Property Investment - Hong Kong
The Group commenced sub-division of the property of the whole 24th Floor, Tower One, Lippo Centre, No. 89 Queensway, Hong Kong (the “Sub-division Properties”) in October 2018 and the sub-division was completed in February 2019. The Sub-division Properties included three self-use units and fifteen leasing units as at 30 June 2025. The fair value of the Sub-division Properties classified as investment properties and non-current assets classified as held for sales as at 30 June 2025 was HK$204,700,000 (30 June 2024: HK$266,400,000). The Hong Kong Grade-A office market was weighed down by a slower global economic recovery, weakened corporate expansion demand, and a persistent high-interest-rate environment. As a result, the fair value of the Group’s investment properties located in Hong Kong decreased by HK$61,700,000 for FY2025 (2024: HK$14,500,000). It is emphasised that the fair value loss was non-cash in nature.
Additionally, the Group adjusted the remaining commercial properties in the Wuxi Property Project with a combined total area of approximately 54,000 square meters from held for sales to rental purposes to develop an AI technology industrial park during the year. Anchored on the AI robotics industry chain, the park will feature supporting facilities such as a warehouse center, exhibition and sales center, cross-border service center, and R&D center. It aims to attract upstream and downstream technology innovation enterprises, including companies in autonomous driving algorithm R&D, sensor manufacturing, and chip design. By providing office and production space to foster an industrial cluster, the park is designed to create technological, market, and supply chain synergies with the Novautek’s smart-driving business, thereby further strengthening its foothold in the AI robots sector. Additionally, during FY2025, there are 785 parking spaces in total in the leased car park (the “Car Park”) of the Wuxi Property Project, and the fair values of its Car Park and commercial properties (the “Commercials”) were HK$42,874,000 and HK$691,041,000, respectively.
The Group’s investment properties contributed rental and management income of HK$11,813,000 in total for FY2025 (2024: HK$6,616,000). The newly leased Car Park and Commercials have brought in more revenue to the Group for FY2025.
