Hong Kong’s Link REIT has acquired car showroom and service centres and a mixed-use car park building in Hong Kong for HK$5.82bn (€645m).
Link said the purchase price for the two car park/car service centres and godown buildings in Chai Wan and Hung Hom represented a discount of 4.3% to the total appraised property value of HK$6.08bn as at 22 October.
George Hongchoy, Link REIT’s CEO, said while retail remained the trust’s key focus, it was gradually adding other asset classes with growth potential to improve its portfolio mix and strengthen its portfolio resilience and productivity.
Link said its latest Hong Kong acquisitions were fully let to Zung Fu Company Limited, the exclusive in Hong Kong.
Upon completion of the sale and purchase agreements, Link would enter tenancy agreements and a re-leasing arrangement with Zung Fu for an initial fixed term of five years and three three-year optional terms for each property.
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