SWIRE PROPERTIES ANNUAL REPORT 2023 18. Right-of-use Assets (continued) The recognised right-of-use assets relate to the following types of assets: 2023 2022 HK$M HK$M Leasehold land held for own use 2,502 2,340 Property 153 142 2,655 2,482 The Group is the registered owner or occupant of its leasehold land. Upfront payments were made to acquire these interests in land and there are no ongoing payments to be made under the terms of the land leases (so that no lease liabilities are recognised) except, government rents and rates and other payments to the relevant government authorities, which may vary from time to time. Details relating to these interests in land are as follows: Leasehold land held for own use 2023 2022 HK$M HK$M Held in Hong Kong On medium-term leases (10-50 years) 338 345 On long-term leases (over 50 years) 2,065 1,995 2,403 2,340 Held in the Chinese Mainland On medium-term leases (10-50 years) 99 – 2,502 2,340 Lease arrangements for other types of assets are negotiated on an individual asset basis and contain a wide range of different terms and conditions including lease payments and lease terms. At 31st December 2023, right-of-use assets of HK$99 million (2022: nil) are pledged as security for secured loans and other borrowings. Properties occupied by the Group are transferred to investment properties following the end of occupation by the Group. The valuation increase from carrying amount to fair value in respect of such transfers during the year ended 31st December 2023 was HK$46 million (2022: less than HK$1 million). Additions to right-of-use assets during the year ended 31st December 2023 were HK$62 million (2022: HK$107 million). During the year ended 31st December 2023, cash outflows for leases were included in the consolidated statement of cash flows as (a) interest paid of HK$21 million (2022: HK$19 million) under “operating activities”, (b) payment for short-term and low-value assets leases of HK$31 million (2022: HK$32 million) under “operating activities” and (c) principal elements of lease payments of HK$82 million (2022: HK$66 million) under “financing activities”. 173