Concern group urges Hong Kong government to buy five high vacancy malls back from Link Reit
Link Watch claims plan would cost HK$2.8 billion and be important first step in improving lives of residents in nearby public estates
A concern group has called on the government to buy back five shopping centres with high vacancy rates from the Link Reit in order to improve the lives of residents at public housing estates.
The Link’s management of malls and wet markets acquired from the government in 2005 has come under fire, with critics saying the company has been pushing up rents and driving out small businesses.
While the government recently identified the problem as one of three contentious issues it aimed to solve, the administration has been adamant that it will not use public funds to take over the real estate investment giant, stating that it would be too costly.
But Link Watch, a concern group that monitors the company, said the government should consider acquiring individual shopping centres as a solution to the problem.
Between May and July, the group identified 12 shopping centres operated by the Link that are in locations with no alternative malls nearby.
It found that the average vacancy rate at the centres was about 11 per cent.
Of the malls surveyed, the one on the Shun On Estate in Kwun Tong had the highest vacancy rate, with 28 per cent of shops standing empty.
