the 中國河南省 鄭州市 property are as follows: 鄭東新區 商都路 北，心怡路東， Approximate 偉業國際廣場C棟 Use gross floor area 若干個單元 (sq m) Retail 3,448.85 Office 9,141.96 Total 12,590.81
As advised by the Group, the property is scheduled for completion in 2015.
As advised by group, the property is held with land use rights for a term due to expire on expire on 9 October 2050 for commercial and business use. Notes: (1) We have been advised by the Group that the Building Ownership Certificate of the property have not been obtained yet and we usually ascribe no commercial value to the property. Had Building Ownership Certificates been issued to the property, the market value of the property in its existing state as at 31 July 2015 would be 236,000,000. (2) According to 134 Commodity House Purchase and Sales Contracts entered into between 河南金偉置業有限公 司 (Henan Jinwei Property Co., Ltd.) and 河南偉業建設開發集團有限公司 (Henan Weiye Construction Development Group Co., Ltd), the property comprising 30 retail units with a total gross floor area of 3,448.85 sq m and 104 office units with a total gross floor area of 9,141.96 sq m was purchased by 河南偉業建設開發集 團有限公司 (Henan Weiye Construction Development Group Co., Ltd.) at a total price of RMB45,030,404. (3) According to Business License No. 410000100005759 dated 30 October 1999, 河南偉業建設開發集團有限公司 (Henan Weiye Construction Development Group Co., Ltd) was established as a limited liability company with a registered capital of RMB200,000,000. (4) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The Commodity House Purchase and Sales Contracts are legal, valid and binding on both parties. (5) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Commodity House Purchase and Sales Contract Yes Business License Yes
III-26 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
7. Various units of The property comprises 43 residential As at the valuation RMB70,000,000 Weiye Tiandao units and 3 retail units of Weiye date, the property Tianheshuian Tiandao Tianheshuian. was vacant. (51% interest west of Yangqiao attributable to the Road, Weiye Tiandao Tianheshuian is a Group RMB35,700,000) north of Ruifeng residential development erected on a Road, parcel of land with a site area of Zhongmu County, approximately 21,671.24 sq m. Zhengzhou, Henan Province, The property has a total gross floor the PRC area of approximately 8,279.77 sq m with details as follows: 中國河南省 鄭州市 Approximate 中牟縣 Use gross floor area , 楊橋路西側 瑞豐路 (sq m) 北側, Retail 907.76 天河水岸 Residential 6,128.45 若干個單元 Storeroom 1,243.56 Total 8,279.77
The property is held with land use rights for a term due to expire on 21 September 2081 for residential use. Notes: (1) According to State-owned Land Use Rights Certificate No. (2011)215 issued by People’s Government of Zhongmu County, the land use rights of a parcel of land with a site area of 21,671.24 sq m have been vested in 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) for a term due to expire on 6 September 2011 for residential use. (2) According to Grant Contract of State-owned Land Use Rights No. (2011)0054 entered into between Zhongmu County Land Resources Bureau and 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) on 21 June 2011, the land use rights of Lot No. BS02-06-01-11-(2) comprising a site area of approximately 21,671.242 sq m have been granted to 河南天道資產管理有限公司 (Henan Tiandao Asset Management Co., Ltd.) at a premium of RMB19,742,502. (3) According to Planning Permits for Construction Use of Land No. 410122201214019 issued by People’s Government of Zhongmu County, the proposed construction land use of the property complies with the town planning requirements and permit for construction of a site area of 21,671.242 sq m. (4) According to Planning Permit for Construction Works No. 410122201227020 on 11 January 2013 issued by Baisha Management Committee of Planning Bureau, the construction works with a total gross floor area of 78,986.56 sq m are in compliance with the construction works requirements and have been approved. (5) According to Commencement Permit for Construction Works No. 41012220131101-116 on 1 November 2013 issued by Baisha Management Committee of Construction of Environment Protection Bureau, the construction works with a total gross floor area of 78,986.56 sq m are in compliance with the requirements for works commencement and have been permitted. (6) According to seven Zhongmu Housing Gross Floor Area Forecast Reports Nos. YFW0001043, YFW001049, YFW0010146,YFW0010150,YFW0010148,YFW001009 and YFW001077, the property has a total gross floor area of 8,279.77 sq m.
III-27 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(7) According to Commodity Housing Pre-sales Permit No. (2014)ZM140060 issued by Zhongmu Housing Security and Real Estate Administration Bureau dated 19 December 2014, the construction works with a total gross floor area of approximately 58,476.36 sq m were permitted to pre-sales.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commodity Housing Pre-sales Permit mentioned above. (8) According to the information provided by the Company, various residential and retail units of the property with a total gross floor area of approximately 5,641.15 sq m have been pre-sold for a consideration of RMB48,309,808. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(9) According to Business License No. 410122000005526(1-1) dated 19 March 2010, 河南天道資產管理有限公司 (Henan Tiandao Assets management Co., Ltd) was established as a limited liability company with a registered capital of RMB10,000,000. (10) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) is the sole legal owner of the property; and
(iii) 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance. (11) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Zhongmu Housing Gross Floor Area Forecast Report Yes Commodity Housing Pre-sales Permit Yes Business License Yes
III-28 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
8. Various units of The property comprises 2 retail units, As at the valuation RMB125,000,000 Weiye Xiangdi 153 residential units and 224 carpark date, the property Bay, units of Weiye Xiangdi Bay. was vacant. (100% interest Jinyao Road, attributable to the Jinming District, Weiye Xiangdi Bay is a residential Group RMB125,000,000) Kaifeng, development erected on two parcels Henan Province, of land with a total site area of the PRC approximately 106,271.02 sq m.
中國河南省 The property has a total gross floor 開封市 area of approximately 26,898.24 sq m 金明區 with details as follows: 金耀路 偉業香堤灣 Approximate 若干個單元 Use gross floor area (sq m) Retail 185.97 Residential 18,872.27 Civil Air Defense Carpark (224 lots) 7,840 Total 26,898.24
The property is held with land use rights for terms due to expire on 27 October 2049 and 27 October 2079 for commercial and residential use respectively.
Notes: (1) According to two Real Estate Title Certificates issued by Kaifeng People’s Government, the land use rights of two parcels of land with a total site area of 106,270.94 sq m have been vested in 河南薈邦置業有限公司 (Henan Huibang Property Co., Ltd) for terms due to expire on 27 October 2049 and 27 October 2079 for commercial and residential use respectively, with the details as follows:
Certificate No. Date of Issue Use Site area
(sq m) 235499 29 October 2009 Commercial and residential 45,994.88 235500 25 February 2014 Commercial and residential 60,276.14 Total 106,271.02
III-29 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(2) According to two Grant Contracts of State-owned Land Use Rights entered into between Kaifeng Land Resources Bureau and 河南薈邦置業有限公司 (Henan Huibang Property Co., Ltd), the land use rights comprising a total site area of approximately 106,978.70 sq m have been granted to 河南薈邦置業有限公司 (Henan Huibang Property Co., Ltd) with the details as follows:
Plot Contract No. Site Area Land Use Land use term Ratio Land Premium
(sq m) (RMB) 2007-43 60,983.80 Commercial and Commercial: 40 years 2.1 60,983,800 residential Residential: 70 years 2007-44 45,994.90 Commercial and Commercial: 40 years 2.1 56,573,727 residential Residential: 70 years Total 106,978.70 117,557,527
(3) According to Planning Permit for Construction Use of Land No. 2008062 issued by Kaifeng Construction Committee, the construction site of land with a site area of 106,979.00 sq m are in compliance with the urban planning requirements and have been approved. (4) According to 17 Planning Permits for Construction Works Nos. (2011)033 to (2011)042 and Nos. (2013)088 to (2013)094 dated 18 February 2011 and 25 April 2013 respectively, the construction works with a total planned floor area of approximately 152,147.05 sq m are in compliance with the urban planning requirements and have been approved.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Planning Permits for Construction Works mentioned above. (5) According to four Commencement Permits for Construction Works Nos. 410204201104080201, 410204201104080101, 410204201104080301 and 410204201308140301 dated 8 April 2011 and 14 August 2013 respectively, the construction works with a total planned gross floor area of 157,986.00 sq m are in compliance with the requirements for works commencement and have been permitted.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commencement Permits for Construction Works mentioned above. (6) According to four Commodity Housing Pre-sales Permits Nos. (2014)070, (2014)008, (2013)076 and (2013)058 issued by Real Estate Management Administration of Kaifeng, the construction works with a total gross floor area of 61,163.18 sq m comprising retail and residential units were permitted to pre-sales.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commodity Housing Pre-sales Permits mentioned above. (7) According to two Completion Examination and Acceptance Forms Nos. J201308-0019 and J201308-0020 dated 12 August 2013, the constriction works with a total gross floor area of 8,269.09 sq m have been completed and with approval for register. (8) According to Survey Report issued by Kaifeng Planning Survey Design and Research Institute, the property comprising retail and residential units has a total gross floor area of 19,058.24 sq m. (9) According to the information provided by the Company, various residential, retail and carpark units of the property with a total gross floor area of approximately 14,923.88 sq m have been pre-sold for a consideration of RMB73,493,250. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion. (10) According to Business License No. 410000100010215 dated 2 March 2007, 河南薈邦置業有限公司 (Henan Huibang Property Co., Ltd) was established as a limited liability company with a registered capital of RMB 20,000,000. (11) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The Real Estate Title Certificates of the property are valid, legal and enforceable under the PRC laws; (ii) 河南薈邦置業有限公司 (Henan Huibang Property Co., Ltd) is the sole legal owner of the property; (iii) A portion of the property is subject to a mortgage. Under such mortgage contract, Henan Huibang Property Co., Ltd cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and (iv) Henan Huibang Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance.
III-30 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(12) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes Real Estate Title Certificate Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Commodity Housing Pre-sales Permit Yes Completion Examination and Acceptance Form Yes Survey Report Yes Business License Yes
III-31 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
9. Various units of The property comprises 85 residential As at the valuation RMB172,000,000 Block Nos. 11, 12, units and 59 retail units situated at date, a portion of the 13, 22, 23, 24, 25 Block Nos. 11, 12, 13, 22, 23, 24, 25 property was leased (100% interest and 27 of Phases and 27 of Phases II to IV of Weiye by various tenants, attributable to the II to IV of Weiye Central Park gradually completed and the rest of the Group Central Park, from 2010 to 2014. property was vacant. RMB172,000,000) Pingyuan Road, Hongqi District, Weiye Central Park is a development Xinxiang, with residential, apartment and retail Henan Province, units erected on three parcels of land the PRC with a total site area of approximately 178,885.51 sq m. 中國河南省 新鄉市 The property has a total gross floor 紅旗區 area of approximately 20,441.16 sq m 平原路 worth details as follows: 偉業中央公園II至IV 期 11, 12, 13, 22, Approximate 23, 24, 25, 27 號樓 Use gross floor area 若干個單元 (sq m) Residential 10,502.13 Retail 9,858.44 Basement 80.59 Total 20,441.16
The property is held with land use rights for terms due to expire on 5 January 2077 and 5 January 2047 for residential and commercial use respectively. Notes: (1) According to three State-owned Land Use Rights Certificates issued by Xinxiang People’s Government, the land use rights of a total site area of 178,885.51 sq m have been vested in 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) with the details as follows:
Expiry date of Land Certificate No. Date of Issue Use Use Term Site Area
(sq m)
(2010)020345 22 December 2010 Commercial and Commercial: 82,368.40 residential 5 January 2047 Residential: 5 January 2077 (2011)02014 9 November 2011 Commercial and Commercial: 68,204.70 residential 5 January 2047 Residential: 5 January 2077 (2015)02018 26 June 2015 Commercial and Commercial: 28,312.41 residential 5 January 2047 Residential: 5 January 2077
Total 178,885.51
III-32 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(2) According to the Grant Contract of State-owned Land Use Rights No. 2006-77 and its supplements entered into between Xinxiang Land and Resources Bureau and 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) on 29 December 2006, the land use rights comprising a site area of approximately 205,517.55 sq m have been granted to 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) at a premium of RMB188,048,360.
According to Supplementary Agreements of Grant Contract of State-owned Land Use Rights (No. 2006-77-2), the land use rights owner has been changed into 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) dated 11 April 2007. The site area has been changed into 178,886.3 sq m at a premium of RMB176,863,235 dated 14 February 2011. (3) According to Planning Permit for Construction Use of Land No. 20070011 issued by Xinxiang Urban Planning Bureau, the construction sites of land with a total site area of 249,004.99 sq m are in compliance with the urban planning requirements and have been approved. (4) According to two Planning Permits for Construction Works Nos. 410700201300039 and 410700201000046 dated 31 May 2013 and 24 May 2010 respectively, the construction works of a total gross floor area of approximately 148,942.19 sq m are in compliance with the construction works requirements and have been approved.
As advised by the Group, Block No. 11 and No. 22 comprise a portion of the gross floor area as stated in the Planning Permits for Construction Works mentioned above. (5) According to two Commencement Permits for Construction Works No. 440700201005270101 and No. 410700201310150101 dated 27 May 2010 and 15 October 2013 respectively, the construction works of the Property was in compliance with the requirement of work commencement and was permitted to be developed.
As advised by the Group, Block No. 11 and No. 22 comprise a portion of the gross floor area as stated in the Commencement Permit for Construction Works mentioned above. (6) According to eight Commodity Housing Pre-sales Permits Nos. 2010219, 2010220, 2012300, 2012301, 2012372, 2013140, 2013595 and 2014020 issued by Real Estate Management Administration of Xinxiang, the construction works with a total gross floor area of approximately 168,257.54 sq m comprising residential and retail units were permitted to pre-sales. (7) According to three Completion Examination and Acceptance Forms Nos. 2013-089, 2014-079 and 2014-080, the constriction works with a total gross floor area of 140,095.00 sq m have been completed and with approval for register. (8) According to Survey Report issued by Xinxiang Planning Survey Design and Research Institute, the property has a total gross floor area of 20,441.16 sq m. (9) According to the information provided by the Company, various residential and retail units of the property with a total gross floor area of approximately 7,247.47 sq m have been pre-sold for a consideration of RMB38,509,794. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(10) According to Business License No. 410791100020583 dated 3 April 2007, 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) was established as a limited liability company with a registered capital of RMB75,000,000. (11) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The State-owned Land Use Rights Certificate of the property is valid, legal and enforceable under the PRC laws;
(ii) 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) is the sole legal owner of the property; (iii) A portion of the property is subject to a mortgage. Under such mortgage contract, Xinxiang Weiye Property Co., Ltd cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and (iv) Xinxiang Weiye Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance.
III-33 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(12) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Planning Permits for Construction Works Yes Commencement Permit for Construction Works Yes Commodity Housing Pre-sales Permit Yes Completion Examination and Acceptance Form Yes Survey Report Yes Business License Yes
III-34 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
10. Various units of The property comprises 119 As at the valuation date, the RMB50,000,000 Weiye West residential units of Weiye West property was vacant. International Plaza, International Plaza completed in (100% interest east of Lanyangbei 2012. attributable to the Road, Group northern district Weiye West International Plaza RMB50,000,000) Nada District, is a residential development Danzhou, erected on a parcel of land with a Hainan Province, site area of approximately the PRC 20,003.40 sq m.
中國海南省 The property has a total gross 那大北部片區 floor area of approximately 蘭洋北路東側 11,490.93 sq m. 偉業西城國際 若干個單元 The property is held with land use rights for a term due to expire on 8 July 2079 for residential use. Notes:
(1) According to State-owned Land Use Right Certificates No. (2009)1127 issued by Danzhou People’s Government, the land use rights of a parcel of land with a site area of 20,003.40 sq m have been vested in 海 南中方投資有限公司 (Hainan Zhongfang Investment Holdings Co., Ltd) for residential use due to expire on 8 July 2079.
(2) According to five Building Ownership Certificates listed below, the building ownership with a total gross floor area of 56,205.05 sq m have been vested in 海南中方投資有限公司 (Hainan Zhongfang Investment Holdings Co., Ltd) with details as follow:
Certificate No. Location Use Gross Floor Area (sq m)
110085 Block No. 1 of West International Plaza, residential 8,115.06 Lot C-03-07, Block C-03, East of Lanyangbei Road, Nada District 110084 Block No. 2 of West International Plaza, residential 9,791.09 Lot C-03-07, Block C-03, East of Lanyangbei Road, Nada District 110086 Block No. 3 of West International Plaza, residential 9,160.56 Lot C-03-07, Block C-03, East of Lanyangbei Road, Nada District 110097 Block No. 4 of West International Plaza, residential 19,977.78 Lot C-03-07, Block C-03, East of Lanyangbei Road, Nada District 110093 Block No. 5 of West International Plaza, residential 9,160.56 Lot C-03-07, Block C-03, East of Lanyangbei Road, Nada District
Total 56,205.05
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Building Ownership Certificates mentioned above.
III-35 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(3) According to five Housing Gross Floor Area Surveying Reports Nos. 2012-085 to No. 2015-089, the property comprising 119 residential units has a total gross floor area of 11,490.93 sq m.
(4) According to the information provided by the Company, various residential units of the property with a total gross floor area of approximately 8,842.39 sq m have been pre-sold for a consideration of RMB37,379,095. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(5) According to Business License No. 460000000210453 dated 22 June 2009, 海南中方投資有限公司 (Hainan Zhongfang Investment Co., Ltd) was established as a limited liability company with a registered capital of RM10,000,000.
(6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:
(i) The State-owned Land Use Rights Certificates and Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 海南中方投資有限公司 (Hainan Zhongfang Investment Co., Ltd) is the sole legal owner of the property; and
(iii) Hainan Zhongfang Investment Co., Ltd has the right to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
(7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Building Ownership Certificate Yes Housing Gross Floor Area Surveying Report Yes Business License Yes
III-36 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
11. Various units of The property comprises 119 As at the valuation date, the RMB64,000,000 Weiye Costa Rhine, apartment units of Weiye Costa property was vacant. Taiyanghe Rhine completed in 2013. (100% interest Hotspring Resorts, attributable to the Xinglong District, Weiye Costa Rhine is an Group Wanning, apartment hotel development RMB64,000,000) Hainan Province, erected on a parcel of land with a the PRC site area of approximately 49,453.81 sq m. 中國萬寧市 興隆太陽河溫泉 The property has a total gross 旅遊度假區 floor area of approximately 萊茵半島若干個單元 6,455.70 sq m.
The property is held with land use rights for a term due to expire on 31 December 2063 for tourism use. Notes: (1) According to State-owned Land Use Rights Certificate No. (2011)401001 issued by Zhengzhou People’s Government, the land use rights of a parcel of land with a site area of 49,453.81 sq m have been vested in 萬 寧英德置業有限公司 (Wanning Yingde Property Co., Ltd) for a term due to expire on 31 December 2063 for tourism use. (2) According to eight Building Ownership Certificates listed below, the building ownership with a total gross floor area of 23,709.13 sq m have been vested in 萬寧英德置業有限公司 (Wanning Yingde Property Co., Ltd) with details as follow:
Gross Floor Certificate No. Date of Issue Use Location Area
(sq m)
1502146 11 June 2015 Apartment hotel Block No. 2 of Weiye 2,959.49 Costa Rhine 1502147 11 June 2015 Apartment hotel Block No. 3 of Weiye 2,959.49 Costa Rhine 1502148 11 June 2015 Apartment hotel Block No. 4 of Weiye 4,067.49 Costa Rhine 1502149 11 June 2015 Apartment hotel Block No. 5 of Weiye 4,532.21 Costa Rhine 1501638 15 May 2015 Apartment hotel Block No. 7 of Weiye 2,297.10 Costa Rhine 1501639 15 May 2015 Apartment hotel Block No. 8 of Weiye 2,298.33 Costa Rhine 1501640 15 May 2015 Apartment hotel Block No. 9 of Weiye 2,298.24 Costa Rhine 1501641 15 May 2015 Apartment hotel Block No. 10 of Weiye 2,296.78 Costa Rhine
Total 23,709.13
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Building Ownership Certificates mentioned above.
III-37 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(3) According to eight Housing Gross Floor Area Surveying Reports Nos. (2015)1506145 to 1506148 and Nos. (2015)05136 to 05139, the property comprising 119 apartment units has a total gross floor area of 6,455.70 sq m.
(4) According to the information provided by the Company, various apartment units of the property with a total gross floor area of approximately 1,205.43 sq m have been pre-sold for a consideration of RMB9,629,946. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(5) According to Business License No. 469006000011958 dated 17 December 2009, 萬寧英德置業有限公司 (Wanning Yingde Property Co., Ltd) was established as a limited liability company with a registered capital of RMB200,000,000.
(6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:
(i) The State-owned Land Use Rights Certificates and the Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 萬寧英德置業有限公司 (Wanning Yingde Property Co., Ltd) is the sole legal owner of the property; and
(iii) Wanning Yingde Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
(7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Building Ownership Certificate Yes Housing Gross Floor Area Surveying Report Yes Business License Yes
III-38 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
12. Various units of The property comprises 514 As at the valuation RMB139,000,000 Block No. 1, No. 3 residential units and 22 retail units date, the property and No. 4 of situated at Block No. 1, No. 3 and No. was vacant. (100% interest Phase II of Weiye 4 completed in 2015. attributable to the Oxygen Cube A, Group east of Huandong Weiye Oxygen Cube A is a residential RMB139,000,000) 2nd Road, development erected on a parcel of Tuncheng Town, land with a site area of approximately Tunchang, 54,810.70 sq m. Hainan Province, the PRC The property has a total gross floor area of approximately 28,955.19 sq m 中國屯昌縣屯城鎮 with the details as follows: 環東二路東側 氧立 方A二期1、3、4號 Approximate 若干個單元 Use gross floor area (sq m) Residential 26,809.79 Retail 2,145.40 Total 28,955.19
The property is held with land use rights for a term due to expire on 30 June 2080 for residential use. Notes: (1) According to the State-owned Land Use Rights Certificate No. (2010)13-00506 issued by People’s Government of Tunchang County (屯昌縣人民政府), the land use rights of a parcel of land with a site area of 54,810.70 sq m has been vested in 屯昌宏基偉業地產開發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) for a term due to expire on 30 June 2080 for residential use. (2) According to the Grant Contract of State-owned Land Use Rights No. 4690222010B03557 entered into between 屯昌縣國土環境資源局 (Tunchang County Land Resources Bureau) and 屯昌宏基偉業地產開發有限公 司 (Tunchang Hongji Weiye Property Development Co., Ltd.) on 30 June 2010, the land use rights of Lot No. 10-003-03 comprising a site area of approximately 54,810.70 sq m have been granted to 屯昌宏基偉業地產開 發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) at a premium of RMB61,000,000. (3) According to Planning Permit for Construction Use of Land No. (2010)0155 dated 27 July 2010 issued by Housing and Urban Construction Bureau of Tunchang, the proposed construction land use of the property complies with the town planning requirements and permit for construction with a site area of 54,810.70 sq m. (4) According to the Planning Permit for Construction Works No. (2011)0015 on 25 January 2011 issued by Tunchang Housing and Urban Construction Bureau, the construction works with a total gross floor area of 108,033.87 sq m is approved.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Planning Permit for Construction Works mentioned above. (5) According to the Commencement Permit for Construction Works No. 2011009 on 25 April 2011 issued by Tunchang Housing and Urban Construction Bureau, the construction works with a total gross floor area of 108,033.87 sq m is approved.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commencement Permit for Construction Works mentioned above.
III-39 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(6) According to Construction Works Completion Acceptance Letter No. QZJ1-013 dated 25 May 2015, the construction works of Block No.1-4 of Phase 2 of Oxygen Town were conformed to the delivery standard with a total gross floor area of approximately 42,629.76 sq m.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Construction Works Completion Acceptance Letter mentioned above.
(7) According to Commodity Housing Pre-sales Permit No. (2013)10, the commercial housing of Block No. 1 to 4 was permitted to sale with a total gross floor area of approximately 42,868.88 sq m.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commodity Housing Pre-sales Permit mentioned above.
(8) According to the information provided by the Company, various residential and retail units of the property with a total gross floor area of approximately 3,032.72 sq m have been pre-sold for a consideration of RMB12,986,168. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(9) According to Business License No. 469026000008938 dated 30 June 2011, 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) was established as a limited liability company with a registered capital of RM100,000,000.
(10) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:
(i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) is the sole legal owner of the property; and
(iii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
(11) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Grant Contract of State-owned Land Use Rights Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Construction Works Completion Acceptance Letter Yes Commodity Housing Pre-sales Permit Yes Business License Yes
III-40 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
13. Various units of The property comprises 481 As at the valuation date, RMB224,000,000 Block No. 5 to residential units situated at Block the property was vacant. No. 10 of Phase I No. 5 to No. 10 of Phase I of (100% interest of Weiye Oxygen Weiye Oxygen Cube A attributable to the Cube A, completed in 2013. Group east of Huandong RMB224,000,000) 2nd Road, Weiye Oxygen Cube A is a Tuncheng Town, residential development erected Tunchang County, on a parcel of land with a site Hainan Province, area of approximately 54,810.70 the PRC sq m.
中國屯昌縣屯城鎮 環 The property has a total gross 東二路東側 氧立方A floor area of approximately 一期5號-10號樓若干 43,955.66 sq m. 個單元 The property is held with land use rights for a term due to expire on 30 June 2080 for residential use. Notes: (1) According to the State-owned Land Use Rights Certificate No. (2010)13-00506 issued by People’s Government of Tunchang County (屯昌縣人民政府), the land use rights of a parcel of land with a site area of 54,810.70 sq m has been vested in 屯昌宏基偉業地產開發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) for residential use due to expire on 30 June 2080. (2) According to Building Ownership Certificates issued on 18 October 2013 listed below, the building ownership with a total gross floor area of 52,188.84 sq m have been vested in 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) with details as follow:
Certificate Nos. Location Use Gross Floor Area
(sq m)
13781 Block No. 5 of Weiye Oxygen Cube, Residential 7,608.52 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province 13786 Block No. 6 of Weiye Oxygen Cube, Residential 7,608.52 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province 13785 Block No. 7 of Weiye Oxygen Cube, Residential 7,608.52 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province 13784 Block No. 8 of Weiye Oxygen Cube, Residential 7,608.52 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province 13783 Block No. 9 of Weiye Oxygen Cube, Residential 10,877.38 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province
III-41 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Certificate Nos. Location Use Gross Floor Area
(sq m)
13782 Block No. 10 of Weiye Oxygen Cube, Residential 10,877.38 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province
Total 52,188.84
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Building Ownership Certificates mentioned above. (3) According to six Housing Gross Floor Area Surveying Reports Nos. B220-B223, Nos. B225-B226, the property comprising 481 units has a total gross floor area of 43,955.66 sq m. (4) According to the information provided by the Company, various residential units of the property with a total gross floor area of approximately 5,454.87 sq m have been pre-sold for a consideration of RMB23,838,385. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(5) According to Business License No. 469026000008938 dated 30 June 2011, 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) was established as a limited liability company with a registered capital of RM100,000,000. (6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The State-owned Land Use Rights Certificates and the Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) is the sole legal owner of the property; and
(iii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance. (7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Building Ownership Certificate Yes Housing Gross Floor Area Surveying Report Yes Business License Yes
III-42 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group IV – Completed properties held by the Group for sale in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
14. Various units of The property comprises As at the valuation date, the RMB38,000,000 Block No. 11 to residential units situated at Block property was vacant. No. 13 of Weiye No. 11 to No. 13 of Weiye (100% interest Oxygen Cube B, Oxygen Cube B completed in attributable to the east of Huandong 2013. Group 2nd Road, RMB38,000,000) Tuncheng Town, Weiye Oxygen Cube B is a Tunchang County, residential development erected Hainan Province, on a parcel of land with a site the PRC area of approximately 12,977.20 sq m. 中國屯昌縣屯城鎮 環 東二路東側 氧立方B The property has a total gross 11-13號樓 floor area of approximately 若干個單元 7,534.64 sq m.
The property is held with land use rights for a term due to expire on 8 July 2079 for residential use. Notes: (1) According to State-owned Land Use Rights Certificate No. (2010)13-00075 issued by Tunchang People’s Government, the land use rights of the property with a site area of 12,977.2 sq m have been vested in 屯昌雅 境置業有限公司 (Tunchang Yajing Property Co., Ltd.) for a term due to expire on 16 December 2079 for residential use. (2) According to Building Ownership Certificates listed below, the ownership with a total gross area of 16,997.02 sq m has been vested in 屯昌雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.) with details as follow:
Certificate Nos. Location Use Gross Floor Area (sq m)
13872 Block No. 11 of Weiye Oxygen Cube, Residential 5,078.22 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province 13870 Block No. 12 of Weiye Oxygen Cube, Residential 7,994.68 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province 13871 Block No. 13 of Weiye Oxygen Cube, Residential 3,924.12 East of Huandong 2nd Road, Tuncheng Town, Tunchang County, Hainan Province
Total 16,997.02
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Building Ownership Certificates mentioned above. (3) According to 3 Housing Gross Floor Area Surveying Reports No. 5233, No. 5235 and No. 5237, the property comprising 102 residential units has a total gross floor area of 7,534.64 sq m. (4) According to the information provided by the Company, various residential units of the property with a total gross floor area of approximately 579.10 sq m have been pre-sold for a consideration of RMB2,255,724. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion. (5) According to Business License No. dated 10 April 2015, 屯昌雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.) was established as a limited liability company with a registered capital of RM100,000,000.
III-43 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The State-owned Land Use Rights Certificates and the Building Ownership Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 屯昌雅境置業有限公司 (Tunchang Yajing Property Co., Ltd.) is the sole legal owner of the property; (iii) Tunchang Yajing Property Co., Ltd has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance; and (iv) A portion of the property is subject to a mortgage, Tunchang Yajing Property Co., Ltd cannot freely transfer, lease and/or mortgage the property without prior consent from the mortgagee. (7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Building Ownership Certificate Yes Housing Gross Floor Area Surveying Report Yes Business License Yes
III-44 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group V – Properties held by the Group under development in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
15. The under The property comprises a proposed As at the valuation RMB790,000,000 construction retail, office and apartment date, the property development development which is developing on a was under (51% interest known as parcel of land with a site area of construction. attributable to the Weiye Tiandao approximately 20,995.64 sq m. Group International, RMB402,900,000) west of Yangqiao Upon completion, the property will Road, comprise a total gross floor area of north of Ruifeng approximately 110,430.43 sq m with Road, details as follows: Zhongmu County, Zhengzhou, Approximate Henan Province, Use gross floor area the PRC (sq m) Office 39,018.66 中國河南省 鄭州市 Apartment 33,264.37 中牟縣 楊橋路西 Retail 8,935.35 側，瑞豐路北側， Ancillary 1,371.81 瑞豐路北側，偉業 Non-civil Air 天道國際 在建工程 Defense Carpark (810 lots) 27,840.24 Total 110,430.43
As advised by the Group, the property is scheduled for completion in 2015.
The property is held with land use rights for a term due to expire on 21 December 2051 for commercial use. Notes: (1) According to the State-owned Land Use Rights Certificate No. (2011)216 issued by People’s Government of Zhongmu County, the land use rights of a parcel of land with a site area of 20,995.64 sq m have been vested in 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) for a term due to expire on 21 September 2051 for commercial use. (2) According to the Grant Contract of State-owned Land Use Rights No. (2011)0053 entered into between Zhongmu County Land Resources Bureau and 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) on 21 June 2011, the land use rights of Lot No. BS02-06-01-11-(1) comprising a site area of approximately 20,995.64 sq m have been granted to 河南天道資產管理有限公司 (Henan Tiandao Assets Management Co., Ltd.) at a premium of RMB20,470,749. (3) According to Planning Permit for Construction Use of Land No. 410122201214010 issued by People’s Government of Zhongmu County, the proposed construction land use of the property complies with the town planning requirements and permit for construction of a site of 20,995.6702 sq m. (4) According to the Planning Permit for Construction Works No. 410122201327003 dated 10 September 2013 issued by Baisha Management Committee of Planning Bureau, the construction works of aboveground with a total gross floor area of 82,937.60 sq m and underground with the gross floor area of 27,840.24 sq m are in compliance with the construction works requirements and have been approved. (5) According to the Commencement Permit for Construction Works No. 410105201503050101 on 5 March 2015 issued by Zhengdong New District Management Committee of Construction of Environment Protection Bureau, the construction works with a total gross floor area of 110,777.84 sq m are in compliance with the requirements for works commencement and have been permitted. (6) According to two Zhongmu Housing Gross Floor Area Forecast Reports Nos. YFW001230 and YFW001248, the property comprising office apartment retail and ancillary has a total gross floor area of 82,590.19 sq m.
III-45 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(7) According to the Group, the construction cost expended as at 31 July 2015 was approximately RMB422,000,000, the outstanding construction cost as at 31 July 2015 was approximately RMB22,000,000. In the course of our valuation, we have made allowance for such amount.
The market value of the property when completed as at 31 July 2015 was RMB975,000,000.
(8) According to Business License No. 410122000005526(1-1) dated 19 March 2010, 河南天道資產管理有限公司 (Henan Tiandao Assets management co., LTD) was established as a limited liability company with a registered capital of RMB10,000,000. (9) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 河南天道資產管理有限公司 (Henan Tiandao Assets management Co., Ltd) is the sole legal land user of the property and has obtained the relevant certificates and approval from the government in respect of the construction of the property; and
(iii) 河南天道資產管理有限公司 (Henan Tiandao Assets management Co., Ltd) has the rights to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance. (10) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Zhongmu Housing Gross Floor Area Forecast Report Yes Business License Yes
III-46 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group V – Properties held by the Group under development in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
16. The under The property comprises a proposed As at the valuation RMB373,000,000 development residential building namely Block No. date, the property known as Block 16 of Phase II and a proposed was under (100% interest No. 16 of Phase II apartment building namely Block No. construction. attributable to the and Block No. 29 29 of Phase IV of Weiye Central Park Group RMB373,000,000) of Phase IV developing on three parcels of land Weiye Central with a total site area of approximately Park, 178,885.51 sq m. Pingyuan Road, Hongqi District, Upon completion, the property will Xinxiang, comprise a total planned gross floor Henan Province, area of approximately 121,811.16 sq the PRC m with the details as follows:
中國河南省 新鄉市 Approximate 紅旗區 平原路 Use gross floor area 偉業中央公園二期 (sq m) 16號、四期29號樓 Residential 42,372.41 在建工程 Apartment 50,012.60 Retail 13,657.83 Non-civil Air Defense Carpark (242 lots) 12,860.40 Ancillary 2,907.92 Total 121,811.16
As advised by the Group, the property is scheduled for completion in 2017.
The property is held with land use rights for terms due to expire on 5 January 2077 and 5 January 2047 for residential and commercial use respectively.
III-47 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Notes:
(1) According to three State-owned Land Use Rights Certificates issued by Xinxiang People’s Government, the land use rights of a total site area of 178,885.51 sq m have been vested in 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) with the details as follows:
Expiry date of Certificate No. Date of Issue Use Land Use Term Site Area
(sq m)
(2010)020345 22 December 2010 Commercial and Commercial: 82,368.40 residential 5 January 2047 Residential: 5 January 2077 (2011)02014 9 November 2011 Commercial and Commercial: 68,204.70 residential 5 January 2047 Residential: 5 January 2077 (2015)02018 26 June 2015 Commercial and Commercial: 28,312.41 residential 5 January 2047 Residential: 5 January 2077
Total 178,885.51
(2) According to the Grant Contract of State-owned Land Use Rights No. 2006-77 and its supplements entered into between Xinxiang Land and Resources Bureau and 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) on 29 December 2006, the land use rights comprising a site area of approximately 205,517.55 sq m have been granted to 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) at a premium of RMB188,048,360.
According to Supplementary Agreement of Grant Contract of State-owned Land Use Rights (No. 2006-77-2), the land use rights owner has been changed into 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) dated 11 April 2007. The site area has been changed into 178,886.3 sq m at a premium of RMB176,863,231 dated 14 February 2011.
(3) According to Planning Permit for Construction Use of Land No. 20070011 issued by the Xinxiang City Planning Bureau, the proposed construction land use of the property complies with the town planning requirements and permit for construction of a site area of 249,004.99 sq m.
(4) According to two Planning Permits for Construction Works Nos. 410700201300046 and 410700201000046 dated 28 June 2013 and 24 May 2010 respectively, the construction works with a total gross floor area of approximately 182,602.99 sq m are in compliance with the construction works requirements and have been approved.
As advised by the Group, Block No. 16 and No. 29 comprise a portion of the gross floor area as stated in the Planning Permits for Construction Works mentioned above.
(5) According to two Commencement Permits for Construction Works Nos. 440700201005270201 and 410700201310280101 dated 27 May 2010 and 28 October 2013 respectively, the construction works with a total gross floor area of 133,667.00 sq m were in compliance with the requirement of work commencement and was permitted to be developed.
As advised by the Group, Block No. 16 and No. 29 comprise a portion of the gross floor area as stated in the Commencement Permit for Construction Works mentioned above.
(6) According to two Commodity Housing Pre-sales Permits Nos. 2014021 and 2014057 dated 26 March 2014 and 25 May 2015 respectively, the commercial housing with a total gross floor area of 106,042.84 sq m was permitted to be pre-sold.
(7) According to two Housing Gross Floor Area Forecast Reports issued by Xinxiang Real Estate Advisory and Survey Service Centre, the property has a total gross floor area of 121,811.16 sq m.
III-48 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(8) According to the Group, the construction cost expended as at 31 July 2015 was approximately RMB91,000,000, the outstanding construction cost as at 31 July 2015 was approximately RMB101,000,000. In the course of our valuation, we have made allowance for such amount.
The market value of the property when completed as at 31 July 2015 was RMB648,000,000.
(9) According to the information provided by the Company, various residential and apartment units of the property with a total gross floor area of approximately 42,343.13 sq m have been pre-sold for a consideration of RMB211,895,690. In the course of our valuation, we have taken into account the above contracted selling price of the pre-sold portion.
(10) According to Business License No. 410791100020583 dated 3 April 2007, 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) was established as a limited liability company with a registered capital of RMB 75,000,000.
(11) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:–
(i) The State-owned Land Use Rights Certificate of the property is valid, legal and enforceable under the PRC laws;
(ii) 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) is the sole legal land user of the property and has obtained the relevant certificates and approval from the government in respect of the construction of the property;
(iii) A portion of the property is subject to a mortgage. Under such mortgage contract, Xinxiang Weiye Property Co., Ltd cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and
(iv) Xinxiang Weiye Property Co., Ltd has the right to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance.
(12) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Commodity Housing Pre-sales Permits Yes Housing Gross Floor Area Forecast Report Yes Business License Yes
III-49 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group III – Properties held by the Group under development in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
17. The under The property comprises five proposed As at the valuation RMB64,000,000 construction residential buildings and one date, the property development commercial building of Weiye Paris was under (100%interest known as Impression developing on two parcels construction. attributable to the portion of Weiye of land with a total site area of Group RMB64,000,000) Paris Impression, approximately 40,368.01 sq m. north of Xueyuan Road, east of Upon completion, the property will Zhanlixi Road comprise a total planned gross floor Zhongmu County, area of approximately 73,247.32 sq m Zhengzhou, with details as follows: Henan Province, the PRC Approximate Use gross floor area 中國河南省 鄭州市 (sq m) 中牟縣 學苑路北， Residential 54,129.08 占李西路東側， Retail 4,351.31 偉業巴黎印象在建工 Carpark 13,264.64 程部份 (362 lots) Ancillary 1,502.29 Total 73,247.32
As advised by the Group, the property is scheduled for completion in 2017.
The property is held with land use rights for terms due to expire on 4 November 2082 and 16 January 2085 for residential use. Notes: (1) In October 2014, Jinwei (Henan) Trading Limited Company (金偉 (河南)商貿有限公司)(“Jinwei (Henan)”) and a third party construction contractor, Zhengzhou Shijizhongxin Zhiye Co. Ltd. (鄭州世紀中信置業有限公司) (“Shijizhongxin”), entered into a cooperation agreement (the “Cooperation Agreement”) in relation to the joint development of three parcels of land held by Zhengzhou Daimashi Enterprise Co., Ltd. (鄭州黛瑪仕實業有限公 司)(“Zhengzhou Daimashi”). Salient terms of the Cooperation Agreement include: (i) Jinwei (Henan) and Shijizhongxin will jointly acquire the equity interests in Zhengzhou Daimashi; (ii) Shijizhongxin will undertake the project construction according to the specification and time frame given by Jinwei (Henan) and bear all the costs of construction, while Jinwei (Henan) will undertake the marketing and sales of the properties; (iii) Shijizhongxin is entitled to sell all properties under the project to Jinwei (Henan) based on a pre-determined price per sq. m. payable according to the construction progress; and (iv) Jinwei (Henan) is entitled to all proceeds from the sales and pre-sales of the properties to third parties under the project. Accordingly, in October 2014, Jinwei (Henan) acquired 65% equity interest in Zhengzhou Daimashi from Chen Xiuna (陳秀娜), an Independent Third Party, for a consideration of RMB140 million, which consideration was arrived at following arm’s length negotiations on a willing-buyer, willing-seller basis, and taking into account the estimated market value of the land-use rights held by Zhengzhou Daimashi. As confirmed by PRC legal advisers, the acquisition has been properly and legally completed and settled. In January 2015, 65% equity interest in Zhengzhou Daimashi was transferred internally from Jinwei (Henan) to Henan Weiye. Meanwhile, the rights and obligations of Jinwei (Henan) under the Cooperation Agreement were assigned and novated to Henan Weiye. The remaining 35% equity interests in Zhengzhou Daimashi are being held as to 27.5% by Liu Gairong (劉改榮) on trust for Shijizhongxin and as to 7.5% by Chen Xiuna (陳秀娜). Each of Liu Gairong (劉改 榮) and Shijizhongxin, being a substantial shareholder of Zhengzhou Daimashi, is the connected person at the subsidiary level. Given the arrangements under the Cooperation Agreement, Group’s share of assets and liabilities and profit or loss in Zhengzhou Daimashi is not in proportion to the equity interests in Zhengzhou Daimashi held by Henan Weiye and other minority holders.
III-50 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(2) According to two State-owned Land Use Rights Certificates issued by Zhongmu People’s Government, the land use rights of two parcels of land with a total site area of 40,368.01 sq m have been vested in 鄭州黛瑪仕 實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) with the details as follows:
Certificate No. Uses Expiry Date Date of Issue Site Area sq m (2014)208 Residential 16 January 2085 29 December 2014 12,423.00 (2013)026 Residential 4 November 2082 5 February 2013 27,945.01 Total 40,368.01
(3) According to two Grant Contracts of State-owned Land Use Rights entered into between Zhongmu County Land Resources Bureau and 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd), the land use rights comprising a total site area of approximately 40,368.01 sq m have been granted to 鄭州黛瑪仕實業有限 公司(Zhengzhou Daimashi Enterprise Co., Ltd) with the details as follows:
Land Use Plot Contract No. Site Area Land Use Term year Ratio Date of Issue Land Premium (sq m) (RMB) 410122-CR- 12,423.00 Residential Residential: 3 16 October 2014 48,536,661 2014-0345-11598 70 years 410122-CR- 27,945.01 Residential Residential: 3 4 September 2012 30,599,786 2012-0040-1890 70 years Total 40,368.01 79,136,447
(4) According to two Planning Permits for Construction Use of Land Nos. (2015)022 and (2015)021 dated 9 April 2015, the construction sites of land with a total site area of 40,287.43 sq m are in compliance with the urban planning requirements and have been approved. (5) According to two Planning Permits for Construction Works Nos. (2015)017 and (2015)019 dated 5 June 2015 and 1 July 2015, the construction works with a total planned floor area of approximately 73,247.32 sq m are in compliance with the urban planning requirements and have been approved. (6) According to two Commencement Permits for Construction Works Nos. 410122201507150101 and 410122201507280101 dated 15 July 2015 and 28 July 2015, the construction works with a total planned gross floor area of 73,247.32 sq m are in compliance with the requirements for works commencement and have been approved. (7) According to the Group, the construction cost expended as at 31 July 2015 was approximately RMB37,350,000, the outstanding construction cost as at 31 July 2015 was approximately RMB168,510,000. In the course of our valuation, we have made allowance for such amount. (8) The market value of the property when completed as at 31 July 2015 was RMB364,000,000. (9) According to Business License No. 410100400001297(1-1) dated 1 November 2006, 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) was established as a limited liability company with a registered capital of RMB31,000,000. (10) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The Cooperation Agreement is legal, valid and binding on all parties; (ii) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws; (iii) 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) is the sole legal land user of the property and has obtained the relevant certificates and approval from the government in respect of the construction of the property; (vi) The property is subject to a mortgage. Under such mortgage contract, Zhengzhou Daimashi Enterprise Co., Ltd cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and (v) Zhengzhou Daimashi Enterprise Co., Ltd has the right to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee‘s consent in advance.
III-51 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(11) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Cooperation Agreement Yes Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Business License Yes
III-52 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group V – Properties held by the Group under development in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
18. The under The property comprises proposed As at the valuation RMB15,000,000 construction residential building namely Block date, the property development No. 17 of Phase III of Weiye Oxygen was under (100% interest known as Cube A developing on a parcel of construction. attributable to the No. 17 of Phase III land with a site area of approximately Group RMB15,000,000) of Weiye Oxygen 54,810.70 sq m. Cube A, east of Huandong Upon completion, the property will 2nd Road, comprise a total planned gross floor Tuncheng Town, area of approximately 16,323.75 sq m Tunchang, with the details as follows: Hainan Province, the PRC Approximate Use gross floor area 中國屯昌縣屯城鎮 (sq m) 環東二路東側 氧立 Residential 10,699.08 方A 三期17號樓 在 Retail 3,583.44 建工程 Basement 2,041.23 Total 16,323.75
As advised by the Group, the property is schedule to be completed in 2016.
The property is held with land use rights for a term due to expire on 30 June 2080 for residential use. Notes: (1) According to the State-owned Land Use Rights Certificate No. (2010)13-00506 issued by People’s Government of Tunchang County (屯昌縣人民政府), the land use rights of a parcel of land with a site area of 54,810.70 sq m has been vested in 屯昌宏基偉業地產開發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) for residential use due to expire on 30 June 2080. (2) According to the Grant Contract of State-owned Land Use Rights No. 4690222010B03557 entered into between 屯昌縣國土環境資源局 (Tunchang County Land Resources Bureau) and 屯昌宏基偉業地產開發有限公 司 (Tunchang Hongji Weiye Property Development Co., Ltd.) on 30 June 2010, the land use rights of Lot No. 10-003-03 comprising a site area of approximately 54,810.70 sq m have been granted to 屯昌宏基偉業地產開 發有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) at a premium of RMB61,000,000. (3) According to Planning Permit for Construction Use of Land No. (2010)0155 dated 27 July 2010 issued by Housing and Urban Construction Bureau of Tunchang, the proposed construction land use of the property complies with the town planning requirements and permit for construction of a site area of 54,810.70 sq m. (4) According to the Planning Permit for Construction Works No. (2011)0015 on 25 January 2011 issued by Tunchang Housing and Urban Construction Bureau, the construction works with a total gross floor area of 108,033.87 sq m is approved.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Planning Permit for Construction Works mentioned above. (5) According to the Commencement Permit for Construction Works No. 2011009 on 25 April 2011 issued by Tunchang Housing and Urban Construction Bureau, the construction works with a total gross floor area of 108,033.87 sq m is approved.
As advised by the Group, the property comprises a portion of the gross floor area as stated in the Commencement Permit for Construction Works mentioned above.
III-53 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(6) According to the Group, the construction cost expended as at 31 July 2015 was approximately RMB7,000,000, the outstanding construction cost as at 31 July 2015 was approximately RMB48,000,000. In the course of our valuation, we have made allowance for such amount. (7) The market value of the property when completed as at 31 July 2015 was RMB88,000,000.
(8) According to Business License No. 469026000008938 dated 30 June 2011, 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) was established as a limited liability company with a registered capital of RM100,000,000. (9) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information: (i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) is the sole legal land user and has obtained the relevant certificates and approval from the government in respect of the construction of the property; and
(iii) 屯昌宏基偉業地產發展有限公司 (Tunchang Hongji Weiye Property Development Co., Ltd.) has the right to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (10) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
State-owned Land Use Rights Certificate Yes Grant Contract of State-owned Land Use Rights Yes Planning Permit for Construction Use of Land Yes Planning Permit for Construction Works Yes Commencement Permit for Construction Works Yes Business License Yes
III-54 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group VI – Properties held by the Group for future development in the PRC
Market value in Particulars of existing state as at 31 Property Description and tenure occupancy July 2015
19. Development site The property comprises the The property is RMB78,000,000 for portion of development site for Weiye Paris vacant site. Weiye Paris Impression to be developed on 2 (100% interest Impression, parcels of land with a total site area of attributable to the Group north of approximately 40,368.01 sq m. RMB78,000,000) Xueyuan Road, east of Zhanlixi As advised by the Group, Weiye Paris Road Impression will be developed into a Zhongmu County, residential development with a Zhengzhou, planned total gross floor area of Henan Province, approximately 68,340.78 sq m. and the PRC details as follows:
中國河南省 鄭州市 Approximate 中牟縣 學苑路北， Use gross floor area 占李西路東側， (sq m) 偉業巴黎印象項目 Residential 44,242.3 用地 Affordable housing 12,245.22 Retail 2,646.26 Carpark (393 lots) 9,207 Total 68,340.78
The property is held with land use rights for terms due to expire on 4 November 2082 and 16 January 2085 for residential use. Notes: (1) In October 2014, Jinwei (Henan) Trading Limited Company (金偉 (河南)商貿有限公司)(“Jinwei (Henan)”) and a third party construction contractor, Zhengzhou Shijizhongxin Zhiye Co. Ltd. (鄭州世紀中信置業有限公司) (“Shijizhongxin”), entered into a cooperation agreement (the “Cooperation Agreement”) in relation to the joint development of three parcels of land held by Zhengzhou Daimashi Enterprise Co., Ltd. (鄭州黛瑪仕實業有限公 司)(“Zhengzhou Daimashi”). Salient terms of the Cooperation Agreement include: (i) Jinwei (Henan) and Shijizhongxin will jointly acquire the equity interests in Zhengzhou Daimashi; (ii) Shijizhongxin will undertake the project construction according to the specification and time frame given by Jinwei (Henan) and bear all the costs of construction, while Jinwei (Henan) will undertake the marketing and sales of the properties; (iii) Shijizhongxin is entitled to sell all properties under the project to Jinwei (Henan) based on a pre-determined price per sq. m. payable according to the construction progress; and (iv) Jinwei (Henan) is entitled to all proceeds from the sales and pre-sales of the properties to third parties under the project. Accordingly, in October 2014, Jinwei (Henan) acquired 65% equity interest in Zhengzhou Daimashi from Chen Xiuna (陳秀娜), an Independent Third Party, for a consideration of RMB140 million, which consideration was arrived at following arm’s length negotiations on a willing-buyer, willing-seller basis, and taking into account the estimated market value of the land-use rights held by Zhengzhou Daimashi. As confirmed by PRC legal advisers, the acquisition has been properly and legally completed and settled. In January 2015, 65% equity interest in Zhengzhou Daimashi was transferred internally from Jinwei (Henan) to Henan Weiye. Meanwhile, the rights and obligations of Jinwei (Henan) under the Cooperation Agreement were assigned and novated to Henan Weiye. The remaining 35% equity interests in Zhengzhou Daimashi are being held as to 27.5% by Liu Gairong (劉改榮) on trust for Shijizhongxin and as to 7.5% by Chen Xiuna (陳秀娜). Each of Liu Gairong (劉改 榮) and Shijizhongxin, being a substantial shareholder of Zhengzhou Daimashi, is the connected person at the subsidiary level. Given the arrangements under the Cooperation Agreement, Group’s share of assets and liabilities and profit or loss in Zhengzhou Daimashi is not in proportion to the equity interests in Zhengzhou Daimashi held by Henan Weiye and other minority holders.
III-55 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(2) According to two State-owned Land Use Rights Certificates issued by Zhongmu People’s Government, the land use rights of two parcels of land with a total site area of 40,368.01 sq m have been vested in 鄭州黛瑪仕 實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) with the details as follows:
Certificate No. Uses Expiry Date Date of Issue Site Area
sq m
(2014)208 Residential 16 January 2085 29 December 2014 12,423.00 (2013)026 Residential 4 November 2082 5 February 2013 27,945.01
Total 40,368.01
(3) According to two Grant Contracts of State-owned Land Use Rights entered into between Zhongmu County Land Resources Bureau and 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd), the land use rights comprising a total site area of approximately 40,368.01 sq m have been granted to 鄭州黛瑪仕實業有限 公司 (Zhengzhou Daimashi Enterprise Co., Ltd) with the details as follows:
Land Use Plot Contract No. Site Area Land Use Term year Ratio Date of Issue Land Premium
(sq m) (RMB)
410122-CR- 12,423.00 Residential Residential: 3 16 October 2014 48,536,661 2014-0345-11598 70 years 410122-CR- 27,945.01 Residential Residential: 3 4 September 2012 30,599,786 2012-0040-1890 70 years
Total 40,368.01 79,136,447
(4) According to two Planning Permits for Construction Use of Land Nos. (2015)022 and (2015)021 dated 9 April 2015, the construction sites of land with a total site area of 40,287.43 sq m are in compliance with the urban planning requirements and have been approved.
(5) According to Business License No. 410100400001297(1-1) dated 1 November 2006, 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) was established as a limited liability company with a registered capital of RMB31,000,000. (6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The Cooperation Agreement is legal, valid and binding on all parties; (ii) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws; and
(iii) 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) is the sole legal land user of the property; (iv) the property is subject to a mortgage. Under such mortgage contract, Zhengzhou Daimashi Enterprise Co., Ltd. cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and
(v) 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) has the right to freely lease, transfer, mortgage and dispose of the land use rights of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Cooperation Agreement Yes Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permits for Construction Use of Land Yes Business License Yes
III-56 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group VI – Properties held by the Group for future development in the PRC
Market value in Particulars of existing state as at 31 Property Description and tenure occupancy July 2015
20. Development site The property comprises the The property is RMB197,000,000 for proposed development site for the proposed vacant site. commercial commercial development of Weiye (100% interest development of Paris Impression with a site area of attributable to the Group Weiye Paris 24,130.00 sq m. RMB197,000,000) Impression, north of As advised by the Group, the Xueyuan Road, proposed commercial development of east of Weiye Paris Impression will be Zhanlixi Road developed into a commercial Zhongmu County, development with a total site area of Zhengzhou, 128,520.00 and details as follows: Henan Province, the PRC Approximate Use gross floor area 中國河南省 (sq m) 鄭州市 Apartment 86,868.00 中牟縣 Retail 9,652.00 學苑路北，占李西路 Carpark 東側， (640 lots) 32,000.00 偉業巴黎印象 商業項目用地 Total 128,520.00
The property is held with land use rights for a term due to expire on 1 November 2052 for commercial use. Notes: (1) In October 2014, Jinwei (Henan) Trading Limited Company (金偉 (河南)商貿有限公司)(“Jinwei (Henan)”) and a third party construction contractor, Zhengzhou Shijizhongxin Zhiye Co. Ltd. (鄭州世紀中信置業有限公司) (“Shijizhongxin”), entered into a cooperation agreement (the “Cooperation Agreement”) in relation to the joint development of three parcels of land held by Zhengzhou Daimashi Enterprise Co., Ltd. (鄭州黛瑪仕實業有限公 司)(“Zhengzhou Daimashi”). Salient terms of the Cooperation Agreement include: (i) Jinwei (Henan) and Shijizhongxin will jointly acquire the equity interests in Zhengzhou Daimashi; (ii) Shijizhongxin will undertake the project construction according to the specification and time frame given by Jinwei (Henan) and bear all the costs of construction, while Jinwei (Henan) will undertake the marketing and sales of the properties; (iii) Shijizhongxin is entitled to sell all properties under the project to Jinwei (Henan) based on a pre-determined price per sq. m. payable according to the construction progress; and (iv) Jinwei (Henan) is entitled to all proceeds from the sales and pre-sales of the properties to third parties under the project. Accordingly, in October 2014, Jinwei (Henan) acquired 65% equity interest in Zhengzhou Daimashi from Chen Xiuna (陳秀娜), an Independent Third Party, for a consideration of RMB140 million, which consideration was arrived at following arm’s length negotiations on a willing-buyer, willing-seller basis, and taking into account the estimated market value of the land-use rights held by Zhengzhou Daimashi. As confirmed by PRC legal advisers, the acquisition has been properly and legally completed and settled. In January 2015, 65% equity interest in Zhengzhou Daimashi was transferred internally from Jinwei (Henan) to Henan Weiye. Meanwhile, the rights and obligations of Jinwei (Henan) under the Cooperation Agreement were assigned and novated to Henan Weiye. The remaining 35% equity interests in Zhengzhou Daimashi are being held as to 27.5% by Liu Gairong (劉改榮) on trust for Shijizhongxin and as to 7.5% by Chen Xiuna (陳秀娜). Each of Liu Gairong (劉改 榮) and Shijizhongxin, being a substantial shareholder of Zhengzhou Daimashi, is the connected person at the subsidiary level. Given the arrangements under the Cooperation Agreement, Group’s share of assets and liabilities and profit or loss in Zhengzhou Daimashi is not in proportion to the equity interests in Zhengzhou Daimashi held by Henan Weiye and other minority holders. (2) According to the State-owned Land Use Rights Certificates and the Building Ownership Certificates No. (2013)028 issued by Zhongmu People’s Government, the land use rights of a parcel of land with a site area of 24,130.00 sq m have been vested in 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) for commercial use due to expire on 5 November 2052.
III-57 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(3) According to the Grant Contract of State-owned Land Use Rights No. 410122-CR-2012-0035-1862 entered into between Zhongmu County Land Resources Bureau and 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) on 4 September 2012, the land use rights of Lot No. 3-83 comprising a site area of approximately 24,130.00 sq m have been granted to 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) at a premium of RMB36,556,950. (4) According to Planning Permits for Construction Land No. (2014)005 dated 20 January 2014 the construction sites of land with a total site area of 24,130.16 sq m are in compliance with the urban planning requirements and have been approved.
(5) According to Business License No. 410100400001297(1-1) dated 1 November 2006, 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) was established as a limited liability company with a registered capital of RMB31,000,000. (6) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The Cooperation Agreement is legal, valid and binding on all parties; (ii) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws; and
(iii) 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) is the sole legal land user of the property; (iv) The property is subject to a mortgage. Under such mortgage contract, Zhengzhou Daimashi Enterprise Co., Ltd. cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and
(v) 鄭州黛瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) has the right to freely lease, transfer, mortgage and dispose of the land use rights of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (7) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Cooperation Agreement Yes Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Business License Yes
III-58 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group VI – Properties held by the Group for future development in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
21. Development site The property comprises the The property is vacant site. RMB259,600,000 of Hanwei Project, development site for Hanwei west of Gaozhuang Project with a site area of (51% interest Road, north of approximately 58,221.75 sq m. attributable to the Yongchang Road, Group Zhongmu County, As advised by the Group, Hanwei RMB132,396,000) Zhengzhou, Project will be developed into a Henan Province, commercial development with a the PRC planned total gross floor area of approximately 203,770 sq m. 中國河南省 鄭州市 The property is held with land 中牟縣 use rights for a term due to 高莊路西側，永昌路 expire on 30 July 2053 for 北側 commercial use. 漢偉項目用地 Notes: (1) According to the State-owned Land Use Rights Certificate No. (2014)174 issued by People’s Government of Zhongmu County , the land use rights of a parcel of land with a site area of 58,221.75 sq m has been vested in 河南漢方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd. for residential use due to expire on 30 July 2053. (2) According to the Grant Contract of State-owned Land Use Rights No. (2008)0004 entered into between Zhongmu County Land Resources Bureau and 河南漢方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd) on 31 May 2013, the land use rights of Lot No. BS18-03-04 comprising a site area of approximately 58,221.75 sq m have been granted to 河南漢方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd) at a premium of RMB114,405,739.
(3) According to Business License No. 410100000013146(1-1) dated 20 June 2001, 河南漢方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd) was established as a limited liability company with a registered capital of RMB5,000,000. (4) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws; and
(ii) 河南漢方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd.) is the sole legal land user of the property; and
(iii) 河南漢方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd) has the right to freely lease, transfer, mortgage and dispose of the land use rights of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (5) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Business License Yes
III-59 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group VI – Properties held by the Group for future development in the PRC
Market value in Particulars of existing state as at Property Description and tenure occupancy 31 July 2015
22. Development site The property comprises the The property is RMB44,000,000 for Block No. 28 of development site for proposed Block vacant site. Phase V of Weiye No. 28 of Phase V of Weiye Central (100% interest Central Park, Park which will be erected on three attributable to the Pingyuan Road, parcels of land with a total site area of Group RMB44,000,000) Hongqi District, approximately 178,885.51 sq m. Xinxiang, Henan Province, Upon completion, the property will the PRC comprise a total planned gross floor area of approximately 30,182.00 sq m 中國河南省 with the details as follows: 新鄉市 紅旗區 Approximate 平原路 Use gross floor area 偉業中央公園五期28 (sq m) 號樓項目用地 Apartment 15,328.00 Retail 8,481.00 Non-civil Air 6,373.00 Defense Carpark (182 lots) Total 30,182.00
The property is held with land use rights for terms due to expire on 5 January 2077 and 5 January 2047 for residential and commercial use respectively. Notes: (1) According to three State-owned Land Use Rights Certificates issued by Xinxiang People’s Government, the land use rights of a total site area of 178,885.31 sq m have been vested in 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) with the details as follows:
Expiry date of Certificate No. Date of Issue Use Land Use Term Site Area
(sq m)
(2010)020345 22 December 2010 Commercial and Commercial: residential 5 January 2047 Residential: 5 January 2077 82,368.40 (2011)02014 9 November 2011 Commercial and Commercial: residential 5 January 2047 Residential: 5 January 2077 68,204.70 (2015)02018 26 June 2015 Commercial and Commercial: residential 5 January 2047 Residential: 5 January 2077 28,312.41
Total 178,885.51
III-60 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(2) According to the Grant Contract of State-owned Land Use Rights No. 2006-77 entered into between Xinxiang Land and Resources Bureau and 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) on 29 December 2006, the land use rights comprising a site area of approximately 205,517.55 sq m have been granted to 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) at a premium of RMB188,048,360.
According to Supplementary Agreement of Grant Contract of State-owned Land Use Rights (No. 2006-77-2), the Land right owner has been changed into 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) dated 11 April 2007. The site area has been changed into 178,886.3 sq m at a premium of RMB176,863,235 dated 14 February 2011. (3) According to Planning Permit for Construction Use of Land No. 20070011 issued by Xinxiang Urban Planning Bureau, the construction sites of land with a total site area of 249,004.99 sq m are in compliance with the urban planning requirements and have been approved.
(4) According to Business License No. 410791100020583 dated 3 April 2007, 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) was established as a limited liability company with a registered capital of RMB75,000,000. (5) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
(ii) 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd.) is the sole legal land user of the property; (iii) A portion of the property is subject to a mortgage. Under such mortgage contract, Xinxiang Weiye Property Co., Ltd cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and
(iv) 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) has the right to freely lease, transfer, mortgage and dispose of the land use rights of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (6) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Business License Yes
III-61 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE Group VI – Properties held by the Group for future development in the PRC
Market value in Particulars of existing state as at 31 Property Description and tenure occupancy July 2015
23. Development site The property comprises the The property is RMB100,000,000 for Phase V development site for Phase V of vacant site. of Weiye Weiye Central Park with a site area of (100% interest Central Park, approximately 28,312.41 sq m. attributable to the Group Pingyuan Road, RMB100,000,000) Hongqi District, As advised by the Group, Phase V of Xinxiang, Weiye Central Park will be developed Henan Province, into a residential and commercial the PRC development with a planned total gross floor area of approximately 中國河南省 103,432.88 sq m with details as 新鄉市 follows: 紅旗區 平原路 Approximate 偉業中央公園五期項 Use gross floor area 目用地 (sq m) Residential 71,611.39 Retail 3,359.78 Others 2,441.66 Non-civil Air Defense Carpark (860 lots) 26,020.05 Total 103,432.88
The property is held with land use rights for terms due to expire on 5 January 2047 and 5 January 2077 for commercial and residential use respectively.
Notes: (1) According to the State-owned Land Use Rights Certificate No. (2015)02018 issued by People’s Government of Xinxiang, the land use rights of a parcel of land with a site area of 28,312.41 sq m have been vested in 新鄉偉 業置地有限公司 (Xinxiang Weiye Property Co., Ltd) for residential use due to expire on 5 January 2077 and for commercial use due to expire on 5 January 2047. (2) According to the Grant Contract of State-owned Land Use Rights No. 2006-77 entered into between Xinxiang Land and Resources Bureau and 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) on 29 December 2006, the land use rights comprising a site area of approximately 205,517.55 sq m have been granted to 河南偉業建設投資有限公司 (Henan Weiye Construction Investment Co., Ltd.) at a premium of RMB188,048,360. According to Supplementary Agreement of Grant Contract of State-owned Land Use Rights (No. 2006-77-2), the Land right owner has been changed into 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) dated 11 April 2007. The site area has been changed into 178,886.3 sq m at a premium of RMB176,863,235 dated 14 February 2011. (3) According to Planning Permit for Construction Use of Land No. 20070011 issued by Xinxiang Urban Planning Bureau, the construction sites of land with a total site area of 249,004.99 sq m are in compliance with the urban planning requirements and have been approved. (4) According to Business License No. 410791100020583 dated 3 April 2007, 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) was established as a limited liability company with a registered capital of RMB75,000,000. (5) We have been provided with a legal opinion on the property prepared by the Company’s PRC legal adviser, which contains, inter alia, the following information:– (i) The State-owned Land Use Rights Certificates of the property are valid, legal and enforceable under the PRC laws;
III-62 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
(ii) 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd.) is the sole legal land user of the property; (iii) A portion of the property is subject to a mortgage. Under such mortgage contract, Xinxiang Weiye Property Co., Ltd cannot lease, transfer, mortgage and dispose of the property without prior consent from the mortgagee; and
(iv) 新鄉偉業置地有限公司 (Xinxiang Weiye Property Co., Ltd) has the right to freely lease, transfer, mortgage and dispose of the land use rights and building ownership of the property provided that where any of the property has been mortgaged, the Group has to discharge the mortgage or obtain the mortgagee’s consent in advance. (6) In accordance with the information provided by the Group, the status of title and grant of major approvals and licenses are as follows:
Grant Contract of State-owned Land Use Rights Yes State-owned Land Use Rights Certificate Yes Planning Permit for Construction Use of Land Yes Business License Yes
III-63 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
VALUATION CERTIFICATE
Group VII – Properties leased and occupied by the Group in the PRC
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
24. Unit 110013, 11/F, The property comprises a unit with a gross floor area of 177.74 No commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to 河南偉 Jinshui District, 業建設開發集團有限公司 (Henan Weiye Construction Zhengzhou, Development Group Co., Ltd) for a lease term commencing from Henan Province, 1 January 2015 to 31 December 2015 at a prevailing annual the PRC rental of RMB81,636.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層房間號 on both parties. 110013
25. Unit 110020, 11/F, The property comprises a unit with a gross floor area of 136.44 No Commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to 河南偉 Jinshui District, 業建設開發集團有限公司 (Henan Weiye Construction Zhengzhou, Development Group Co., Ltd) for a lease term commencing from Henan Province, 1 January 2015 to 31 December 2015 at a prevailing annual the PRC rental of RMB62,244.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層房間號 on both parties. 110020
26. Unit 110021, 11/F, The property comprises unit with a gross floor area of No Commercial Value Block No. 5 north of 132.54 sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, Jinshui The property is leased from an independent third party to 河南偉 District, 業建設開發集團有限公司 (Henan Weiye Construction Zhengzhou, Development Group Co., Ltd) for a lease term commencing from Henan Province, 1 January 2015 to 31 December 2015 at a prevailing annual the PRC rental of RMB60,816.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層房間號 on both parties. 110021
III-64 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
27. Unit 5, Block No. The property comprises a unit with a gross floor area of 354.84 No Commercial Value 19, No. 9 Jingnan sq m. 3rd Road, Economic and The property is occupied by the Group as office. Technology Development Zone, The property is leased from an independent third party to 河南偉 Zhengzhou, 業建設開發集團有限公司 (Henan Weiye Construction Henan Province, Development Group Co., Ltd) for a lease term of 20 years the PRC commencing from 1 April 2013 at nil rental.
鄭州市經濟技術開發 According to the PRC legal opinion, the lease has not been 區經南三路9號19號 registered in the relevant authority but is legal, valid and binding 樓5號 on both parties.
28. 3 units, west of The property comprises 3 units with a gross floor area of No Commercial Value Village Committee 60 sq m. of Er Shi Li Pu, Baisha Town, The property is occupied by the Group as office. Zhongmu County, Zhengzhou, The property is leased from an independent third party to 鄭州黛 Henan Province, 瑪仕實業有限公司 (Zhengzhou Daimashi Enterprise Co., Ltd) for a the PRC lease term commencing from 1 January 2012 to 31 December 2022 at nil rental. 鄭州市中牟縣白沙鎮 二十裡鋪村委院西一 According to the PRC legal opinion, the lease has not been 排三間房屋 registered in the relevant authority but is legal, valid and binding on both parties.
29. A unit of The property comprises a unit with a gross floor of 80 sq m. No Commercial Value Zhongmu Industrial Zone The property is occupied by the Group as office. Administration Committee, The property is leased from an independent third party to 河南天 No. 119 Zhengkai 道資產管理有限公司 (Henan Tiandao Assets Management Co., Avenue, Ltd.) for long-term use at nil rental. Zhengzhou, Henan Province, According to the PRC legal opinion, the lease has not been the PRC registered in the relevant authority but is legal, valid and binding on both parties. 鄭州市鄭開大道119 號中牟產業園區管理 委員會辦公樓
30. 5/F of Henan Yijia The property comprises a unit with a gross floor area of 400 sq No Commercial Value Environmental m. Protection Co., Ltd, No. 6 Yongxing The property is occupied by the Group as office. Road, Yangkui Industrial Zone, The property is leased from an independent third party to 河南興 Zhengzhou, 偉置業有限公司 (Henan Xingwei Property Co., Ltd) for a lease Henan Province, term commencing from 4 December 2012 to 3 December 2015 at the PRC a prevailing annual rental of RMB40,000.
鄭州楊槐工業區永興 According to the PRC legal opinion, the lease has not been 路6號河南宜家環保 registered in the relevant authority but is legal, valid and binding 有限公司五樓 on both parties.
III-65 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
31. Unit 703 and The property comprises two units with a total gross floor area of No Commercial Value Unit 704, 7/F, 90 sq m. No. 9 Yongxing Road, The property is occupied by the Group as office. Jinshui District, Zhengzhou, The property is leased from an independent third party to 河南興 Henan Province, 偉置業有限公司 (Henan Xingwei Property Co., Ltd) for a lease the PRC term commencing from 8 November 2012 to 8 November 2017 at a prevailing annual rental of RMB12,000. 鄭州市金水區永興路 9號七層703、704 According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
32. A unit of The property comprises a unit with a gross floor area of 496.65 No Commercial Value Block No. 14, sq m. No. 150 Huozhan Street, The property is occupied by the Group as office. Guancheng Huizu District, The property is leased from an independent third party to 河南漢 Zhengzhou, 偉置業有限公司 (Henan Hanwei Property Co., Ltd) for a lease Henan Province, term commencing from 2 December 2014 to 1 December 2017 at the PRC a prevailing annual rental of RMB10,000.
鄭州市管城回族區貨 According to the PRC legal opinion, the lease has not been 棧街150號14號樓房 registered in the relevant authority but is legal, valid and binding 間 on both parties.
33. 10 units of Block The property comprises ten units with a gross floor area of 400 No Commercial Value No. 14, No. 150 sq m. Huozhan Street, Guancheng Huizu The property is occupied by the Group as office. District, Zhengzhou, The property is leased from an independent third party to 河南漢 Henan Province, 方藥業有限責任公司 (Henan Hanfang Yaoye Co., Ltd) for a lease the PRC term commencing from 2 December 2014 to 1 December 2017 at a prevailing annual rental of RMB1,000. 鄭州市管城回族區貨 棧街150號14號樓10 According to the PRC legal opinion, the lease has not been 套房屋 registered in the relevant authority but is legal, valid and binding on both parties.
34. Unit 110019, 11/F, The property comprises a unit with a gross floor area of 255.88 No Commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to Jinshui District, 金偉（河南）商貿有限公司 (Jinwei (Henan) Business and Zhengzhou, Commerce Co., Ltd) for a lease term commencing from Henan Province, 6 January 2015 to 6 January 2016 at a prevailing annual rental of the PRC RMB117,360.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層110019 on both parties.
III-66 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
35. Unit 110002, 11/F, The property comprises a unit with a gross floor area of 219.6 sq No Commercial Value Block No. 5 north of m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to Jinshui District, 金偉（河南）商貿有限公司 (Jinwei (Henan) Business and Zhengzhou, Commerce Co., Ltd) for a lease term commencing from Henan Province, 6 January 2015 to 6 January 2016 at a prevailing annual the PRC rental of RMB101,028.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層110002 on both parties.
36. Unit 110001, 11/F, The property comprises a unit with a gross floor area of 177.14 No Commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to Jinshui District, 金偉（河南）商貿有限公司 (Jinwei (Henan) Business and Zhengzhou, Commerce Co., Ltd) for a lease term commencing from Henan Province, 6 January 2015 to 6 January 2016 at a prevailing annual the PRC rental of RMB81,636.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層110001 on both parties.
37. Unit 110003, 11/F, The property comprises a unit with a gross floor area of 116.28 No Commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to Jinshui District, 金偉（河南）商貿有限公司 (Jinwei (Henan) Business and Zhengzhou, Commerce Co., Ltd) for a lease term commencing from Henan Province, 6 January 2015 to 6 January 2016 at a prevailing annual the PRC rental of RMB73,980.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層110003 on both parties.
38. Unit 110015, 11/F, The property comprises a unit with a gross floor area of 175.62 No Commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to Jinshui District, 金偉（河南）商貿有限公司 (Jinwei (Henan) Business and Zhengzhou, Commerce Co., Ltd) for a lease term commencing from Henan Province, 6 January 2015 to 6 January 2016 at a prevailing annual the PRC rental of RMB80,616.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層110015 on both parties.
III-67 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
39. Unit 110011, 11/F, The property comprises a unit with a gross floor area of 265.88 No Commercial Value Block No. 5 north of sq m. Shangcheng East Road, The property is occupied by the Group as office. West of Shangmao Road, The property is leased from an independent third party to Jinshui District, 金偉（河南）商貿有限公司 (Jinwei (Henan) Business and Zhengzhou, Commerce Co., Ltd) for a lease term commencing from Henan Province, 6 January 2015 to 6 January 2016 at a prevailing annual the PRC rental of RMB122,052.
鄭州市金水區商城東 According to the PRC legal opinion, the lease has not been 路北、商貿路西5號 registered in the relevant authority but is legal, valid and binding 樓11層110011 on both parties.
40. 11/F of Block No. 5, The property comprises the 11/F of Block No. 5 with a gross floor No Commercial Value Ru Guo Ai, area of 1,476.16 sq m of Ru Guo Ai. No. 50 Yingxie Road, The property is occupied by the Group as office. Jinshui District, Zhengzhou, The property is leased from an independent third party to 河南偉 Henan Province, 業建設開發集團有限公司 (Henan Weiye Construction the PRC Development Co., Ltd) for a lease term commencing from 1 August 2015 to 30 July 2016 at a prevailing annual rental of 鄭州市金水區 英協路 RMB1,062,835. 50號 如果 • 愛5號樓 11層 According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
41. 4 units, No. 1 The property comprises 4 units with a gross floor area of No Commercial Value Wansheng Road, 80 sq m. Jinming District, Kaifeng, The property is occupied by the Group as office. Henan Province, the PRC The property is leased from an independent third party to 河南薈 邦置業有限公司 (Henan Huibang Property Co., Ltd) for a lease 開封市金明區萬聖路 term commencing from 1 August 2007 to 31 July 2017 at nil 1號4間房屋 rental.
According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
42. 3 units, No. 1 The property comprises 3 units with a gross floor area of No Commercial Value Dong’an Alley, 92 sq m. No. 250 Pingyuan Road, The property is occupied by the Group as office. Hongqi District, Xinxiang, The property is leased from an independent third party to 新鄉偉 Henan Province, 業置地有限公司 (Xinxiang Weiye Property Co., Ltd) for a lease the PRC term commencing from 28 February 2015 to 28 February 2020 at nil rental. 新鄉市紅旗區平原路 東安巷1號 According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
III-68 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
43. Unit C, 22/F, The property comprises a unit with a gross floor area of 30 sq m No commercial Value Dihao Building, of Dihao Building. No. 2 Longkun West Road, The property is occupied by the Group as office. Haikou, Hainan Province, The property is leased from an independent third party to 海南宏 the PRC 基偉業諮詢管理有限公司 (Hainan Hongji Weiye Consulting Management Co., Ltd) for a lease term commencing from 31 海口市龍昆北路2號 August 2015 to 30 August 2018 at a prevailing monthly rental of 帝豪大廈第22層C座 RMB1,000.
According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
44. Unit 7G of Xiang Di The property comprises a unit with a gross floor area of 95 sq m No Commercial Value Ge, C1, of Jinyu Wanpan. Jinyu Wanpan, Lijing Road, The property is occupied by the Group for residential use. Haikou, Hainan Province, The property is leased from an independent third party to 偉業控 the PRC 股海南地產有限公司 (Weiye Holdings Hainan Real Estate Co., Ltd) for a lease term commencing from 18 November 2014 to 海口市麗晶路金域灣 10 November 2015 at a prevailing monthly rental of RMB3,492. 畔C1香堤閣7G According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
45. Unit 17E, The property comprises a unit with a gross floor area of 138 sq m No Commercial Value Block No. 5, of Zhidi Garden. Zhidi Garden, No. 2 Mingzhu Road, The property is occupied by the Group for residential use. Jinmao District, Haikou, The property is leased from an independent third party to 偉業控 Hainan Province, 股海南地產有限公司 (Weiye Holdings Hainan Real Estate Co., the PRC Ltd) for a lease term commencing from 4 December 2014 to 3 December 2015 at a prevailing monthly rental of RMB3,810. 海口市金貿區明珠路 2號置地花園小區5棟 According to the PRC legal opinion, the lease has not been 17E registered in the relevant authority but is legal, valid and binding on both parties.
46. Unit 23A, The property comprises a unit with a gross floor area of 160 sq m No Commercial Value Block No. 5, of Zhidi Garden. Zhidi Garden, No. 2 Mingzhu Road, The property is occupied by the Group for residential use. Haikou, Hainan Province, The property is leased from an independent third party to 偉業控 the PRC 股海南地產有限公司 (Weiye Holdings Hainan Real Estate Co., Ltd) for a lease term commencing from 15 November 2014 to 海口市金貿區明珠路 14 November 2015 at a prevailing monthly rental of RMB4,762. 2號置地花園小區5棟 23A According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
III-69 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
47. Unit S405-C, The property comprises a unit with a gross floor area of 10 sq m No Commercial Value Investment and of Haikou Bonded Area. Services Centre Haikou Bonded The property is occupied by the Group as office. Area, No. 168 Nanhai The property is leased from an independent third party to 偉業控 Avenue, 股海南地產有限公司 (Weiye Holdings Hainan Real Estate Co., Haikou, Ltd) for a lease term commencing from 18 February 2015 to Hainan Province, 17 February 2016 at nil rental. the PRC According to the PRC legal opinion, the lease has not been 海口市南海大道168 registered in the relevant authority but is legal, valid and binding 號海口保稅區投資服 on both parties. 務中心S405-C
48. 6/F and 7/F, The property comprises various units of 6/F and 7/F of Yihai No Commercial Value Yi Hai Building, Building with a total gross floor area of 756.96 sq m. No. 47 south of Wuxi Road, The property is occupied by the Group as office. Haidian Island, Hainan Province, The property is leased from an independent third party to 偉業控 the PRC 股海南地產有限公司 (Weiye Holdings Hainan Real Estate Co., Ltd) for a lease term commencing from 19 May 2015 to 18 May 海甸島五西路南側47 2018 at a prevailing monthly rental of RMB15,000. 號銥海樓第六、七層 According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
49. No. 114 Xinjian The property comprises a unit with a total gross floor area of 25 No Commercial Value 3rd Road, sq m. Tuichang County, Hainan Province, The property is occupied by the Group as office. the PRC The property is leased from an independent third party to 屯昌宏 屯昌縣新建三路114 基偉業地產發展有限公司 (Tunchang Hongji Weiye Property 號 Development Co., Ltd) for a lease term commencing from 31 August 2015 to 30 August 2018 at a prevailing monthly rental of RMB300.
According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
50. No. 115 Xinjian The property comprises a unit with a total gross floor area of 25 No Commercial Value 3rd Road, sq m. Tuichang County, Hainan Province, The property is occupied by the Group as office. the PRC The property is leased from an independent third party to 屯昌雅 屯昌縣新建三路115 境置業有限公司 (Tunchang Yajing Property Co., Ltd) for a lease 號 term commencing from 31 August 2015 to 30 August 2018 at a prevailing monthly rental of RMB300.
According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
III-70 THIS DOCUMENT IS IN DRAFT FORM, INCOMPLETE AND SUBJECT TO CHANGE AND THAT THE INFORMATION MUST BE READ IN CONJUNCTION WITH THE SECTION HEADED “WARNING” ON THE COVER OF THIS DOCUMENT.
APPENDIX III PROPERTY VALUATION REPORT
Market value in existing state as at Property Description and tenancy particulars 31 July 2015
51. No. 87 Wenjian The property comprises a unit with a gross floor area of 20 sq m. No Commercial Value West Road, Mayuanpo, The property is occupied by the Group as office. Wencheng Town, Wenchang, The property is leased from an independent third party to 海南宏 Hainan Province, 基偉業房地產開發有限公司 (Hainan Hongji Weiye Property the PRC Development Co., Ltd) for a lease term commencing from 28 August 2015 to 27 August 2018 at a prevailing monthly rental of 文昌市文城鎮馬園坡 RMB600. 文建西路87號 According to the PRC legal opinion, the lease has not been registered in the relevant authority but is legal, valid and binding on both parties.
52. Unit 2502, 25/F, The property comprises a unit with a gross floor area of 58 sq m. No Commercial Value Tongmao Building, No. 357 Songlin The property is occupied by the Group as office. Road, Pudong New The property is leased from an independent third party to 優多商 District, 貿（上海）有限公司 (Youduo Business and Commerce Shanghai, (Shanghai) Co., Ltd) for a lease term commencing from 1 the PRC January 2014 to 31 December 2016 at a prevailing annual rental of RMB249.4. 上海市浦東新區松林 路357號通茂大廈25 According to the PRC legal opinion, the lease has not been 樓2502室 registered in the relevant authority but is legal, valid and binding on both parties.
53. 13/F, Office The property comprises the 13/F of an office building with a No Commercial Value Building No. 2, gross floor area of 1,300.83 sq m. Cultural and Innovative The property is occupied by the Group as office. Industrial Zone, Shenzhen The property is leased from an independent third party to Broadcasting, 英德（深圳）環保科技有限公司 (Yingde (Shenzhen) Film and Television Environmental Protection Technology Co., Ltd) for a lease term Group, Longhua commencing from 16 May 2015 to 15 May 2020 at a prevailing Office, Longhua monthly rental of RMB46,829.88. New District, Shenzhen, According to the PRC legal opinion, the lease has not been Guangdong registered in the relevant authority but is legal, valid and binding Province, on both parties. the PRC
深圳市龍華新區龍華 辦事處深圳廣播電影 電視集團文化創意產 業園2#辦公樓13層
54. Unit #01-06, The property is part of five-storey and six-storey warehouse No Commercial Value 8 Pandan Crescent buildings with a gross floor area of 8,600.44 sq ft. Singapore 128464 The property is occupied by the Group as office.
The property is leased from an independent third party to Eindec Singapore PTE. Ltd for a lease term expired on and including 28 February 2018 at a prevailing monthly rental of S$15,480.79 and a service charge of S$1,720.09 per month.
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