HANG LUNG GROUP(HK:00010) 第一财经·2025-11-20 07:12Core Viewpoint - The article discusses the upcoming transformation of the Meilong Town Plaza in Shanghai, which has been under scrutiny since its closure in August 2024. The operational rights are expected to be acquired by Hang Lung Group, with plans for significant redevelopment to enhance the commercial landscape of the area [3][4][6]. Group 1: Project Overview - The Meilong Town Plaza is located in the core commercial area of Nanjing West Road, with a total construction area of approximately 125,000 square meters, consisting of three underground levels and thirty-three above-ground levels. The renovation is set to begin in 2025 and is expected to take three years [6][9]. - The project aims to elevate the regional commercial capacity and establish an international consumption center in the "billion-dollar" commercial district [6][9]. Group 2: Partnership and Investment - Hang Lung Group's subsidiary, Hangyi Commercial Management (Shanghai) Co., Ltd., has been recommended as the commercial operation partner for the project, with plans to form a joint venture for operational management [6][9]. - The joint venture will be responsible for managing commercial, hotel, and office operations, with a minimum commercial area of 50,000 square meters. The commercial section is expected to open in early 2027, while the hotel and office spaces are projected to be operational by May 2028 [9][10]. - A minimum investment of 500 million yuan is required for the renovation of the hotel, shopping mall, and office areas, with the Shanghai Jiubai Group also contributing based on the final shareholding ratio [9][10]. Group 3: Strategic Implications - Following the completion of the Meilong Town Plaza renovation, Hang Lung Group's total managed commercial area on Nanjing West Road will approach 120,000 square meters, enhancing its competitive position in the market [10]. - In addition to acquiring the Meilong Town Plaza, Hang Lung Group has also secured a 20-year operational right for the Hangzhou Department Store, with a total rent of approximately 3.3 billion yuan, reflecting its strategy to expand project scale and visibility [10].