Swire Properties (1972) reported on Thursday that occupancy in its Hong Kong office portfolio remained resilient as of the third quarter, up 1 percentage point to 92 percent compared to the end of 2025, as the city's active capital market lifted sentiment.
The occupancy at Pacific Place was recorded at 97 percent and Taikoo Place at 90 percent as of September 30, both improved 1 percentage point from the end of last year, the developer said.
However, rental reversions of Pacific Place and Taikoo Place were a decrease of 14 percent and 12 percent for the first nine months, respectively.
Negative rental reversions narrowed across both portfolios during the quarter, supported by stronger leasing activity, the group said, adding that market conditions have improved, with increased take up of space at Pacific Place contributing to higher rentals achieved on renewals and new lettings.
Regarding the retail portfolio, the group noted that its Hong Kong malls maintained 100 percent occupancy despite a more moderate consumer environment
Swire Properties mentioned that retail sales at Pacific Place and Citygate Outlets increased by 14.8 percent and 14 percent year-on-year, respectively, in the first nine months, outperforming the wider Hong Kong retail market.
Pacific Place retail sales exceeded previous peak levels, driven by its position as a leading luxury lifestyle destination and the strong performances from internationally renowned brands, particularly across watches, jewellery and luxury fashion sectors, according to the group.
In the mainland, its six malls continued to record positive year-on-year retail sales growth in the first nine months, among which Taikoo Li Sanlitun in Beijing, Taikoo Li Chengdu, HKRI Taikoo Hui and Taikoo Li Qiantan in Shanghai all recorded double-digit year-on-year retail sales growth over the same period.
Swire Properties said that its residential project THE HEADLAND RESIDENCES in Hong Kong saw more than 417 units sold to date and all typical one-bedroom units fully sold.
In Shanghai, Lujiazui Taikoo Yuan Residences has sold 90 percent of units, with a penthouse unit fetching approximately 170 million yuan (HK$200 million), reflecting strong buyer confidence in the development.
For the hotel sector, the group noted that the hotels continued to improve in the third quarter this year, adding that the continued recovery in leisure and business travel supported high occupancy and room rates at Upper House Hong Kong and EAST Hong Kong, while EAST Miami continued to perform exceptionally well.
