The average rental adjustment for Link Management properties between April and September last year was 8.3%,relatively moderate when compared with the 23.4% rise recorded in the private sector, Secretary for Housing, Planning & Lands Michael Suen says.

He told lawmakers today the Link has become a private entity since the Link REIT's public listing in November 2005 and is entirely independent of the Government and the Housing Authority.

While it determines its own day-to-day management, strategies, business mode and operation direction, Mr Suen said the Link's operations must comply with the prevailing legislation, conditions of government leases, and terms of covenants and agreements made between the Link and the authority.

More jobs

According to the Link, the change of tenants does not have much impact on the employment market as it can always find new tenants within a short period. Between April and September, the Link let out an additional floor space of 150,000 square feet, most of which had been left vacant for a long time in the past, and as a result created 800 jobs.

The overall letting situation of the shopping malls under the Link has also improved, with the letting rate rising from 91% in the first quarter last year to 92.3% in the third.

The Link will take effective measures to increase customer flow in shopping malls and formulate an appropriate trade mix, with reference to market conditions as well as the needs and spending power of the public rental housing tenants.