3 Jul 2022

Media:

tfcaijing.com

Hong Kong developers become strongest “landlord” with annual mall sales reaching RMB 10 billion and long queues reappearing at luxury stores

Over the past two decades, Hong Kong developer have opened urban landmarks like Taikoo Li Sanlitun in Beijing and Taikoo Hui Guangzhou bringing marked changes to the Chinese Mainland's commercial real estate sector. In 2011, the opening of Taikoo Hui Guangzhou changed the city's commercial competition landscape and still holds an unassailable position. From early projects to the newly-opened HKRI Taikoo Hui and Taikoo Li Qiantan, Hong Kong companies have never stopped investing in Shanghai's commercial real estate sector. In Beijing, Swire Properties changed Chinese Mainland consumers' impression of traditional commercial projects with Taikoo Li Sanlitun.

During the epidemic, these high-quality commercial projects still performed well. Swire Properties, which has seven projects in the Chinese Mainland, generated a rental income of RMB 3.741 billion from the region's retail properties in 2021, up 29% year-on-year. Retail sales of Taikoo Hui Guangzhou rose by 33% – the highest among Swire Properties' projects – and its occupancy rate was 99%. In 2021, the sales of Taikoo Hui Guangzhou and Sino-Ocean Taikoo Li Chengdu exceeded RMB 10 billion, and RMB 9 billion respectively. The important position of Hong Kong developers in the Chinese Mainland's commercial real estate sector is closely related to their steady yet deliberate development pace and ongoing fine-tuning of their operational management. For instance, the development of Taikoo Hui Guangzhou took ten years while HKRI Taikoo Hui opened 15 years after the land parcel was acquired. Hong Kong developers also strive to turn malls into Internet-famous destinations. They launch various kinds of IP exhibitions, art exhibitions, and fashion shows to attract consumers.

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tfcaijing.com

3 Jul 2022