23rd June 2026 – (Hong Kong) HSBC has moved to take control of the Sheraton Hong Kong Tung Chung Hotel and the adjoining Four Points by Sheraton, after owner Shimao Group failed to secure a buyer despite previously seeking as much as HK$6 billion for the property.
The twin‑hotel complex in Tung Chung, developed by mainland‑backed Shimao Group (0813), has formally become a foreclosed asset. Market sources say HSBC has appointed two receivers from global advisory firm AlixPartners to manage the takeover and subsequent arrangements. Among them is a Hong Kong‑based partner and managing director known for handling debt advisory and cross‑border restructuring assignments.
The move follows a reported default on a HK$4.5 billion loan linked to the project. Earlier this month, reports indicated that lending banks were in advanced discussions to appoint receivers in order to accelerate a disposal and recover outstanding funds. The original lending syndicate is understood to have included HSBC, Bank of China (Hong Kong) and Bank of East Asia. Entities connected to Shimao were said to have defaulted on the facility late last year.
The development, which opened in 2020 near Hong Kong International Airport, comprises 1,219 guest rooms, making it the city’s second‑largest hotel by room count. Operated by Marriott as a dual‑brand complex, it includes the 218‑room Sheraton, positioned as a five‑star offering, and the 1,001‑room Four Points by Sheraton, targeting the mid‑market segment. The property also features a retail podium known as T Bay, with a total gross floor area of about 610,000 square feet.
Shimao first placed the asset on the market in March 2023 with an asking price of no less than HK$6 billion. After failing to attract offers, the company reportedly cut the price to around HK$4.5 billion in late 2024. Despite the reduction, no transaction materialised, culminating in the lender’s decision to enforce its security.
