Lee Garden Hysan Plaza sales increased by more than 30% in the first quarter

Hong Kong’s retail market continued to flourish. Lee Shinon and Hysan Place under Hysan Industrial (00014) recorded a 30% increase in retail sales in the first quarter, outperforming the market over the same period, and outperforming the same region. time Square.

This year, renewal of tenants will increase rents by more than 80%.

Hysan Shopping Mall performed well in the first quarter, but Chairman Li Yunlian is still cautious about the outlook. She said that although the retail market in Hong Kong is recovering, not all categories have been warmed up, and the performance of jewellery and watches has continued to improve.

He Shuren, chief financial officer, said that sales and people flow during the May Day Golden Week have double-digit growth, and about 33% to 35% of retail tenants in this year’s group need to renew their rents, and more than 80% of them have positive growth in rental renewals. . Currently, in the Hysan retailer portfolio, catering accounts for approximately 25% of the total retail area and revenue accounts for 10%. The Group has increased its revenue share to 15% by adjusting the tenant mix.

The third phase of Lee Garden was completed at the end of last year. At present, the occupancy rate of office buildings is over 95%, and retail stores are over 80%. It is expected that the Group will be able to generate 300 million to 350 million yuan of rental income for the Group next year.

Tai Po residential project expected to start in the second half of the year

In respect of property development, Chief Operating Officer Lu Weiwei pointed out that Hysan is 60% owned by the Luhui Road residential project in Tai Po and has now completed the design and is expected to start construction in the second half of the year and release it from 2020 to 2021, mainly for villas and low-density residential units. .

Mr. Hussein held an annual general meeting yesterday. A shareholder asked if the group would consider selling the residential business. Li Yunlian responded that the tenants at Zhulin Court are mainly foreigners and are undergoing refurbishment. The cost of refurbishment this year is about RMB 20 million to RMB 30 million. There are no sales plans.