Hang Lung Properties chair Adriel Chan warned that falling office rents in Hong Kong are pressuring the company's earnings, with no sign of improvement despite a recovering housing market. The real estate giant faces mounting challenges in its core commercial portfolio.

Hong Kong's office market has been plagued by prolonged vacancies and sliding rental rates since 2019. Major corporations have downsized or relocated operations, leaving prime districts like Central struggling to maintain occupancy levels above 85%. Chan's comments reflect broader market weakness.

Investors are watching whether Hang Lung can adapt through asset repositioning or diversification strategies. The company may need to restructure leases or convert underperforming properties. Management's approach to navigating this persistent downturn will shape future shareholder returns and property valuations.