Shanghai's depressed office leasing market may drag down Hang Lung Properties rental income - its major earnings driver for this year and next - given an abundance of new supply and a deteriorating economic outlook, analysts said.
Its office rental income on the mainland, all of it in Shanghai, accounted for about 16.5% of its HK$2.04bn revenue for the six months to December. It was mainly derived from the Plaza 66 office-retail complex.
Mainland office rental income contributed 40% of the HK$829m rental income from its mainland investment portfolio.
South China Morning Post