Hongkong Land records $333m loss in 1H23

The company attributed the loss to a decrease in the rents of its HK office portfolio.

Hongkong Land recorded a $33m loss attributable to its shareholders in 1H23, its latest financial statement showed.

“This figure reflected unrealised losses mainly arising from Investment Properties revaluations of US$755m and US$133m  in the first half of 2023 and 2022, respectively,” the company said in a bourse filing.

“The 2023 revaluation loss is principally attributable to the Hong Kong office portfolio following a modest decrease in market rents and a slight cap rate expansion,” the company added.

As of the end of June, the physical and committed vacancy in the company’s Central office portfolio in Hong Kong was 6.9% and 6.2%, respectively.

The average office rent for its office properties also decreased to $107 per sq ft.