Property sales revenue more than quadrupled to HK$16.4 billion as the company sped up the sales of its projects in Hong Kong. The rise in profit followed two consecutive years of decline amid a three-year property downturn.
Nonetheless, challenges remain. Sun Hung Kai and its peers are struggling to raise prices for residential projects in a market facing an oversupply of homes and demand weakened by persistently high borrowing costs.
Home values have fallen 27% since their peak in 2021 and are close to the lowest levels since 2016 in recent months.
Commercial landlords like Sun Hung Kai are also grappling with record-high office vacancies, limiting room for rental growth. The vacancy rate in the city was at 16.8% at the end of last year, the highest since records began in 2006, data from Colliers International show.
