Plaza Hollywood, Wharf and Wheelock group's retail complex in East Kowloon, is expected to earn an annual rental income of at least $200 million, says Doreen Lee Yuk-fong, director of Harriman Leasing, the marketing arm for both companies.
Ms Lee said a well-known British retail outlet would sign a six-year lease to occupy 30,000 square feet of the 560,000 sq ft retail centre, Plaza Hollywood.
This would bring the space let to 80 per cent in the four-level complex, which is charging rental rates of $100 to $200 per sq ft a month.
'Rentals in general have been benefitting from improved retail sales since March as people's spending ability becomes stronger,' she said.
This view was also reflected in the leasing rates at another centre the company was handling,Times Square in Causeway Bay, where most of the 50 per cent of shop tenants whose contracts were due for renewal had entered into new agreements after a 25 per cent rise in their rents, she said.
Ms Lee said although the completion date for Plaza Hollywood had been delayed due to construction problems, her company had received no complaints from those who were committed to taking space.