Developer steps back from consolidating three commercial sites as high costs and patchy demand weigh on redevelopment decisions
2-MIN READ2-MINCheryl ArcibalPublished: 7:34pm, 2 Apr 2026Hong Kong’s New World Development (NWD) has shelved plans to acquire the remaining stakes in three commercial sites in Causeway Bay, signalling continued caution among developers despite signs of improving demand in the core office market.The company, which has been selling assets to reduce debt, said it would “exercise prudence as appropriate, having regard to cost and efficiency, as well as overall market supply and demand, with a view to delivering reasonable returns”.
The move comes as analysts point to a two-speed recovery in Hong Kong’s commercial property market
“Currently, recovery is mainly in the core Central office leasing market; other office sectors and the broader retail market remain under pressure,” said Alkan Au, head of value and risk advisory for Hong Kong and Macau at JLL.
