Chinese authorities take over huge Evergrande football stadium in Guangzhou, riddled with debt (report)

Images courtesy of Gensler

Chinese authorities have taken over the Gensler-designed and under-construction Evergrande Guangzhou football stadium commissioned by indebted real estate developer Evergrande, which was set to become the world’s largest football stadium in terms of capacity, according to Reuters.

Citing a source with direct knowledge of the matter, Reuters reports this government will sell or take over the stadium, the construction of which stopped at least three months ago due to the Evergrande liquidity crisis.

If no buyer can be found for the stadium, ownership would be transferred to state-owned Guangzhou City Construction Investment Group (GCZI), the Reuters source said.

The 100,000-capacity pitch was to be the home of Chinese Super League team Guangzhou Evergrande.

Work on the stadium began in April 2020, at an estimated cost of $ 1.7 billion. It was to be completed by the end of 2022.

Government Affiliated Journal World time Last week reported that the stadium land had been reclaimed by the local government for auction, and that if no company submitted a bid, it would be transferred to GCZI, the third largest holder of Evergrande shares, at its reserve price.

Bloomberg reports that Evergrande’s share price fell 8.8% last week following the sale of shares at a discount by Chairman Hui Ka Yan.

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