Hong Kong Treasury Bureau: Strive to implement the inclusion of REITs in the mutual market access as soon as possible.

This year's Hong Kong budget mentioned that it will accelerate the inclusion of Real Estate Investment Trusts (REITs) in the mutual market access. Deputy Secretary of the Hong Kong Treasury, Edmond Lau, said they are working to implement this as soon as possible and closely collaborating with relevant mainland authorities. Once the implementation plan is approved by the mainland authorities, both sides will make a joint announcement promptly, expanding the investor base of REITs in both markets, enhancing their liquidity and attractiveness. Lau mentioned that the Hong Kong government plans to submit a draft bill to the Legislative Council by 2026 to introduce a statutory regime on mandatory offers and buy-back obligations during acquisition and unit repurchase of REITs, providing investors with protections similar to those under the Companies Ordinance. He noted that the government plans to submit a draft bill in the first half of 2027 to provide stamp duty exemptions for non-residential properties transferred by REITs preparing for listing, to facilitate REITs' inclusion in the mutual market access, ease their privatization, and support corporate restructuring measures. The proposed stamp duty exemptions will further support the development of the REITs market.