Henderson Land plans to build a shopping complex with 60 shops by the Tai Kok Tsui redevelopment project.
Henderson Land (0012.HK) is going to launch a 4 phases of shopping complex (total gross floor area of 200,000 square feet) in Tai Kok Tsui, named Square Mile. The developer will invest over HK$250 million for first two phases. The 1st phase (gross floor area of 42,000 sq ft) will provide 19 shop spaces and open in first half of 2017.
Around 40% of tenants are related to catering sectors so the developer has started to approach some chain eateries to be the first batch of potential tenants. The monthly rental rate is between HK$40 and HK$120 per sq ft, largely in line with the current rental level in the district.
Job opportunities will be create by this project, while the completed mall will attract residents who living near the district.
The redevelopment project, named Square Mile, will span Li Tak, Ka Shin and Kok Cheung streets.
The developer has started to approach potential tenants, mostly chain eateries. “They are interested [in our offers]. And the rents they are willing to pay are close to our expectation,” said Henderson portfolio leasing department general manager Patrick Sit Pak-wing.
Sit said the monthly rental rate of a completed mall will be between HK$40 and HK$120 per sq ft, largely in line with the current rental level in the district.
“Most of Henderson Land’s malls are located in suburban towns or near rail stations targeting local communities, so their business has hardly been affected [by slowing retail sales],” said Sit, adding renewed rental rates for a majority of its malls’ tenants have increased.