Hang Lung bets big on mainland property sector

Hang Lung Properties Ltd received more than half of its rental revenue in the fiscal year 2018 from projects in the Chinese mainland, and the executive director of the Hong Kong-based developer expects the ratio to grow further along with its business expansion there.

In its annual fiscal report of 2018, Hang Lung Properties reported that its eight projects in the Chinese mainland contributed HK$4.24 billion ($540.7 million) in rent to its HK$8.18 billion revenue, and Shanghai accounted for 65.9 percent of its total rental revenue generated from the mainland.

"We are positive toward the (Chinese) commercial property market in the long term. The Chinese mainland will continue to increase its weighting in our rental revenue, and will probably reach between 60 percent and 65 percent in five years," said Norman Chan, executive director, Hang Lung Properties Ltd.