Savills announce the successful completion of the transaction of the retail podium and car park of Alto Residences at 29 Tong Yin Street, Tseung Kwan O ("The Property"). The Property has been sold for HK$540 million to China Resources Longdation Company Limited.

The retail podium of the property has a total gross floor area of approximately 102,582 square feet and includes 154 car parking spaces. The retail component of the property comprises four floors: G/F, 1/F, B2/F and B1/F. These floors are currently occupied by a variety of prestigious dining and retail establishments. The property is located right next to the Tseung Kwan O Waterfront Park and is just a 5-minute walk from either the Tseung Kwan O or Tiu Keng Leng MTR stations, providing excellent transportation connectivity.

Mr. Peter Yuen, Managing Director, Investment, Savills Hong Kong said, "Developers Lai Sun Group and Empire Group commissioned our firm to conduct an open tender for the sale of the Alto Residences retail podium and public car park in August 2023, with the tender closing earlier this year. The property's tenant mix comprises many renowned brands, making it a rare high-end retail podium in the Tseung Kwan O area. Several potential buyers expressed interest at the time. After facilitating numerous meetings between the buyers and sellers, Savills ultimately concluded that China Resources Longdation Company Limited had the strongest capability. We assisted Lai Sun and Empire in the negotiations, and were able to finalize all the terms, officially completing the sale of the Alto Residences podium to China Resources Longdation Company Limited this week."

Mr. Jason Wo, Deputy Senior Director, Investment, Savills Hong Kong stated, “The acquisition by China Resources Longdation Company Limited marks their second foray into purchasing a shopping mall property this year, demonstrating the state-owned enterprise's continued confidence in Hong Kong's real estate market. The property currently boasts a high occupancy rate of nearly 90% and a net rental yield of around 6%, making it one of the highest-yielding retail podium projects in recent years, following the acquisition of Retail Podium of Wealthy Garden. Furthermore, with the new Immigration Headquarters in Tseung Kwan O having commenced operations in mid-June this year, it is expected to see a daily footfall of 6,500 people, in addition to around 3,000 staff working on-site. This is anticipated to generate a significant increase in demand for the mall's retail shops and car park facilities, which can further drive rental income growth for the property going forward.”

For further information, please contact Peter Yuen, Managing Director, Investment Savills (Hong Kong) and Jason Wo, Deputy Senior Director, Investment Savills (Hong Kong) as the details below.