Shopping Mall Business Joanna 陈 演

What is a shopping mall?  The planning, developing and operation control by the professional teams under the same group.  The landlord owns the whole properties, will not sell part of the mall to other holders.  The tenants mix depends on the request of the customers and makes customers enjoy the one- stop shopping environment.  Plenty car parking  Potential to build the new commercial area.

Shopping mall in China  Around 2000 shopping malls until year 2009 in China Mainland  Comparing with USA, only 510 shopping malls until year 2002, then slow down.

Success for shopping mall  Right Location  Always Design as a landmark  Suitable tenants mix for the market  Sustainable operation

Hang Lung Properties  Developer  Retailer  Residential — Office — Shopping mall — Mix used complex

Success of Hang Lung properties  High return of investment  The quality of income is excellent  The market is humongous in China  Business model is very defendable  The concept of strategy is simple  Avoid competition, enter the market earlier

Fashion Walk. Amoy Plaza. The Peak Galleria. One Grand Tower. Gala Place. Queensway Plaza. Kornhill Plaza Last updated Jul 2009

BUSINESS STRATEGY PORTFOLIO HANG LUNG PROPERTIES HONG KONG JINAN WUXI SHANGHAI SHENYANG TIANJIN DALIAN

COMPANY BACKGROUND PORTFOLIO HANG LUNG PROPERTIES Hang Lung Properties Limited (101.HK) is the property arm of Hang Lung Group Limited (010.HK). Core Business: Acquired two best sites at traditional commercial district in Puxi of Shanghai in 1992 and develop two landmark development complex - Plaza 66 & The Grand Gateway. Structure: Property development for Sale and Lease – Residential, Office and Commercial developments in prominent locations. Early Mover to China:

1999 The Grand Gateway, Shanghai 2001 Plaza 66, Shanghai 2010 Palace 66, Shenyang 2011 Parc 66, Jinan 2014 Centre 66, Wuxi 2013 Riverside 66, Tianjin 2012 Forum 66, Shenyang 2015 Olympia 66, Dalian and more to be announced...

PORTFOLIO SHANGHAI PORTFOLIO HANG LUNG PROPERTIES Nan Jing Xi Lu, Jin An District The Landmark of Shanghai Retail & Office: 211,400 s.m. Positioning: Deluxe Brands Highlights - Fashion: Chanel, Dior, Hermes, Louis Vuitton, Prada Watch & Jewelry: Bvlgari, Cartier, Tiffany & Co. Xujiahui, Xuhui District Heavy Pedestrian Flow Retail, Office, Serviced Apt & Residential Towers: 309,522 s.m. Positioning: Mid to High-end Brands Highlights: Bally, Coach, Marc by Marc Jacobs, Max Mara, Rolex, Zegna The Grand Gateway PLAZA 66

PORTFOLIO CHINA PORTFOLIO HANG LUNG PROPERTIES To expand in mainland China while continuing to invest in our home market of Hong Kong. Palace 66, Shenyang (Pre-leasing activities are now underway) Retail: 109,300 s.m. Parc 66, Jinan (Pre-leasing activities are now underway) Retail: 171,000 s.m. Forum 66, Shenyang Retail+ Office+ Hotel+ Serviced Apartments: 842,400 s.m. Riverside 66, Tianjin Retail: 152,800 s.m. Olympia 66, Dalian Retail: 221,900 s.m Centre 66, Wuxi Retail+ Office: 376,800 s.m.