Hang Lung’s Ronnie Chan Retiring, Son Adriel Taking Over Chairman Spot at Hong Kong Builder

The third generation is taking the helm at one of Hong Kong’s oldest and largest property developers, with Hang Lung Properties on Tuesday announcing the appointment of Adriel Chan as chairman to succeed his father, Ronnie Chan, who is retiring.

Currently filling the role of vice chairman, the 41-year-old Adriel Chan will assume the chairmanship of the blue-chip builder and its parent Hang Lung Group after the conclusion of annual general meetings to be held on 26 April, according to a filing with the Hong Kong stock exchange.

Ronnie Chan after retirement will not take up a non-executive director role on the boards, which instead will bestow upon him the title of honorary chairman. He said his son’s appointment had been carefully planned and was the culmination of a long succession guided by the boards.

“Throughout his tenure, Adriel has demonstrated exceptional leadership qualities through the execution of our strategic vision, successfully delivering multiple critical projects, and championing sustainability initiatives,” the outgoing chairman said in a release. “I have full confidence in Adriel, who will inject a new wave of energy into the legacy that my father, Mr Chan Tseng-hsi, founder of Hang Lung, and I have built, and I am sure that he will take the companies to new heights.”

Third Generation’s Ascent

Adriel Chan’s elevation came into focus in September 2020, when he was named vice chairman of the two Hang Lung companies after joining the boards four years earlier. That promotion came on the heels of Hang Lung Properties’ purchase of a US government property on Hong Kong’s Shouson Hill Road, where two years later the developer would receive approval to build a HK$5 billion ($637 million) villa project on the site.

The scion is credited with being among the stewards of Hang Lung Properties’ 66 portfolio of mixed-use properties, including Shanghai’s Plaza 66, a landmark since its opening on West Nanjing Road in 2002.

The graduate of the University of Southern California said he was deeply grateful to his father for providing vision and leadership over the past five decades to set Hang Lung on a path of strong, stable growth.

“He has been instrumental in guiding and training me, which gives me confidence to take the reins at this unique time for our markets, and indeed, the world,” Adriel Chan said.

Ronnie Chan, 74, joined Hang Lung in 1972 and has led the group as chairman since 1991. His father founded Hang Lung in 1960 on the back of the family’s successful food processing operation.

Rental Revenue Growth

In 2023, Hang Lung Properties’ rental revenue rose by 3 percent to HK$10.3 billion while Hang Lung Group’s rental revenue rose 2 percent to HK$10.9 billion, according to a separate announcement on Tuesday.

Both the mainland China and Hong Kong portfolios recorded growth, with overall rental revenue from the mainland businesses of Hang Lung Properties and Hang Lung Group up 8 percent and 7 percent respectively. The Hong Kong portfolio recorded 2 percent growth in rental revenue.

“As we look to 2024, the ongoing geopolitical and economic challenges will continue bringing plenty of headwinds to our operations and business environment,” Ronnie Chan said. “We are firmly committed to our strong pipeline of projects, including the opening of the Grand Hyatt Kunming hotel, and phased completions at the award-winning Westlake 66 mixed-use development.”