Lotte Group has reportedly decided to sell the town complex it was building in Shenyang, Liaoning Province, China, to a subsidiary of Shenyang City. Eight years have passed since construction was halted due to retaliation against THAAD (Terminal High Altitude Area Defense).
According to related industries on the 25th, Lotte signed a stock purchase agreement with Shenyang Huanggosheng Footwear & Repair Co, Ltd, a subsidiary in Huanggo-gu, Shenyang City, to sell the complex town and is proceeding with the procedures related.
Lotte Town, Shenyang, China. / Provided by Lotte Holdings
Shenyang Lotte Complex Town is a project that Lotte has been pursuing since 2008. This is a project that Shin Dong-bin, Chairman of Lotte Group has followed with affection.
Lotte decided to build ‘Lotte Town’ here, including a department store, theme park, apartments and hotels, and has been working on it. The project was originally scheduled for completion in 2019, but construction was halted in December 2016 due to China’s THAAD retaliation.
Chinese authorities allowed construction to resume in April 2019, but Lotte delayed the resumption, then halted business and resorted to sales when COVID-19 broke out. In the process, the Shenyang Lotte Department Store, which opened in May 2014, closed six years after opening in April 2020.
Lotte was said to have been pursuing a plan to sell the town complex to a Chinese state-owned company early last year, but the deal did not go through.
Lotte has been running various businesses in China, but to retaliate against THAAD, it sold all Lotte Mart stores in China in 2018 and withdrew from the food manufacturing business in China in March 2019. Currently, a distribution store Lotte’s remaining in China is the Chengdu Department Store, and Lotte is also pursuing the sale of this store.
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