Swire Properties (1972)'s occupancy rate at Pacific Place remained at 96 percent in the first quarter, though rents declined by 14 percent, the company's operating data showed on Friday.
Taikoo Place's overall occupancy rate remained at 89 percent, with rents down 14 percent, while One Island East and One Taikoo Place posted an occupancy rate of 91 percent, with rents falling 13 percent.
The company noted that the overall rent reversion rate remained negative in the first quarter, but these figures have yet to reflect the recent momentum in leasing activity. As market rental levels gradually stabilize, the negative rental reversion at Pacific Place is expected to narrow in the second half of the year.
The company stated that market sentiment continues to improve, with an active Hong Kong IPO market, and demand from the financial services sector is also showing signs of recovery, with tenants taking advantage of the favorable market environment to upgrade their office space.
On the retail front, Swire Properties reported strong growth at Pacific Place and Citygate Outlets, with retail sales rising 13.9 percent and 21.8 percent, respectively, while Cityplaza recorded a 3.4 percent increase.
The company said it remains optimistic about Hong Kong's retail market outlook for the rest of the year, but will continue to monitor the impact of geopolitical uncertainties and shifts in consumption patterns. It will continue to optimize its tenant mix and run attractive marketing campaigns to drive footfall and strengthen the overall appeal of its malls.
In mainland China, Swire Properties reported that office occupancy rates are all above 90%, and all retail projects recorded year on year retail sales growth in the first quarter.
Among them, Shanghai HKRI Taikoo Hui recorded retail sales growth of 81.5 percent, while Beijing Taikoo Li Sanlitun, Guangzhou Taikoo Hui, Chengdu Taikoo Li, and Shanghai Taikoo Li Qiantan all posted double-digit year on year increases in retail sales.
𝗗𝗼𝘄𝗻𝗹𝗼𝗮𝗱 𝗧𝗵𝗲 𝗦𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝗔𝗽𝗽 ↓
