Sun Hung Kai Properties
| Company type | Public |
|---|---|
| Industry | Property development, leasing, telecommunications, hotel management, transport and logistics |
| Predecessor | Sun Hung Kai Enterprises Co., Ltd. |
| Founded | July 14, 1972 in Hong Kong |
| Founder | Kwok Tak-seng, Fung King-hey, Lee Shau Kee |
| Headquarters | Hong Kong , Hong Kong |
Area served | Hong Kong, Mainland China |
Key people | Raymond Kwok (Chairman) |
| Products | Residential and commercial properties, telecommunications services (SmarTone, SUNeVision), hotel management, transport and logistics services |
| Revenue | HK$85,302 million (2018/19) |
| HK$44,912 million (2018/19) | |
Number of employees | 38000+ (2019) |
| Website | www |
Sun Hung Kai Properties Limited (abbreviated as SHKP) is a publicly traded corporation recognized as one of the foremost property developers in Hong Kong. Its principal operations encompass property development and leasing, telecommunications ventures (SmarTone, SUNeVision), hotel management, as well as transport and logistics services. The Kwok family trust, particularly the Kwok siblings, maintains predominant control over the company.
Founding period
The entity that preceded SHKP, Sun Hung Kai Enterprises Co., Ltd. (), was established in 1963 by Kwok Tak-seng, Fung King-hey, and Lee Shau Kee. The current parent company, Sun Hung Kai Properties Limited, was incorporated on 14 July 1972 and subsequently listed on the Hong Kong Stock Exchange on 23 August 1972.
In 1973, SHKP took over Hong Yip Service Company Limited. By 1977, its headquarters relocated to Connaught Centre in Central (currently known as Jardine House). The following year, SHKP founded Kai Shing Management Services Limited to handle property management and introduced its inaugural multi-block residential project, Tsuen Wan Centre. That same year marked its inclusion among the 33 stocks forming the Hang Seng Index. In 1979, SHKP ventured into general insurance through the establishment of Sun Hung Kai Properties Insurance Limited.
Developments during the 1980s and 1990s
In 1981, SHKP secured a shareholding in Kowloon Motor Bus, a major public transportation operator. The company shifted its main office to Sun Hung Kai Centre located in Wan Chai in 1982.
Expansion continued with the acquisition of Wilson Parking in 1991. In 1992, SHKP completed the construction of Central Plaza, which was then the tallest building across Asia. That same year marked SHKP's diversification into telecommunications by founding SmarTone, a leading mobile network operator in Hong Kong that went public in 1996.
The acquisition of the World Trade Centre in Causeway Bay took place in 1993. Starting from the mid-1990s, SHKP developed properties connected to the new airport railway line, including land parcels at the Airport Express Hong Kong Station.
Infrastructure milestones included the inauguration of Route 3 (Country Park Section) in 1998. In 1999, SHKP expanded its commercial property portfolio into mainland China with the completion of Shanghai Central Plaza.
Progress in the 21st century
In 2000, SHKP won the bid for Kowloon Station Development Packages 5, 6 & 7, which later became known as the International Commerce Centre (ICC) complex; this was completed in 2010 as Hong Kong's tallest skyscraper at that time.
On 17 March 2000, SUNeVision Holdings Limited—an SHKP subsidiary—was listed on the Growth Enterprise Market of the Hong Kong Stock Exchange.
SHKP launched Signature Homes, its residential leasing division, in 2001.
In 2002, the company founded the SHKP – Kwok's Foundation to support philanthropic efforts focusing on education and vocational training.
The initial phases of YOHO Town in Yuen Long were introduced in 2003. That year also saw SHKP enter a land-use transfer agreement with Shanghai Lujiazui Finance and Trade Zone Development Company for developing the Shanghai IFC project.
In 2005, SHKP inaugurated APM, Hong Kong’s first retail centre operating late into the night, and acquired Seiyu (Sha Tin) Company Limited.
Ma Wan Park Noah's Ark—Hong Kong’s first Christian-themed park developed by SHKP—opened its doors in 2009.
In 2013, SHKP purchased a commercial plot measuring approximately 7.6 million square feet of gross floor area located within Shanghai’s Xujiahui district.
SHKP became both Title and Charity Sponsor for Hong Kong's inaugural Cyclothon event held in 2015.
In 2016, land was donated by SHKP in Yuen Long to Hong Kong Sheng Kung Hui for establishing an integrated service centre.
In 2019, SHKP secured the tender for a commercial site above West Kowloon High-Speed Rail Terminus with a winning bid exceeding HK$42 billion. This site covers around 60,000 square metres designated for office space, retail outlets, and hotel facilities. The Kwok family contributed HK$9.4 billion (equivalent to US$1.2 billion) to acquire a 25% interest in the office towers.
Investigation into Corruption
In 2012, Thomas Chan, Executive Director of SHKP, along with eight colleagues, was detained by the ICAC. Simultaneously, Co-Chairmen Thomas Kwok and Raymond Kwok, together with five additional individuals, were arrested as part of a significant corruption inquiry. Former Chief Secretary Rafael Hui was also interrogated and subsequently released on bail. This investigation caused SHKP's stock value to plunge by 15%.
By December 2014, Thomas Kwok and Rafael Hui were found guilty of bribery involving HKD 8.5 million; additionally, Hui was convicted on four separate misconduct charges. In contrast, Raymond Kwok was cleared of all accusations.
Chairmen Through the Years
- Kwok Tak-seng (1972–1990); company founder
- Walter Kwok (1990–2008); eldest son of Kwok Tak-seng
- Kwong Siu-hing (2008–2011); spouse of Kwok Tak-seng
- Raymond Kwok and Thomas Kwok (2011–2014); joint chairmen, younger sons of Kwok Tak-seng
- Raymond Kwok (2014–present); youngest son of Kwok Tak-seng
Major Developments
In 1996, SHKP spearheaded a HK$5.5 billion consortium bid alongside the MTR Corporation to construct Hong Kong’s second-tallest skyscraper, the International Finance Centre. SHKP retains a 47.5% ownership in this iconic project. Meanwhile, Henderson Land Development, chaired by Lee Shau Kee who also serves on SHKP’s board, holds a 32.5% stake. Additionally, SHKP was responsible for developing the International Commerce Centre, currently the tallest building in Hong Kong.
Lack of Transparency in Internal Sales
The developer faced scrutiny in 2005 for insufficient openness regarding its public sales of residential units to both speculators and end-users. Allegations emerged that SHKP conducted "internal sales" involving unfinished apartments without disclosing price lists and artificially increased prices within its The Arch project in West Kowloon. For example, a penthouse measuring 5,360 square feet reportedly sold for HK$168 million (HK$31,300 per square foot). Discounts offered on other units were allegedly excluded from price calculations, allowing SHKP to escalate prices by 5–10% for the subsequent 500 apartments. The company refuted these claims.
Family Dispute Among Siblings
On 18 February 2008, SHKP announced that chairman and CEO Walter Kwok would temporarily step down due to personal matters, with his younger siblings assuming his responsibilities. Media reports suggested that Walter’s mother, the controlling shareholder, had compelled his leave to safeguard family interests amid conflicts linked to Walter's mistress, who reportedly exerted influence causing internal family tensions.
Following this announcement, SHKP’s share price dropped. The company reassured investors that business activities would continue uninterrupted and that Walter was expected to return within two to three months. The mistress, Ida Tong Kam-Hing, was said to have facilitated property deals valued at HK$4 billion for either the Group or private investment entities; however, SHKP denied employing anyone by that name.
On 29 February, tycoon and board member Lee Shau Kee confirmed during a board meeting that Mrs. Kwok had forced Walter’s temporary departure due to issues related to Ida Tong.
Subsequently, on 16 May 2008, Walter filed legal proceedings in the High Court, asserting that an agreement with his mother and brothers guaranteed his reinstatement upon meeting certain conditions. He accused his brothers of breaching this agreement by attempting to oust him despite fulfilling requirements such as medical clearance. Walter obtained an injunction postponing a board vote to allow further negotiations. Throughout this dispute, both Walter and his brothers accused one another of making significant management decisions without adequate consultation.
Financing and assets
Since its public listing in 1972, SHKP has established itself as one of Hong Kong's foremost property developers. The company undertakes the development of both residential and commercial properties for sale and investment purposes, supported by a workforce exceeding 38,000 employees. Its comprehensive operations encompass land acquisition, architectural design, construction, engineering, and property management services. For the fiscal year 2018/19, SHKP recorded revenue amounting to HK$85,302 million, with a net profit attributable to shareholders of HK$44,912 million, largely driven by property sales and rental income.
Land bank
As at 30 June 2019, SHKP's land bank in Hong Kong comprised an attributable gross floor area (GFA) of 58.0 million square feet. This included 32.9 million square feet of completed investment properties alongside 25.1 million square feet currently under development.
On the Chinese mainland, the Group held a land bank totaling 65.4 million square feet attributable GFA. Of this, 50.6 million square feet were under development while 14.8 million square feet had been completed.
Credit ratings
SHKP consistently maintains leading credit ratings among Hong Kong property developers. Moody’s has assigned the Group an A1 rating, while Standard & Poor’s rates it at A+.
ICC
Standing at 490 meters with 118 storeys, the International Commerce Centre (ICC) in West Kowloon is the tallest skyscraper in Hong Kong. Opened in 2011, it provides approximately 2.5 million square feet of office space and features the Sky100 Observation Deck on its 100th floor, offering sweeping vistas across Victoria Harbour from 393 meters above sea level. The Ritz-Carlton hotel occupies floors 102 through 118 and includes the world’s highest swimming pool.
The ICC is famous for its LED facade light displays—the largest light and sound show on a single building as recognized by Guinness World Records—held twice each evening and visible from both sides of Victoria Harbour.
Since 2012, SHKP has organized the annual Vertical Run for Charity event within the ICC premises.
IFC
The International Finance Centre is a landmark commercial complex featuring Hong Kong’s second tallest tower after ICC. Developed and owned by IFC Development—a joint venture including SHKP—the project was completed in September 2006 and offers over four million square feet of gross floor area. The development consists of two office towers (One IFC and Two IFC), the Four Seasons Hotel Hong Kong, and the IFC mall. Notable tenants include the Hong Kong Monetary Authority, which secured 14 floors in Two IFC in 2001.
The IFC mall spans four levels dedicated to upscale retail and dining options and houses Hong Kong’s inaugural Apple retail store.
Millennium City
Millennium City is a commercial complex consisting of multiple towers located along Kwun Tong Road. By 2016, Phases 1 through 3 as well as Phases 5 and 6 had been completed. Millennium City 1 is the largest building within this cluster, featuring twin towers each rising 30 storeys and offering a total of approximately 1,230,000 square feet of commercial space.
New Town Plaza
Situated in Sha Tin, New Town Plaza is an SHKP development finalized in three stages: Phase 1 comprises a nine-storey shopping mall; Phase 2 includes the Royal Park Hotel; and Phase 3 consists of private residential units plus a three-storey shopping mall. Upon completion during the 1980s, it was the largest development of its kind in the New Territories.
Royal Park Hotel is connected to both the metro system and New Town Plaza through covered walkways and is located near key attractions such as Che Kung Temple and Sha Tin Racecourse. During the Beijing 2008 Summer Olympics, it also accommodated equestrian athletes.
apm
Launched in March 2005, apm ranks among the largest shopping centers focused on attracting a younger audience. Its name, a blend of AM and PM, signifies its extended hours that facilitate late-night retail experiences. The mall hosts a wide array of shops, dining establishments, a cinema, an arcade, and a karaoke lounge, all designed to appeal to youthful shoppers with fashionable brands and diverse entertainment offerings.
Transitional housing project - United Court
SHKP pledged to lease three land parcels to non-governmental organizations for eight years at a token rent of HK$1, enabling the creation of approximately 2,000 social housing units for families with low income awaiting public housing allocation. In collaboration with the Hong Kong Sheng Kung Hui Welfare Council, the flagship United Court initiative, finalized in 2022, delivers residences for 1,600 families and supports up to 5,000 households.
Other businesses
The company’s operations extend into several complementary sectors including:
- Hotel management
- Property management services
- Telecommunications
- Information technology solutions
- Infrastructure development
A report from 2010 highlighted that SHKP alongside Cheung Kong (Holdings) controlled about 70% of new private residential developments—a significant increase from roughly 35% in 2003—attributed to government land auction policies favoring large-scale developers and limiting smaller competitors, as noted by the Consumer Council.
Subsequent clarification revealed that SHKP’s share of primary residential sales by attributable value between January and July 2010 remained stable at around 20%.
Construction and project management
Sanfield (Management) Limited, founded in 1974 and based at Sun Hung Kai Centre, serves as SHKP’s main construction project management subsidiary. Its core focus lies in constructing private residential buildings, commercial office towers, and integrated developments for SHKP.
The firm provides extensive services such as landscaping, electrical installations, fire safety systems, and construction equipment leasing. Through its subsidiaries and affiliated companies, Sanfield also delivers ready-mix and precast concrete products to both SHKP projects and external clients. It holds certifications from the Hong Kong Labour Department and The Hong Kong Institution of Engineers for construction safety and engineering training programs.
Notable projects overseen by Sanfield include:
- Sun Hung Kai Centre (1981)
- Two International Finance Centre (2003)
- The Arch (2006)
- The Cullinan (2009)
- International Commerce Centre (2010)
- Millennium City (1998–2022)
- YOHO Series Development (2004–2023)
- Sai Sha Road Expansion Project (2023)
Property management
Hong Yip Service Company Limited and Kai Shing Management Services Limited are two principal property management entities owned by SHKP, primarily active within Hong Kong.