Core Insights - Walmart's Sam's Club will open a new store in Huangpu District, Guangzhou, expected to launch in 2028, marking the first Sam's Club in the eastern center of Guangzhou [1][4][2] Group 1: Store Details - The planned Sam's Club will have a construction area of approximately 21,500 square meters and is set to begin construction in early 2026 [4] - This store aims to enhance the commercial capabilities and optimize the consumption structure in Huangpu District and the eastern part of Guangzhou [2][6] Group 2: Market Impact - The entry of Sam's Club is expected to provide differentiated shopping options for families in Huangpu District, promoting a new ecosystem of high-quality consumer life [6] - The store will focus on "selected products, excellent experience, and high value," aligning with the brand's philosophy of "better living at Sam's" [6] Group 3: Regional Development - Huangpu District is actively enhancing its commercial landscape, aiming to build a multi-core consumption scene to support Guangzhou's goal of becoming an international consumption center [7][18] - Recent developments in Huangpu include various commercial projects and the establishment of a diverse commercial ecosystem, contributing to the area's retail sales growth [14][20] Group 4: Economic Growth - Guangzhou's retail sales have consistently increased, with a projected growth of 19.9% in 2024 compared to 2020, supported by new consumption formats and vibrant economic activities [20] - The city has introduced measures to promote the "first store economy," resulting in the establishment of numerous new commercial entities and a significant increase in market participants [21]

值得一提的是，聚龙湾的公共区域也同日开放，公众可体验"珠江边、榕树下、古仓内"的生态景观与休 闲社交空间。 12月23日起，备受关注的广州聚龙湾太古里一期逐步开放！作为白鹅潭打造世界级商圈过程中首个开放 的地标商业，同时也是粤港澳大湾区首座太古里项目，一座融合了自然、人文与艺术的世界级滨水商业 地标正在揭开其神秘的面纱。 相关附件 此次在广州聚龙湾太古里首开区亮相的以快闪店、轻奢时尚以及餐饮品牌为主。12月23日首批开业的主 要为咖啡、茶饮及部分服装零售品牌，运动时尚品牌Lululemon、被称作中国"克罗心"的SMFK等将陆续 开业。 据了解，项目一期区域建筑面积约5万平方米，预计引进超过100家优质商户。业内十分关注的高奢商业 位于项目二期，预计2027年四季度揭幕，将引入国际品牌、多元化餐饮、时尚潮流零售、文化艺术等业 态。 ...

Group 1 - The core viewpoint of the report is that the company maintains its earnings forecast for Swire Properties (01972) and continues to rate it as outperforming the industry with a target price of HKD 23.8, reflecting a 30% discount to NAV, a 4.8% dividend yield for 2025, and a 10% upside potential [1] - The company is trading at a 36% discount to NAV and offers dividend yields of 5.3% and 5.5% for 2025 and 2026, respectively [1] - The company adopts a dividend policy of single-digit annual growth in DPS, and it is suggested to monitor the progress of property sales collections and asset disposals to support dividend payouts [1] Group 2 - Retail sales in mainland luxury shopping centers have shown a significant year-on-year increase, with notable projects like Shanghai Xinyi Swire and Beijing Sanlitun Taikoo Li recording retail sales growth of 42%, 8%, and 6% respectively for the first three quarters [2] - The company is benefiting as a consolidator in the mainland luxury market, with the effects of luxury brand store expansions and renovations becoming increasingly evident [2] - New projects such as Guangzhou Julong Bay Taikoo Li, Sanya Taikoo Li, and Xi'an Taikoo Li are under construction and are expected to open in 2025, 2026, and 2027 respectively [2] Group 3 - The rental rate for office buildings in Hong Kong remains resilient, with the company's office portfolio maintaining a high occupancy rate of 92% in Q3 2025, an increase of 1 percentage point quarter-on-quarter [3] - The demand for expansion from key tenants, such as FWD Hong Kong leasing 330,000 square feet in Taikoo Place for a 10-year lease, supports this stable occupancy rate [3] - Average rental adjustments for the company's office buildings in the first three quarters of 2025 have decreased by 13% to 15%, as the company prioritizes maintaining occupancy rates and long-term tenant relationships [3] Group 4 - Retail sales in Hong Kong's luxury and mass-market properties have shown a quarterly recovery, with Taikoo Place and Taikoo Shing recording year-on-year sales growth of 3.6% and 3.0% respectively for the first three quarters of 2025 [4] - This performance outperforms the overall Hong Kong retail sector, which saw a year-on-year decline of 1.0% [4] - The recovery is attributed to the low base effect and the company's active marketing efforts to attract a diverse and younger customer base [4]

Core Insights - The Guangzhou Liwan District is planning to construct a cross-river cable car project in the Bai'e Tan area, as indicated by a recent procurement announcement from China Resources [1][3] - The Bai'e Tan business district is one of the three major platforms being upgraded in Liwan District and is part of Guangzhou's initiative to cultivate five world-class landmark business circles [3] Group 1 - The procurement announcement for the Bai'e Tan cross-river cable car project was published on August 22, with the deadline for prequalification application submissions set for August 28, 2025 [1] - The project is being led by Guangzhou Run Chuan Real Estate Development Co., Ltd., but specific details regarding the construction timeline and content have not been disclosed [1] - The project is currently in the preliminary water resources technical assessment phase [1] Group 2 - The Bai'e Tan World-Class Landmark Business Circle is being accelerated as part of the Liwan District government's 2025 work report, which includes the timely operation of major commercial projects like China Resources MixC and others [3] - The construction of the cross-river cable car is expected to connect high-end commercial entities such as MixC and Taikoo Li, enhancing the waterfront business district [3]

Core Viewpoint - The performance of Swire Properties in 1H25 met market expectations, with a revenue increase of 20% year-on-year to HKD 8.72 billion, while the recurring net profit attributable to shareholders decreased by 4% to HKD 3.42 billion, but increased by 15% to HKD 4.42 billion when considering asset disposal gains [1][2] Financial Performance - Revenue for 1H25 rose by 20% to HKD 8.72 billion - Recurring net profit attributable to shareholders decreased by 4% to HKD 3.42 billion - Basic profit attributable to shareholders increased by 15% to HKD 4.42 billion, aligning with market expectations - Interim dividend declared at HKD 0.35 per share, a 3% increase year-on-year, corresponding to a current dividend yield of 1.66% [1] Operational Highlights - Retail sales in mainland shopping centers improved, with a 1% year-on-year increase in 1H25, compared to a decline of 7% in 1H24 - Notable retail sales growth in Shanghai Taikoo Hui (+14%) and Beijing Sanlitun Taikoo Li (+7%) - Rental income from mainland shopping centers increased by 2% to HKD 2.27 billion in 1H25 - Hong Kong office rental income decreased by 5% to HKD 2.46 billion, with an occupancy rate of 88% [1][2] Asset Disposal and Financial Strategy - The company recorded asset disposal gains of HKD 1 billion in 1H25, primarily from the Miami shopping center and adjacent land, with a total consideration of up to USD 760 million - The net debt ratio remained stable at 15.7% compared to the end of 2024 [2] Investment Plans - The company has a HKD 100 billion investment plan, with HKD 50 billion allocated to the mainland market, of which HKD 46 billion is already earmarked - Upcoming projects include the phased opening of Guangzhou Julong Bay Taikoo Li by the end of 2025, the opening of Sanya Taikoo Li in 2026, and the completion of Xi'an Taikoo Li in 2027 [2] Shareholder Returns and Financial Safety - The company reiterated its guidance for a mid-single-digit annual growth in dividends, supported by asset disposals and residential sales - The company has confirmed or planned asset disposals for the second half of the year, including the Miami site and the sale of the 43rd floor of the Eastern Island Center [2] Earnings Forecast and Valuation - Earnings forecasts remain largely unchanged, with expected recurring net profit for 2025 and 2026 projected to decrease by 5% and increase by 17% to HKD 6.17 billion and HKD 7.20 billion, respectively [2] Rating and Target Price - The company maintains an outperform rating with a target price of HKD 23.8 per share, implying a 30% target NAV discount and a 4.8% target dividend yield for 2025, indicating a 13% upside potential [3]

Core Insights - Guangzhou, a historical commercial hub, is experiencing a resurgence in high-end commercial development, primarily driven by Hong Kong capital [1][24] - The entry of notable Hong Kong enterprises into Guangzhou's commercial market signifies a shift from a "commercial depression" to a "traffic hub" for investment [1][24] Group 1: Hong Kong Capital's Influence - Hong Kong enterprises dominate the high-end commercial landscape in Guangzhou, with successful projects like Taikoo Hui and K11 leading the market [1][19] - Recent reports indicate that Hong Kong-listed Link REIT's property revenue in mainland China has seen significant growth, highlighting the robust performance of retail assets in Guangzhou [19] - The operational excellence of Hong Kong commercial entities has established them as industry leaders, creating immersive consumer experiences that differ from traditional shopping centers [19][25] Group 2: New Developments and Projects - The new Xinqing Cement Factory project, a collaboration involving Ruian New World and renowned architect Jean Nouvel, aims to revitalize an industrial site into a cultural and tourism destination [3][6] - The Guangzhou Poly Bay Taikoo Li, set to be the first waterfront Taikoo Li in the region, is expected to open in phases starting in 2027, enhancing the city's commercial offerings [8][10] - K11 Select, the first of its kind in the Greater Bay Area, is positioned as a mixed-use development that integrates residential, commercial, and high-end office spaces [10][12] Group 3: Urban Renewal and Market Potential - Guangzhou's urban renewal initiatives, including a planned investment of over 100 billion RMB for village renovations, present ample opportunities for Hong Kong enterprises to engage in redevelopment projects [21][24] - The city's consumer market is projected to exceed 1.1 trillion RMB in retail sales, with a steady growth rate of 4.5% over the past four years, indicating a vibrant economic environment [20][25] - The availability of old industrial sites for redevelopment, such as the Xinqing Cement Factory, provides a strategic advantage for Hong Kong investors looking to capitalize on urban renewal [23][24]

Group 1 - Chengdu Taikoo Li has successfully integrated traditional and modern elements, setting a new benchmark for high-quality urban renewal in mainland China [1] - The project has become a commercial landmark in Chengdu, attracting over 30 million visitors annually since its opening in 2015 [2] - Taikoo Properties has committed to investing HKD 50 billion in mainland China, achieving 92% of this target to date [1][4] Group 2 - The project features a low-density shopping center and a hotel, preserving traditional Sichuan architectural styles while promoting community engagement [2] - Over 215 brands have opened new stores or undergone renovations in the past three years, including high-end brands like Cartier and Dior, enhancing luxury retail experiences in Southwest China [2] - Taikoo Properties has seen a 12% increase in rental income at its Sanlitun Taikoo Li project, reaching a historical high, while overall foot traffic in mainland malls increased by 5% last year [3] Group 3 - The company is expanding its investment portfolio in mainland China, with projects in cities like Beijing, Shanghai, Guangzhou, and Sanya [4] - Taikoo Properties has a long-term investment outlook for the mainland market, aiming to identify more investment opportunities [4] - The company maintains a cautious approach to the current market environment while continuing its investment plans [5]

Core Viewpoint - Swire Properties is actively investing in mainland China, having committed 92% of its HKD 500 billion investment plan, amounting to approximately HKD 460 billion, within three years [2] Group 1: Investment Progress - Swire Properties has made significant progress in its investment plans, with a focus on project implementation [2] - The first residential project in mainland China, located in Shanghai's Lujiazui, is set to launch sales in 2024, with the first batch of 50 units achieving a subscription rate of 250% [2] - The company is also developing a mixed-use complex in Qiantan, which includes four residential buildings [2] Group 2: New Brand Introduction - Swire Properties is introducing a new brand, Taikoo Place, in the mainland market, with a significant investment in the Beijing Taikoo Place project, which will be renamed in November 2024 [2][3] - The project is the largest single investment by Swire Properties in mainland China, primarily focused on office space [3] Group 3: Future Projects and Expansion - In Guangzhou, Swire Properties acquired a cultural center site for HKD 2.1 billion, planning to renovate it as part of the Guangzhou Taikoo Hui retail portfolio, expected to be completed by 2027 [3] - The Guangzhou Panyu Bay Taikoo Li project is set to begin trial operations by the end of this year, with full completion anticipated in mid-2027 [3] - Swire Properties is also developing commercial complexes in cities like Xi'an and Sanya, with the Xi'an Taikoo Li exhibition hall scheduled to open in 2025 [3] Group 4: Market Outlook - The company maintains a long-term optimistic view on the mainland market, particularly in retail, with expectations of steady sales growth into 2025 [3][4] - Despite some brands slowing their expansion, Swire Properties is experiencing overall rental income growth and a 5% increase in average foot traffic for its mainland projects in 2024 [3]