Hong Kong will mark the 29th anniversary of the establishment of the Hong Kong Special Administrative Region on Wednesday with an official flag-raising ceremony at Golden Bauhinia Square in Wan Chai, followed by a government reception at the city’s main convention venue. Chief Executive John Lee Ka-chiu and senior officials are scheduled to attend both events as the city stages its annual commemoration of the July 1 handover.

The flag-raising will take place at 8 a.m. outside the Hong Kong Convention and Exhibition Centre at Golden Bauhinia Square. Representatives from various community sectors and members of disciplined and uniformed groups are invited to attend, though authorities say there will be no public viewing area on site. The Hong Kong Police Band is set to perform, while singers Lam Chun and Yau Tsz-chin will lead the national anthem, joined by choirs from Belilios Public School and Queen’s College. Disciplined services will conduct salutes from the air and at sea as part of the ceremony.

After the ceremony, the government will host a celebration reception in the Grand Hall on the third floor of the Convention and Exhibition Centre, with the chief executive officiating. Police have announced special traffic arrangements in the vicinity of Golden Bauhinia Square during the events, and authorities have urged motorists to pay attention to temporary diversions and road closures in the Wan Chai area.

Across Hong Kong Island, Kowloon and the New Territories, districts have been decorated to mark the 29th anniversary of the city’s return. Large banners celebrating the founding of the SAR are visible along major roads, while buses and trams carrying commemorative designs are running through residential and commercial neighborhoods. Numerous landmarks and community spots have been lined with national and regional flags, creating what local media described as a “red sea” of decorations. Schools, traditional community groups and rural leaders have also taken part in the displays, underscoring efforts to present a festive atmosphere and an image of stability and prosperity as Hong Kong commemorates nearly three decades since the establishment of the SAR.

New World Development Co. and Ares Management Corp. have sharply cut asking prices for units at their grade-A office project in Hong Kong’s Cheung Sha Wan district, in one of the deepest discounts seen in the city’s commercial property market. According to people familiar with the matter and local media reports, prices at 83 Wing Hong Street have been reduced by as much as 57% from levels when the project first launched sales in 2024, with some units now offered below the developer’s original land cost.

After factoring in discounts and rebates, certain floors at the 28-storey tower are being marketed at about HK$5,600 per square foot, with other units around HK$7,000 per square foot, the people said. That compares with initial asking prices of roughly HK$13,000 per square foot at the start of the year and is lower than the about HK$7,996 to HK$8,000 per square foot New World paid for the site in 2017. The aggressive pricing underscores the pressure facing owners of commercial assets outside Hong Kong’s core business districts, even as sentiment in the broader property market has started to improve.

The building, completed in 2023 and branded “83 Wing Hong Street,” is located near Lai Chi Kok MTR station in Kowloon, about a five-minute walk from the railway and around a 20-minute train ride from Central. It comprises office space from the fifth floor upward, with a total gross floor area of roughly 440,000 square feet and includes both office and retail components. While the steep reductions have helped lift transaction momentum in recent weeks, they also highlight how landlords in non-core locations are having to adjust expectations to clear inventory.

Hong Kong’s office sector remains weighed down by high vacancies, particularly outside the traditional Central business district. Data from CBRE show the citywide office vacancy rate stood at 16.8% at the end of March, close to a historic high, amid a wave of new completions. That contrasts with signs of a broader recovery in the residential segment, leaving some investors reassessing exposure to commercial assets. Ares declined to comment on the pricing moves, while New World did not respond to requests for comment, according to earlier reports.