Fast-food giant McDonald’s has announced plans to sell eight top-tier retail properties in Hong Kong, collectively estimated to be worth HK$1.2 billion (US$152.89 million). Jones Lang LaSalle (JLL), appointed as the exclusive agent for the sale, reported the news earlier this week.
The properties will be sold via public tender, with the process scheduled to conclude on September 16. Buyers will have the flexibility to purchase the properties either separately or as a comprehensive portfolio. All the properties come with enduring leases with McDonald’s, which adds to their appeal.
Previously, there had been reports that McDonald’s was considering selling all of its 23 stores in Hong Kong, the total market value of which is roughly HK$3 billion (US$382 million). The current sale of eight stores represents the first phase of this broader asset disposal strategy.
This move is part of McDonald’s larger efforts to refine its asset base in the region. In 2017, McDonald’s sold its 20-year master franchise rights for China and Hong Kong to a consortium led by Citic Group and private equity firm Carlyle, while maintaining ownership of its real estate portfolio.
What is the estimated market value of the eight Hong Kong properties that McDonald’s plans to sell?
The total market value of the eight properties is estimated to be around HK$1.2 billion (US$152.89 million).
How will the sale of these properties be conducted?
The sale will occur via public tender and is scheduled to conclude on September 16.
What is McDonald’s broader strategy for its assets in the region?
This sale is part of McDonald’s larger efforts to optimize its regional asset base. The company previously sold its 20-year master franchise rights for China and Hong Kong to a consortium, while retaining ownership of its real estate portfolio.
