Anchored by the district’s only cinema tenant, asset offers stable income and strata-sales potential
JLL has been appointed as the sole agent for the sale of the ground- and first-floor retail podium of Harbour View Garden Tower III, No. 2 Catchick Street, Kennedy Town. Located in the heart of Kennedy Town’s established residential catchment, the property presents a rare opportunity to acquire a large-scale retail podium, offered on an “as-is” basis, with part sold subject to existing tenancies and part with vacant possession. Currently approximately 90% occupied, the property provides immediate rental income, while its strata-title configuration offers flexibility for either recurring income generation or value realization through future unit-by-unit disposals. The indicative asking price is HKD180 million.
Comprising approximately 24,884 sq ft of gross floor area, the retail podium features generous floor-to-ceiling heights of approximately 4.95 metres on the ground floor and 4.55 metres on the first floor, providing highly flexible and efficient space. Occupying a prominent corner position at the junction of Catchick Street and North Street, the property benefits from extensive street frontage and dedicated signage opportunities, offering strong visibility and branding exposure. The asset is currently tenanted by the district’s only cinema, alongside a 24-hour fitness centre and a convenience store, establishing it as a vibrant destination for entertainment, leisure and everyday retail spending in the Kennedy Town community.
The property is just a five-minute walk from MTR Kennedy Town Station, offering excellent connectivity. Benefiting from the opening of the MTR West Island Line and ongoing enhancements to the waterfront promenade, Kennedy Town has transformed into one of Hong Kong’s most vibrant lifestyle and dining destinations, with a thriving mix of trendy cafés, distinctive restaurants and lifestyle retailers that appeal to local residents, young professionals and visitors alike. The property is also surrounded by established residential estates and boutique luxury developments, providing access to a sizeable catchment of affluent residents with strong spending power. Supported by both a loyal neighbourhood customer base and growing visitor footfall, the area offers retailers a substantial and resilient source of demand.
In addition to the stable income generated by its high occupancy rate, the property offers significant value-add and potential space for owner-occupier use. Benefiting from practical layouts, high ceilings and flexible floorplates, the podium is well suited to a diverse range of uses, including churches, educational institutions, food and beverage operators, fitness centres and lifestyle retailers. Notably, Shop 3A on the ground floor, comprising approximately 2,402 sq ft, offers a highly flexible layout and is well suited to a quick-service restaurant or other F&B concepts. It is expected to achieve a monthly rent of approximately HKD120,000, or HKD50 per sq ft, providing further upside to the property’s overall income return. In addition, the strata-title configuration provides investors with flexibility to pursue selective disposals in response to market conditions, while unlocking capital value over time.
Eunice Tang, Senior Director, Capital Markets at JLL, said:
“Amid continued market volatility, capital is increasingly gravitating towards high-quality retail assets with resilient income streams. Offered at an attractive price of approximately HKD7,200 per sq ft, the Harbour View Garden retail podium offers both defensive income characteristics and future upside potential, underpinned by three key advantages: the district’s only cinema as a tenant, near-full occupancy, and a strata-title configuration. With several boutique luxury residential developments in Kennedy Town nearing completion and the planned transformation of the China Merchants Godown on Sai Ning Street into a commercial and retail landmark, the district’s retail prospects remain highly promising. We expect this rare retail asset, which combines a defensive income profile, stable recurring cash flow and capital appreciation potential, to attract strong interest from owner-occupiers, long-term investors and institutional buyers.”