Australia-based investment fund Macquarie Real Estate Asia is the latest foreign fund to cash in its real estate investment in Hong Kong as retail property prices surge.
The fund has put a three-storey commercial podium in one of the city's most expensive streets up for public tender. The 22,642 square foot podium is at 8 Russell Street in Causeway Bay.
Last month, Australia-based Lend Lease put a 56-flat luxury residential tower up for public tender, while British developer Grosvenor sold its first Asian residential development, Grosvenor Place, in Repulse Bay, for $939 million.
Craig Wallace, Macquarie Real Estate Asia's managing director, said the target was to sell the property for between $500 million and $600 million.
'We are selling the property because it has reached our fund's preset return hurdle,' Mr Wallace said.
The fund has properties worth $1.5 billion (current valuation) in Hong Kong, including the commercial podium and some serviced apartment blocks.
The property was Macquarie's first investment in Hong Kong.