Citi raises its estimated net asset value for property group Hongkong Land to HK$13.6/share from HK$12.9/share.

Citi analysts in a report cites more enquiries and fewer low-rent renewals for its offices, and higher rents at the group's commercial complex Landmark.

The company's target for US$200 million in share buybacks should also attract. The analysts now apply a 50% target NAV discount, narrowing from 60%, as Hongkong Land looks to be proactively selling low-performing assets for reinvestments in better-yielding assets.

Citi reckons the group could next sell property developer arm MCL Land to raise capital for reinvestment.

The bank maintains its buy rating and raises its target price to US$6.80, from US$5.16. Shares are last at US$6.02.