Reconstruction of Hutchison Building

The core area of ​​Jiasha has long lacked new supply, and the recent market focus is for Changshi (01113) to implement the reconstruction plan of Hutchison Building, which will be completed in 2023.

Floor area of ​​490,000 呎 185 parking spaces

Cheung Kong said recently that the reconstruction plan for the Hutchison Building in Central was officially launched in 2019 and is expected to be completed in 2023. The reconstructed Hutchison Building has a floor area of ​​over 490,000 square feet, a height of 41 floors and 185 parking spaces. According to the data, the Hutchison Building, completed in 1974, is located at No. 10, Xia’an Road, Central. It has a 23-storey building with a total floor area of ​​about 500,000 square feet.

Mr. Zhou Weijun, Executive Director of Cheung Kong, said that there was a shortage of commercial buildings in the core area of ​​Central. The market demand for office buildings in Hutchison Building was always strong. I believe that the redevelopment of Hutchison Building will enhance the valuation of the property, increase rental income and create value for shareholders. The post-Hutchison Building will continue to provide Grade A office floors with state-of-the-art equipment.

According to industry sources, the current supply of commercial buildings in Central is in short supply. The rents in the district have repeatedly broken. Currently, Chinese-funded institutions continue to open in Hong Kong and prefer Central. I believe that demand continues to increase and rents rise. It is expected that the rent after the redevelopment will be raised from the current 60 yuan to about 180 yuan.