Topic
Hysan Development is a property investment, management and development company with extensive properties in Causeway Bay, where the company is the largest commercial landlord. It listed on the Hong Kong Stock Exchange in 1981.
- Swire Properties says retail sales at some shopping centres are back at pre-pandemic levels, while Hysan Development reports rising tenant revenue
- However, the office market is lagging as high vacancy rates continue
Hong Kong’s retail sector is yet to see full impact of the border reopening, while a supply glut will weigh on the office market, Hysan Development’s executives say.
Hysan Development will spend HK$2 billion (US$256.2 million) to upgrade its Lee Gardens commercial portfolio in Hong Kong’s Causeway Bay and turn it into a one-stop luxury shopping destination.
As in the years from 1997 to 2003, a struggling housing market, slowing economy and surging interest rates are making the debt levels of the city’s home builders a cause for concern.
The outlook remains uncertain due to global economic woes, says Hysan’s Irene Lee, adding that Hong Kong needs to ease travel rules to maintain hub status.
Hong Kong’s property developers are extending favourable finance terms to luxury home deals, after big-ticket sales declined by almost half in July.
Alibaba has appointed Irene Lee Yun-lien, chairwoman of Hysan Development, and Albert Ng Kong-ping, former chairman of Ernst & Young China, to its board as it seeks to elevate its status on the Hong Kong bourse.
A high-rise office tower in Hong Kong’s bustling shopping district of Causeway Bay lets people grow their own aubergines and taros on a rooftop farm.
Centenary Investments Limited, a wholly-owned subsidiary of CK Asset Holdings, won two adjoining sites about eight minutes walk to the To Kwa Wan MTR Station for HK$5.99 billion (US$767.3 million), the Urban Renewal Authority said. The price was lower than the market expectation of HK$6 billion to HK$6.8 billion.
Two of Hong Kong’s biggest property developers and retail landlords have posted declining results and foresee more challenges ahead, as the city’s social distancing rules keep consumers away from shopping centres.
Hong Kong – one of the most-expensive real estate markets in the world – has consistently set record land sale prices in recent years.
Hysan is betting on the development potential of the up-and-coming East Siwenli neighbourhood in Shanghai.
Sales and footfall in shopping centres have increased with the government’s distribution of HK$5,000 (US$642.56) consumption vouchers to each Hongkonger this month ,and the easing of local Covid-19 cases.
The joint venture will acquire and operate shared-office operator IWG’s 32 existing locations and the Regus, Spaces and Signature brands in the Greater Bay Area.
With shares of Hong Kong developers clocking their best performance in four years thanks to the economic revival and renewed interest in property sales, analysts see further upside potential for the rest of the year.
The 286,140 sq ft site on Caroline Hill Road, the first to be offered in the area for tender since 1997, can yield a gross floor area of around 1.1 million sq ft.
Some 100 “ageing” office buildings in Hong Kong need to be refurbished to unlock their rental potential, as the Covid-19 pandemic changes market dynamics and tenant expectations, according to JLL.
Sun Hung Kai Properties, Hysan Development and Sino Land see profits at their hotel and shopping centre businesses tumble as travel restrictions keep visitors away.
Independent director Irene Lee to replace Raymond Ch’ien as chairman following Hang Seng Bank’s annual meeting in the second quarter.
Located in Causeway Bay, the Lee Theatre was an icon for generations of Hong Kong performers and audiences, until its doors were shut in 1991.
The world’s largest operator of serviced offices is taking floors 31 and 32 of Hysan Place which were abandoned by WeWork in April amid dwindling demand.
WeWork, the US operator of shared work spaces, has given up 182,000 sq ft in Causeway Bay and Tsim Sha Tsui, two of Hong Kong’s prime office districts, according to agents familiar with the matter.
Retailers and market observers say the proposals mall owners have come up with fall far short of what is needed to keep them in business.
The operator of Hysan Place and Lee Theatre shopping centres expects its tenants to adopt a wait-and-see attitude before they sign new leases.
Monthly rent of US$741 for 60 sq ft of co-working space in Hong Kong already the highest among 14 cities in Asia-Pacific.
Market observers have seen a 20 per cent increase in shoppers since the launch of the Hong Kong-Zhuhai-Macau Bridge and the new high-speed train service
Wharf Real Estate Investment reports 8pc rise in core profit, while Hysan Development posts a 4.3pc jump in underlying profit for the first six months
