McDonald’s sells Causeway Bay shop for HK$119 mln

McDonald’s has sold a prime retail property in Causeway Bay for about HK$119 million, marking the most expensive transaction among a batch of Hong Kong shop units the US fast-food giant has put on the market since last year.

The property, located at 46–54 Yee Wo Street, comprises the ground floor and the first two upper floors of the McDonald’s Building, with a total gross floor area of about 10,270 square feet. The sale price translates to around HK$11,558 per square foot.

The shop is currently leased to McDonald’s at a monthly rent of about HK$597,000, providing the new owner with a rental yield of roughly 6 percent.

McDonald’s began selling its eight retail properties in late July last year and has so far disposed of shops in Yuen Long, Mong Kok, Kennedy Town, Tsz Wan Shan, Tai Kok Tsui and now Causeway Bay. The six transactions have generated combined proceeds of about HK$490 million.

The company still owns shop properties at Star House in Tsim Sha Tsui and Tsuen Wan’s Market Street, which have yet to be sold.