The Link REIT (Chinese: 領匯房地產投資信託基金, or 領匯;SEHK: 0823) is one of the world's largest REITs, or real estate investment trusts with assets of around US$7 billion.
The REIT includes 182 properties, primarily shopping malls and carparks, being those acquired at IPO and were formerly owned by the Hong Kong Housing Authority, a Hong Kong Government agency, and those purchased since the IPO.
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The Link REIT IPO was 18 times oversubscribed [1]. About 510,000 Hong Kong residents, or seven percent of the city's population, placed US$36 billion of orders while institutional investors were ready to commit US$40 billion.
The IPO's joint global coordinators were Goldman Sachs, HSBC Holdings plc, and UBS AG. JPMorgan Chase & Co. was the financial adviser to the Housing Authority.
The proposed flotation of the Link REIT by the Housing Authority was derailed when a public housing tenant, Lo Siu Lan, challenged the legality of the proposed divestment of the properties. She represented a concern among the many residents who live in public housing that existing amenities would no longer be public and that the Link REIT would raise prices without due consideration of the public good. Some NGOs also were concerned that the reduced income of the Housing Authority would eventually lead to rent rises for public tenants.
Since the IPO, The Link REIT has been upgrading the shopping centres to improve the operating environment for its tenants and the shopping environment for the consumers.
The Link invested HK$2 million to establish “The Link Tenant Information Centre” in Fu Cheong Shopping Centre. The Centre provides latest information on shop designs and renovation, offering inspirations for tenants of varying sizes and trades to position their shops. With a total floor area of 2,500 sq ft (230 m2) in 6 zones, the Centre showcases shop front designs for retail and restaurant trades, over 50 ways of product display and more than 100 applications of fit-out materials to assist tenants to start new retail outlets or renovate existing shops.
Launched in June 2008, “The Link Tenant Academy” in 2008 has been organising a series of seminars and workshops to keep its tenants abreast of latest market information and management concepts and to work with tenants to bring quality service to the public.
Established in 2007, “The Link Link Fun Academy” regularly invites cultural and artistic groups, training organisations and celebrities to offer young people, children and their families with enlightening learning opportunities. Since its establishment, The Link Fun Academy has organized more than 40 activities, attracting around 8,000 participants.