2nd October 2026 – (Hong Kong) New World Development surged in early trade after confirming it will return the 11 Skies commercial complex at the airport to the Airport Authority, before momentum faded and the shares reversed. The stock jumped more than one tenth to HK$6.70 shortly after the open but later fell about five per cent to HK$5.755, down 4.9 per cent on the day. The move follows New World Development’s agreement to end its role in the project and provide compensation exceeding HK$3 billion, comprising HK$2.3 billion in cash and additional engineering and services capped at HK$1.0495 billion.
The developer said heavy impairments tied to 11 Skies of roughly HK$18.3 billion pushed it to a loss of about HK$28.1 billion for the 2025/26 financial year. Excluding the write‑downs and related provisions, underlying recurring net profit was approximately HK$2.2 billion, with core operating profit rising around 28 per cent to HK$7.7 billion, marking a return to profitability after three years.
Airport Authority executives said the complex will be renamed, repositioned and integrated into Skytopia, a HK$100 billion blueprint to create a retail, dining, business and entertainment hub around Hong Kong International Airport. Cissy Chan, the authority’s executive director of commercial, said roughly half of the 3.8 million square foot site will be dedicated to entertainment — including a proposed go‑kart track and pet‑friendly areas — with the remainder for food, beverage and retail. She added that a direct‑delivery fresh market originally slated outdoors would be moved inside, and leasing would emphasise “experimental” concepts beyond traditional luxury brands. The revamped venue is scheduled to open between late 2028 and 2029, with most space expected to be pre‑let by then, while Julian Lee, the authority’s executive director of finance, said New World Development’s cash and equivalents would be channelled to operating expenses for the project.
The handback removes a long‑term rental burden from New World Development. Under the original agreement, the company faced a minimum guaranteed rent of HK$1.8 billion a year, or 30 per cent of annual gross revenue — whichever was higher — from 2028 until 2066, implying total payments of roughly HK$70 billion over the 38‑year term. Lawmaker Perry Yiu Pak‑leung, a board member of the Airport Authority, welcomed the takeover and said bringing 11 Skies under Skytopia should help coordinate attractions such as the AsiaWorld‑Expo Phase 2 indoor arena with more than 20,000 seats and other planned facilities.
Originally conceived as a mixed entertainment, retail and office destination beside the airport, 11 Skies totals more than 3.8 million square feet, with about 70 per cent intended for retail and dining, and the balance split evenly between experiential attractions and three office towers. The shift to Skytopia is aimed at boosting access, curating immersive experiences and enticing both visitors and residents as post‑pandemic travel patterns evolve.
