Core Viewpoint - The management of Hang Lung Properties believes that the worst times are over, despite the financial report indicating a decline in both revenue and profit for the first half of 2025, marking the first such occurrence since 2021 [1][2][26] Financial Performance - For the first half of 2025, Hang Lung Properties reported revenue of HKD 49.68 billion, a year-on-year decrease of 19%, and a net profit attributable to shareholders of HKD 9.12 billion, down 14% [2][3] - This marks the first time in five years that the company's mid-year revenue has fallen below HKD 50 billion and net profit below HKD 10 billion [2][3] Core Business Segments - The company's primary business segments include property leasing, property sales, and hotels, with property leasing typically contributing around 90% of total revenue [4] - In the first half of 2025, property leasing revenue was HKD 46.78 billion, down 3% year-on-year, while property sales saw a dramatic decline, with only 20 units sold, generating HKD 1.61 billion, a staggering drop of 87% [5][6] Rental Market Dynamics - The rental income from high-end retail spaces, particularly in Hang Lung Plaza, has been under pressure due to a downgrade in consumer spending, leading to a decrease in rental rates [1][5] - Despite maintaining an average occupancy rate of over 94% across its properties, several locations have had to lower rents to retain tenants, resulting in a decline in overall revenue [8][9] Expansion Plans - Hang Lung Properties is continuing its expansion strategy, with significant investments in new projects, including the Hang Lung Plaza in Hangzhou, which is expected to enhance its market presence despite current financial pressures [12][15] - The company has committed to a 20-year lease for the Hangzhou Department Store, which will increase its retail footprint by 40% [12][15] Debt and Financial Health - As of June 30, 2025, Hang Lung Properties had total cash and bank deposits of HKD 69.05 billion against total borrowings of HKD 547.67 billion, indicating a tight liquidity situation [19][20] - The company has been actively seeking to manage its debt through various financing arrangements, including a HKD 10 billion syndicated loan to extend repayment terms and support ongoing projects [21][22]

Core Viewpoint - The performance of Hang Lung Group and Hang Lung Properties for the mid-2025 period can be summarized as "steady progress," with significant declines in total revenue primarily due to reduced property sales [1] Group 1: Financial Performance - Hang Lung Group's total revenue decreased by 18% to HKD 5.202 billion, while Hang Lung Properties' total revenue fell by 19% to HKD 4.968 billion, mainly due to lower property sales [1] - The rental business accounted for 94% of total revenue, with property sales and hotel services each contributing 3% [2] - Shareholders' net profit attributable to the company dropped by 7% to HKD 1.191 billion for Hang Lung Group and by 9% to HKD 1.587 billion for Hang Lung Properties, attributed to rising financial costs [2] Group 2: Rental Business Insights - The rental income from the mainland was HKD 2.941 billion, representing 68% of total rental income, while Hong Kong's rental income was HKD 1.488 billion, accounting for 32% [2] - The rental business saw a slight decline of 3%, with mainland rental income down by 1% and Hong Kong rental income down by 4% [2] - The overall occupancy rate of the company's 10 large shopping malls in the mainland remained at 94%, with over half of the malls experiencing an increase in rental income [2] Group 3: Property Sales and Development - The company reported HKD 161 million in revenue from residential sales, with significant contributions from properties in Hong Kong and Wuhan [4] - The company plans to commence 11 real estate projects across 9 cities in the mainland, with a focus on expanding existing properties [5] - The expansion of Hang Lung Plaza Westlake 66 in Hangzhou has been initiated, increasing the mall's area by 40% [5] Group 4: Strategic Focus - The company aims to maintain high occupancy rates in shopping malls rather than focusing solely on high rental prices, as low occupancy can negatively impact rental income [1] - The company is actively introducing new brands to attract local and mainland consumers to Hong Kong [3] - The company is committed to prudent financial management, with a net debt ratio of 33.5% and a focus on increasing the proportion of RMB loans [4][5]

2025年中期业绩摘要： 财务表现 恒隆集团及恒隆地产的总收入分别下跌18%及19%至港币52.02亿元及港币49.68亿元，主要受物业销售 收入减少影响。 恒隆业务保持稳定，收入亦持续改善。核心物业租赁收入表现稳健，仅下跌3%。恒隆集团及恒隆地产 的内地商场整体租出率保持在94%的高水平；香港零售物业整体租出率分别为93%及94%，主要得益于 租户信心充足及品牌组合持续优化。 恒隆集团及恒隆地产的股东应占基本纯利分别下跌7%及9%至港币11.91亿元及港币15.87亿元，主要由 于财务费用上升所致。 我们通过改善租户组合的策略、推出具影响力的市场营销活动，以及恪守审慎的财务管理原则，并在中 央政府利好消费政策的支持下，进一步巩固核心竞争力。为庆祝恒隆成立65周年，我们在全国举办一系 列活动及推广，不仅带来可观的客流量，也加强了与顾客的联结。我们下一个增长引擎——杭州恒隆广 场将按计划于2025年下半年起分阶段落成，为业务前景注入新动能。 我们与百大集团签订了为期20年的营运租赁合同，租用杭州百货大楼的南北两座大楼。若该交易获得百 大集团股东批准，杭州恒隆广场将新增约42,000平方米的零售面积，较现有规模提 ...

最近，一些百井人家的业主陆续收到通知，不动产权证办下来了。这也意味着，这个杭州武林广场板块年代最新的住宅项目，接下来将会出现在二手房市 场。 潮新闻客户端 记者 徐淑竞 去年年底，潮新闻曾经报道过，位于杭州市中心黄金地段武林广场的回迁安置房——百井人家迎来交付。当时，记者去现场探营时得知，不动产权证预计会 在今年会办出。 百井人家实景图 记者 徐淑竞摄 虽然这些年杭州城市框架迅速拉大，出现多中心并头发展的态势，但武林广场仍然是大多数人心目中公认的杭州绝对市中心。百井坊就在武林广场标志性建 筑武林银泰和杭州百货大楼后面，2009年，杭州启动百井坊地区综合改造工程，百井坊巷、耶稣堂弄一带进入征迁范围，涉及动迁1251户居民、86家商铺单 位。当时，政府部门提供了货币补偿、异地安置、原地回迁等几种安置方式，大约有30%的住户选择了原地回迁。 2018年5月，被誉为"浙江最具商业价值地块"的百井坊地块出让，经过336轮鏖战，最终以107.3亿元被恒隆收入囊中，欲打造世界级商业街区恒隆广场。与 恒隆广场一起建设的，还有3幢百井坊回迁房，被安置在恒隆广场地块的西南角，总建筑面积7.7万m²，总户数361户，户型面积段60 ...

Core Insights - The article highlights the competitive landscape of foreign-funded commercial real estate companies in mainland China, showcasing their unique strategies and project developments in the market [1]. Group 1: Company Strategies and Developments - Swire Properties has established a strong presence in mainland China with its "Swire" brand, focusing on high-quality commercial projects [1]. - New World Development has successfully launched several landmark commercial complexes in key cities, leveraging its experience from Hong Kong [5]. - K11 Group emphasizes a "Cultural Commerce" model, integrating art and culture into its commercial spaces, with multiple projects already operational [9][12]. - Hongkong Land has introduced a new series of high-end commercial brands, targeting affluent consumers in major cities [21]. - Hysan Development is expanding its footprint with a focus on high-end retail and mixed-use developments [1]. Group 2: Project Launches and Future Plans - In 2023, at least 14 new projects are expected to enter the market from various foreign-funded companies, with a significant focus on non-first-tier cities [1]. - Swire Properties plans to launch six new projects in the coming years, including major developments in Beijing and Shanghai [18]. - New World Development has six upcoming projects, including the largest commercial complex in Shanghai [7]. - K11 Group aims to open 30 new cultural commercial projects over the next five years, expanding its unique brand further [12]. - Hongkong Land is set to launch multiple new projects, including a significant development in Nanjing [24]. Group 3: Market Trends and Insights - The article notes a trend of foreign companies diversifying their product lines and adjusting their market strategies to cater to local consumer preferences [1]. - There is a growing emphasis on integrating cultural and artistic elements into commercial spaces, as seen with K11 and other brands [9][12]. - The competitive landscape is characterized by a mix of high-end and mid-range offerings, with companies like Swire and New World focusing on premium developments while others explore more accessible options [1][5].