HONG KONG - Hongkong Land Holdings Limited reported capital recycling of $600 million during the first quarter of 2026, bringing cumulative proceeds to $3.6 billion.
The company has achieved 90% of its target to recycle at least $4 billion by the end of 2027.
In February, the group established its first private real estate fund, Singapore Central Private Real Estate Fund, with S$8.2 billion ($6.4 billion) of assets under management.
The fund includes equity interests in One Raffles Quay, Marina Bay Financial Centre Towers 1 and 2, One Raffles Link, and Asia Square Tower 1. Hongkong Land serves as general partner and manager while retaining a majority stake.
Qatar Investment Authority and APG Asset Management joined as founding investors. The group aims to increase the fund’s assets under management to S$15 billion ($11.7 billion) within five years.
In March, Hongkong Land completed the acquisition of a 10.8% interest in Suntec Real Estate Investment Trust for S$541 million ($422 million).
The company reported underlying profit in the first quarter was 5% higher than the same period in 2025, primarily due to lower net financing charges offsetting reduced contributions from Singapore.
Hong Kong Central portfolio profit contribution remained broadly in line with the prior year period. Office rental income declined slightly due to negative rental reversions, while retail rental contributions increased.
Committed office vacancies declined to 5.5% at March 31, 2026, from 6.0% at the end of 2025.
Since April 2025, the group has invested $372 million in share buybacks, reducing shares in issuance by 2.7%. Approximately $278 million of capacity remains through mid-2027.
The company expects full-year 2026 underlying profit to be mildly higher than 2025.
