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Some Hong Kong banks refuse mortgages for China Vanke’s Le Mont project in Tai Po
Standard Chartered, one of the city’s three currency-issuing banks, and Chong Hing Bank were not accepting mortgage requests from potential homebuyers at Le Mont, according to property agents.
Standard Chartered declined to comment. Chong Hing Bank said in a statement that it mainly considers the mortgaged property’s value and quality together with the applicant’s repayment ability when evaluating mortgage loan applications.
Some potential buyers were also told by both these banks that they would not provide loans for the Le Mont project.
The position taken by Standard Chartered and Chong Hing Bank marks a fresh blow for Vanke. The one-time second-largest developer on the mainland faces nearly US$5 billion in debt maturities this year worsened by a years-long property downturn at home. Vanke is also likely to post a record net loss of 45 billion yuan (US$6.2 billion) for 2024.
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