At 30 September 2022, the occupancy rate of Sunlight REIT’s portfolio was 93.2% (30 June 2022: 94.7%), while the office and retail occupancy rates were 93.5% and 92.4% respectively (30 June 2022: 94.8% and 94.5%). The passing rent of Sunlight REIT’s portfolio was down slightly to HK$44.9 per sq. ft. (30 June 2022: HK$45.4 per sq. ft.). The office and retail portfolio registered negative rental reversions of 4.4% and 8.3% respectively during the quarter under review, demonstrating the still fragile economic sentiment attributable to rising interest rates and persistent pandemic situation.
In respect of operational performance of key office properties, Dah Sing Financial Centre maintained a steady occupancy rate of 91.3% with a passing rent of HK$42.3 per sq. ft.. However, its vacancy rate is expected to increase by end-2022 as certain multinational tenants opted not to renew their tenancies upon expiry. Meanwhile, the overall Sheung Wan/Central office portfolio recorded a satisfactory occupancy rate at 30 September 2022 with the exception of Winsome House Property, the performance of which was affected by the high vacancy rate and thus intense competition in the vicinity. In contrast, occupancy rate and passing rent of The Harvest exhibited steady improvement as the confectionary store at ground floor has moved in.
Regarding the shopping malls, a drop in the occupancy rate of Metro City Phase I Property was mainly due to the co-termination of certain leases relating to its renovation project which commenced in September 2022. On the other hand, the occupancy rate of Sheung Shui Centre Shopping Arcade edged lower to 91.0%, while its passing rent also recorded a mild decrease to HK$99.2 per sq. ft..
Remarks: Attached operational statistics of Sunlight REIT for the first quarter of the financial year 2022/23.
Operational statistics for the first quarter of the financial year 2022/23
| Property | Location | Occupancy Rate (%) 1 | Passing Rent (HK$/sq. ft.) 2 | ||
| at 30 Sep 22 | at 30 Jun 22 | at 30 Sep 22 | at 30 Jun 22 | ||
| Office | |||||
| Dah Sing Financial Centre | Wan Chai | 91.3 | 91.4 | 42.3 | 42.7 |
| Strand 50 | Sheung Wan | 95.9 | 99.7 | 32.2 | 32.4 |
| The Harvest | Mong Kok | 83.5 | 80.4 | 39.8 | 36.7 |
| 135 Bonham Strand Trade Centre Property | Sheung Wan | 98.5 | 99.1 | 26.8 | 27.1 |
| Winsome House Property | Central | 85.9 | 97.2 | 40.2 | 39.9 |
| Righteous Centre | Mong Kok | 100.0 | 100.0 | 34.7 | 34.5 |
| 235 Wing Lok Street Trade Centre | Sheung Wan | 96.8 | 96.8 | 19.7 | 19.8 |
| Java Road 108 Commercial Centre | North Point | 96.1 | 100.0 | 24.8 | 25.0 |
| On Loong Commercial Building | Wan Chai | 100.0 | 100.0 | 27.3 | 27.6 |
| Sun Fai Commercial Centre Property | Mong Kok | 98.5 | 98.5 | 21.3 | 21.4 |
| Wai Ching Commercial Building Property | Yau Ma Tei | 93.1 | 97.2 | 16.9 | 17.0 |
| Average | 93.5 | 94.8 | 35.0 | 35.1 | |
| Retail | |||||
| Sheung Shui Centre Shopping Arcade | Sheung Shui | 91.0 | 92.9 | 99.2 | 100.6 |
| Metro City Phase I Property | Tseung Kwan O | 90.7 | 94.6 | 53.7 | 54.7 |
| Kwong Wah Plaza Property | Yuen Long | 99.3 | 98.4 | 50.0 | 50.5 |
| Beverley Commercial Centre Property | Tsim Sha Tsui | 90.2 | 81.9 | 30.0 | 30.6 |
| Supernova Stand Property | North Point | 100.0 | 100.0 | 57.2 | 57.2 |
| Average | 92.4 | 94.5 | 66.6 | 67.6 | |
| Average | 93.2 | 94.7 | 44.9 | 45.4 | |
Notes :
- Calculated on the basis of occupied gross rentable area (“GRA“) as a proportion of total GRA on the relevant date.
- Calculated on the basis of average rent per sq. ft. for occupied GRA on the relevant date.
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About Sunlight REIT
Listed on The Stock Exchange of Hong Kong Limited since 21 December 2006, Sunlight REIT (stock code: 435) is a real estate investment trust authorized by the Securities and Futures Commission and constituted by the amended and restated trust deed dated 10 May 2021 (the “Trust Deed“). It offers investors the opportunity to invest in a diversified portfolio of 11 office and five retail properties in Hong Kong with a total gross rentable area of over 1.2 million sq. ft.. The office properties are located in both core and decentralized business areas, while the retail properties are situated in regional transportation hubs, new towns and urban areas with high population density.
About the Manager
The Manager of Sunlight REIT is an indirect wholly-owned subsidiary of Henderson Land Development Company Limited. Its main responsibility is to manage Sunlight REIT and all of its assets in accordance with the Trust Deed in the sole interest of its unitholders.
Disclaimer: The information contained in this press release does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for units in Sunlight REIT in Hong Kong or any other jurisdiction.
