Shengyang Investment (00174) subsidiary plans to sell New York land for 57 million US dollars

According to Zhitong Financial App, Shengyang Investment (00174) issued an announcement. On July 31, 2026 (US Eastern Time), the seller Second and Second Property LLC (an indirect wholly-owned subsidiary of the Company) and the buyer Moundfield Village LLC signed such sales agreements relating to the sale. According to these sales agreements, the seller conditionally agreed to the sale, and the buyer conditionally agreed to purchase the land at a cost of US$57 million, subject to and in accordance with (among others) the terms of such sales agreements.

The land is located at 42 2nd Avenue in Manhattan, New York, USA (together with the New York City Housing Conservation and Development Authority issuing a floor area compensation transfer certificate (certificate) for a total floor area of 20804.20 square feet of affordable housing (see certificate for definition)), and the seller directly holds 100% of the rights. The land was granted for mixed residential use and has a site area of approximately 14,000 square feet. The land is currently vacant, and there are no construction buildings on it.

The land was purchased to develop a residential project. Over the past few years, the Group has been exploring different plans and carrying out feasibility studies for the development of this land. However, due to economic conditions and their impact on the time and cost involved in developing this land, as well as conditions in the New York housing market, the Group has not implemented any plans. As a result, the land is currently vacant, and the land does not generate revenue or profit. At the same time, the Group incurred various expenses on this land, such as property taxes and maintenance costs. If implemented, the sale will help increase the Group's liquidity, particularly in a high interest rate environment and limited financing.