Leading today’s Hong Kong real estate news, more hotels are being converted to co-living space in search of greater rental yields, and the government is casting about for solutions to relieve the city’s housing crisis, including build flats at a container port. And Wang On Properties is willing to find out if the market is ready for a commercial building in Mong Kok, so keep reading for all these stories and more.
An increasing number of hotels in Hong Kong’s non-core tourist areas are toying with the idea of converting their properties to co-living spaces as they face challenges from the changing travel pattern of young professionals and a drop in mainland tourists, say industry experts.
“Hotels converting to co-living use can become a trend,” said Alvin Leung, associate director of valuation advisory services at JLL. Read more>>
A 65-hectare (161 acres) container terminal near Tuen Mun in Hong Kong’s northwest could be a site for 22,000 new flats to ease the city’s housing crisis. The idea of developing the site was to be discussed on Tuesday at a meeting of a task force advising the government on land supply.
The scale of the proposed development would be similar to Taikoo Shing, the popular housing estate in Quarry Bay on Hong Kong Island. Read more>>
Wharf Real Estate Investment Company (Wharf REIC) reported today net profit increased by 74 percent to HK$17.2 billion ($2.2 billion) for the full year 2017, compared with HK$9.91 billion ($1.3 billion) in the year before.
Net profit includes investment property revaluation surplus and other accounting gains and losses. Basic earnings per share were HK$5.67, from HK$3.27 per share in 2016. Read more>>
Revenues of Harbour City, excluding hotels, increased by 5 percent to HK$9.44 billion ($1.2 billion), while operating profit for 2017 grew by 6 percent to HK$8.31 billion ($1.1 billion) for 2017, Wharf REIC reported.
Retail increased by 9.1 percent mainly as a result of continuous recovery in luxury brands, the company said. The occupancy rate was 96 percent at year-end. Read more>>
Wang On Properties is selling a commercial building at 575-575A Nathan Road, Mong Kok. The 19-storey building has a floor area of 25,431 square feet (2,363 square metres). The first seven floors are leased to restaurants, while the remaining floors (including ground floor) are occupied by shops.
The sale includes the naming rights of the building. CBRE and Centaline are brokering the sale, and the tender deadline is March 28. Read more>>