Contract computer maker Clevo Co (藍天電腦) and property affiliate Hongwell Group (宏匯集團) yesterday shed more light on plans for a multibillion-dollar development project, saying they expect it to generate annual returns of 5 to 8 percent, better than interest income from bank deposits.
The local consortium is competing against a foreign team — consisting of Hong Kong’s Nan Hai Corp (南海控股) and Malaysian property developer Pavilion Group (柏威年集團) — for the Taipei Twin Towers development project near Taipei Railway Station.
Both contenders have passed qualification reviews, the Taipei City Government said in a statement on Tuesday, as many have raised concern over Chinese capital hiding behind either team.
Local insurers and developers, while expressing interest, have stayed away for fear of resistance from a few small private landowners, a problem that has plagued several urban renewal projects.
The city government said it would announce the winner by the end of this month after failing to auction the contract over the past 20 years.
Clevo chairman Kent Hsu (許崑泰) said his team intends to build a mixed-use complex featuring two towers of 56 and 76 stories that would house retail stores, movie theaters, office space, restaurants, hotel rooms and an observatory on the rooftop.
Office space would take up 63.84 percent of total floor space, while retail stores and hotel rooms would occupy the remaining 23.48 percent and 12.68 percent respectively, the team said.
International property broker Jones Lang LaSalle Inc (JLL) has said it plans to move its office in Taipei 101 to the new complex to take advantage of its proximity to the railway, high speed rail and MRT stations.
Hsu, who owns Chicony Electronics Co (群光電子) and the China-based Buynow (百腦匯) retail chain, said the development project would cost NT$60.6 billion (US$1.97 billion) and could be completed in four to six years.
The venture could start to generate a profit after nine to 10 years and recover the cost in 20 to 30 years, Hsu said.
“We have a long-term view for the project, which would be an environmentally friendly landmark in the region,” Hsu said.
The group has experience in joint ventures with the government, as it is responsible for three such projects in Taipei’s Neihu District (內湖) and New Taipei City’s Sinjhuang District (新莊).
The team would collaborate with US architecture and engineering firm Skidmore, Owings & Merrill LLP to build the complex and invite Hyatt Hotels Corp to run the hotel, Hsu said.
Shares in Taiwan closed at a new high yesterday, the first trading day of the new year, as contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) continued to break records amid an artificial intelligence (AI) boom, dealers said. The TAIEX closed up 386.21 points, or 1.33 percent, at 29,349.81, with turnover totaling NT$648.844 billion (US$20.65 billion). “Judging from a stronger Taiwan dollar against the US dollar, I think foreign institutional investors returned from the holidays and brought funds into the local market,” Concord Securities Co (康和證券) analyst Kerry Huang (黃志祺) said. “Foreign investors just rebuilt their positions with TSMC as their top target,
REVENUE PERFORMANCE: Cloud and network products, and electronic components saw strong increases, while smart consumer electronics and computing products fell Hon Hai Precision Industry Co (鴻海精密) yesterday posted 26.51 percent quarterly growth in revenue for last quarter to NT$2.6 trillion (US$82.44 billion), the strongest on record for the period and above expectations, but the company forecast a slight revenue dip this quarter due to seasonal factors. On an annual basis, revenue last quarter grew 22.07 percent, the company said. Analysts on average estimated about NT$2.4 trillion increase. Hon Hai, which assembles servers for Nvidia Corp and iPhones for Apple Inc, is expanding its capacity in the US, adding artificial intelligence (AI) server production in Wisconsin and Texas, where it operates established campuses. This
H200 CHIPS: A source said that Nvidia has asked the Taiwanese company to begin production of additional chips and work is expected to start in the second quarter Nvidia Corp is scrambling to meet demand for its H200 artificial intelligence (AI) chips from Chinese technology companies and has approached contract manufacturer Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) to ramp up production, sources said. Chinese technology companies have placed orders for more than 2 million H200 chips for this year, while Nvidia holds just 700,000 units in stock, two of the people said. The exact additional volume Nvidia intends to order from TSMC remains unclear, they said. A third source said that Nvidia has asked TSMC to begin production of the additional chips and work is expected to start in the second
US President Donald Trump on Friday blocked US photonics firm HieFo Corp’s US$3 million acquisition of assets in New Jersey-based aerospace and defense specialist Emcore Corp, citing national security and China-related concerns. In an order released by the White House, Trump said HieFo was “controlled by a citizen of the People’s Republic of China” and that its 2024 acquisition of Emcore’s businesses led the US president to believe that it might “take action that threatens to impair the national security of the United States.” The order did not name the person or detail Trump’s concerns. “The Transaction is hereby prohibited,”
RSS