Transport International Holdings Limited 036 2019 Annual Report

Business Review Property Holdings and Development

LCK Real Estate Limited (“LCKRE”)

LCKRE, a wholly-owned subsidiary of TIH, is the owner of the Group’s headquarters building in . Transport International Holdings Limited 2019 Annual Report 037

The Group leverages its property assets to achieve a Business Review stable rental income Property Holdings and Development

LCKRE owns the 17-storey commercial TM Properties Investment Sun Hung Kai Real Estate Agency office building at 9 Po Lun Street, Lai Limited (“TMPI”) Limited, a subsidiary of SHKP, was Chi Kok, , which has a total appointed as the project manager to gross floor area of about 156,700 TMPI, a wholly-owned oversee the development of the Kwun square feet. The building is situated subsidiary of TIH, is the owner Tong Site. In August 2016, KTRE and next to Manhattan Hill. Approximately of the property at Tuen Mun TRL accepted the offer from the Lands 12% of the gross floor area is used by Town Lot No. 80 in the New Department for the grant of lease the Group as headquarters with the Territories. modification from industrial to non- remaining gross floor area leased out residential use (excluding hotel, petrol to offices, shops and restaurants. TMPI owns an industrial property filling station and residential care comprising a single-storey high ceiling home). LCK Commercial Properties structure and a three-storey workshop Limited (“LCKCP”) building with a total gross floor area In December 2018, KTRE, TRL and Yee of about 105,900 square feet. At the Fai Construction Company Limited, a LCKCP, a wholly-owned end of 2019, the entire lettable area subsidiary of SHKP (the “Contractor”) subsidiary of TIH, is the owner of the property has been leased out to entered into a building contract of Manhattan Mid-town, generate rental income for the Group. (the “Building Contract”) under the commercial complex of which KTRE and TRL engaged the Manhattan Hill. KT Real Estate Limited Contractor to carry out and complete (“KTRE”) the construction work for the Kwun LCKCP owns Manhattan Mid-town Tong Site at a contract sum of shopping mall, the two-level high- KTRE, a wholly-owned HK$4,436,056,954.36 (to be borne by end retail podium at Manhattan Hill, subsidiary of TIH, and Turbo KTRE and TRL in equal shares), subject located in Kowloon within easy reach Result Limited (“TRL”), a to adjustments in accordance with of Island and Hong Kong wholly-owned subsidiary of Sun the Building Contract. The contract International Airport by road or rail. Hung Kai Properties Limited was approved by independent The 50,000 square feet shopping mall (“SHKP”), own Kwun Tong shareholders in February 2019. provides Manhattan Hill residents and Inland Lot No. 240 (the “Kwun other shoppers with high quality retail Tong Site”) at 98 How Ming The foundation work of Kwun facilities. At the end of 2019, the Street, Kowloon, as tenants in Tong Site was completed in 2019. entire lettable area of the shopping common in equal shares. The basement and superstructure mall was leased out, generating construction works are underway. The recurring rental income for the Group. occupation permit is expected to be obtained in mid-2022.

The Group’s Property Holdings and Development:

Total Gross Group’s Floor Area Interest Property Usage (square feet) % Remarks TIH Headquarters Building, Office/Shops 156,700 100 The site was acquired at market price 9 Po Lun Street, Lai Chi Kok, Kowloon through private purchase in 1955 Manhattan Mid-town, Shopping 50,000 100 The site, acquired at market price 1 Po Lun Street, Lai Chi Kok, Kowloon Centre through private purchase in 1955, was redeveloped and opened in 2009 Tuen Mun Town Lot No. 80, 1 Kin Fung Industrial/ 105,900 100 The site was acquired at public auction Circuit, Tuen Mun, Godown in 1974

Kwun Tong Inland Lot No. 240, 98 How Retail/Office 1,150,000 50 The site was acquired at public auction Ming Street, Kwun Tong, Kowloon (Note) in 1967

Note: Kwun Tong Inland Lot No. 240 is under development.