China Developer to Sell London Project for HK$1 Plus Dollar Debt

Distressed Chinese developer Guangzhou R&F Properties Co. plans to sell a property project in London by asking to receive some of its dollar bonds and just HK$1 (13 cents) of cash.

The defaulted builder signed a letter of intent to sell the holding company of Market Towers at 1 Nine Elms Lane, according to a filing late Tuesday in Hong Kong. The mixed-used development is valued at £1.34 billion ($1.7 billion) and includes 437 residential units and a hotel, it said.

The Guangzhou R&F Properties Co. logo at Nine Elms in London.

Photographer: Chris Ratcliffe/Bloomberg

The buyer, a special purpose vehicle owned by Chinese real estate tycoon Cheung Chung Kiu, chairman of ...