KOWLOON Development Co will focus on enlarging its property investment portfolio after completing its flagship office and commercial complex Pioneer Centre in Mongkok. Executive director William Louey said the company would receive stable rental income of more than $200 million from the development, which was officially opened last weekend. With substantial cash flow, Kowloon Development was eyeing more investment opportunities, with some projects worth between $300 million and $500 million, Mr Louey said. The property investment firm's strategy was to acquire high-quality retail developments and luxury residential properties with relatively high investment returns. Mr Louey said the company had enlarged its investment portfolio by acquiring the fourth floor of the Sceneway Garden Shopping Arcade for $196 million. 'Rental income from the property is about $1.7 million per month, or an annual return of about 11 per cent,' he said. The company's existing portfolio consists mainly of commercial and retail properties, cinemas and car parks, with a total gross floor area of about 600,000 sq ft. It includes the 10 year-old Chong Kin Commercial Building in Mongkok. The 23-storey building provides 43,650 sq ft. Its flagship property, the Pioneer Centre, has 483,500 sq ft of floor space.
