View of HKRI Taikoo Hui shopping complex in Shanghai. CHINA DAILY
Swire Properties' retail portfolio on the Chinese mainland posted double-digit rental growth in the first half of 2026, buoyed by strong demand at its flagship luxury shopping centers as affluent consumers continued to spend on high-end brands.
Retail rental income from the Chinese mainland rose 13 percent from a year earlier to HK$2.57 billion ($327.4 million) in the six months ended June 30, according to interim results released by parent company Swire Pacific. Excluding currency movements, rental income increased 7 percent.
Taikoo Li Sanlitun in Beijing helped deliver the strong performance, with retail sales surging 63 percent and rental income climbing 16 percent after the completion of a tenant repositioning program and the opening of Hermes' global flagship store in April. Occupancy reached 100 percent at the end of June.
Swire attributed the improvement to a series of luxury flagship openings since late 2025, including standalone concept stores and architecturally distinctive boutiques, alongside the repositioning of the complex's South Area. The company also cited a rebound in international tourism and the country's expanded tax-refund policies for overseas visitors as supporting demand.
