Wheelock Properties Limited (WPL), previously a listed subsidiary, became wholly owned by the Group in July 2010 by way of a scheme of arrangement.

Hong Kong
WPL's development landbank was partly depleted by the completion of the highly successful One Island South but reverted to 2.7 million square feet (attributable) following the recent acquisition of two commercial sites in Kowloon East.

One Island South in Aberdeen is a Grade A commercial building with a GFA of 812,800 square feet. The project was completed in June 2011, all the office floors of a total GFA of 722,300 square feet, pre-sold for total proceeds of HK$3.3 billion to generate a profit of HK$2.1 billion for the Group. The 90,500-square-foot retail podium will be held for investment pending the completion of the MTR South Island Line, which will include a station opposite to One Island South (target opening 2015).

The MTR Austin Station project is a prime residential development in Kowloon West being developed with New World Development on a 50:50 basis, with an attributable GFA of 641,000 square feet. It is located on top of the MTR station, next to the future High Speed Rail terminus to the Mainland (target opening 2015) and borders the West Kowloon Cultural District. The master layout plan and general building plan have been approved. Foundation work is underway.

Superstructure work for the residential development at 211-215C Prince Edward Road West, Homantin is underway. The development offers a total GFA of 91,700 square feet. Premium for the lease modification was paid in March 2011. The project is targeted for pre-sale in late 2011 subject to the pre-sale consent application process.

Foundation work for the residential development at 46 Belcher's Street, Western District is underway. The development offers a total GFA of 89,000 square feet. The project is scheduled for pre-sale in late 2011.

In July 2011, WPL won a tender for a 76,200-square-foot commercial site at the junction of Wai Yip Street, Shun Yip Street and Hoi Bun Road along the Kwun Tong waterfront for HK$3.53 billion, or HK$3,856 per square foot. The development, with a GFA of 914,900 square feet, will comprise two Grade A office buildings overlooking the Victoria Harbour and the future Kai Tak Cruise Terminal, with easy access to the Ngau Tau Kok MTR station.

In August 2011, WPL won another tender for a 147,500-square-foot commercial site at the junction of Hung Luen Road and Kin Wan Street, within the core commercial hub of Hung Hom, for HK$4.03 billion, or HK$6,827 per square foot. The development, with a total GFA of 590,000 square feet, will comprise two Grade A office buildings overlooking the Victoria Harbour, with easy access to MTR East and West Rails, through-train services to Guangzhou and the future Sha Tin-to-Central cross-harbour train service (target opening 2020).

On property investment, both properties in Central continued to perform well. Wheelock House was 98% leased. Crawford House was 95% and 97% leased for the office and retail areas respectively.

South China
In June 2011, WPL sold its 50% stakes in the joint ventures of four residential projects in Foshan, Guangdong to Wharf at a consideration of HK$3,388 million based on a property valuation of HK$5,138 million.

In accordance with the prevailing accounting standard, the estimated profit of HK$1.3 billion from this sale will be recognised between the second half of 2011 and 2015 upon the staged completion and sales of the respective properties.