After multiple failures to find a qualified bidder, the fourth tendering of bids for Taipei's Living Mall took place on September 25th. Surprisingly, Core Pacific City Co. sold the property to an affiliated company in the auction for NT$37.2 billion.
Our subsidiary company, Ding-Yue Development Corp, had acquired Living Mall for NT$37.2 billion and 10,000.
After three failed attempts to draw any bidders, Living Mall opened its 4th bid on September 25th and the base price had downed to NT$34.2 billion which is 10 percent off its 1st bidding price. The winner was a re-investment company "Ding-Yue Development Corp." by the China Petrochemical Development Corp (CPDC), who is also a company under the Core Pacific Group, acquired the property for NT$37.2 billion and 10,000 with a premium rate of 8.77 percent. Another bidder was Highwealth Construction Corp., and was reported to have bid at NT$30 billion. People are now questioning this bid is simply a passing from one hand to another because CPDC is originally the biggest shareholder of the Living Mall with a 37 percent in shares.
CPDC said the property is a rare massive area in the east district of Taipei available for land development and has potential for creating value. The company plans to build four top-class commercial buildings and will start the demolition in the first quarter of next year. The buildings are estimated to be completed in 2023.
We plan to build top-class commercial buildings after tearing down the Living Mall. I think it could offer office spaces for thousands of workers and bring prosperity to the Zhong-Lun area. Also it will bring new opportunities to the central district of Taipei.
Living Mall is officially shutting down on November 30th, ending its 18 years of operation. Currently there are 120 employees and will be layoff with severance fee according to Labor Standard Law. Electronic vouchers which are equal to cash will be refunded to consumers.