Archive for the ‘China Growth Development Inc. CGDI’ Category

China Growth Development Inc. (CGDI.OB) is “One to Watch”

Friday, November 7th, 2008

China Growth Development Inc. (CGDI) is known as the largest investor, owner and manager of commercial real estate in the capital city of Taiyuan, located in the Shanxi province of southern China. The company currently owns and manages 5,000 commercial units within its six well positioned shopping centers, which together service an urban population of 3.4 million people.

China Growth Development is focused on providing high-quality leasing opportunities for both retail and wholesale clients in convenient, modern shopping centers. The company aims to anticipate and satisfy the evolving needs of their retail and wholesale clients. Through this successful strategy, they have positioned themselves as a leader in commercial real estate leasing.

The Company has two main sources of revenue from its shopping mall leasing business: rental revenue and management services revenue. The company is poised for flourishing growth because of their location, strong management and proven innovation, and has a solid development program in place for additional commercial spaces in Taiyuan.

The company plans to use its working capital and proceeds of financings to fund future acquisition costs. In the near future, China Growth Development intends to acquire an additional 3 shopping centers as well as development rights to 3,000 square metric units of prime commercial land. With a portfolio valued at over US $60 million and over half of the market share in commercial leasing, China Growth Development is dedicated to defining the urban commercial landscape of Shanxi.

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Mixed Bag Apparent in 2Q Results from China Growth Development, Inc (CGDI.OB)

Thursday, August 28th, 2008

Net revenues for China Growth Development, Inc. (OTCBB: CGDI) were up about 8 percent over the same quarter last year to $3.73 million, but operating expenses increased 49 percent for the commercial real estate company in the same period to $2.55 million. About $880,000 of that was incurred in the closing of a reverse acquisition transaction, though the same financial report also stated that net income decreased about 64 percent to $1.15 million from the same quarter in 2007.

The company’s reverse merger was with China mall owner and operator, Taiyuwan Rongan Business Trading Company, Limited. TRBT shareholders became the majority shareholder of CGDI stock and the consolidated entity.

“We are pleased with our second quarter results,” said CGDI COO Ning Liu. “… We have a solid development program for additional commercial spaces in Taiyuan and we are optimistic that we will successfully acquire rights to a very valuable land bank. These valuable development rights are unlikely to be duplicated in Taiyuan, as it is not possible to create more land.”

Lui said future prospects looked positive based on four factors:
• Shopping centers in prime locations
• Employees with extensive commercial real estate experience
• Payment innovations to reduce accounts receivable, such as full lease-term prepayment
• Land banking to acquire additional popular and profitable land for future development.

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