Market Update Summary - May 2019
- Economic uncertainly results in softer office rental growth The overall market recorded a modest net absorption amounting to 12,200 sq ft, behind a 71% m-o-m growth in new lettings. Leasing ...
Market Update Summary - May 2019
Economic uncertainly results in softer office rental growth
The overall market recorded a modest net absorption amounting to 12,200 sq ft, behind a 71% m-o-m growth in new lettings. Leasing requirements were focused in Hong Kong East as tenants continued to seek more cost effective options to set up offices and expand into. For instance, the Securities and Futures Commission reportedly leased 182,700 sq ft at One Island East in Quarry Bay, relocating and expanding out of Central.
Despite recording negative net absorption for the sixth month in a row, new lettings in Central were underpinned by expansion requirements from banking/finance and legal firms within the submarket. Notably, Goodwin Procter leased 13,100 sq ft at Edinburgh Tower to expand out of its existing space in Central.
Rental growth in the overall market slowed down to 0.2% m-o-m in April as the vacancy rate remained just slightly below 5%. The strongest growth was recorded in Hong Kong East (0.4% m-o-m), where the vacancy environment was the tightest among the major office submarkets.
Creditors on behalf of CEFC China Energy have reportedly sold 3 floors at Convention Plaza in Wanchai to local investors for HKD1.8 billion (HKD 36,324 per sq ft) via equity transfer, The selling price is about 30% higher than the price paid back in September.
Market Update Summary - Sep 2018
- South Island Place received its Occupation Permit in August, delivering 307,200 sq ft of Grade A office space to the Wong Chuk Hang office market. The realisation of pre-commitments in the building, ...
Market Update Summary - May 2018
- Strata-Titled office transactions surpass the HKD per HKD 60,000 per sq ft mark Net absorption in the overall market amounted to 634,200 sq ft in April, buoyed by the realization of ...
Market Update Summary - January 2018
- Housing prices in 2017 increase at their fastest pace in five years The realisation of pre-commitments at Lee Garden Three, issued with its Occupation Permit (OP) during the month, and ...
Market Update Summary - August 2017
- Office Leasing activity slowed amid the summer school holidays with a net withdrawal of 17,300 sq ft recorded in the overall market. Wanchai/Causeway Bay and Kowloon East benefitted from ...
Market Update Summary - April 2017
- Padded by tenant decentralisation, net take-up amounted to 52,000 sq ft in March. Wong Chuk Hang continued to attract strong interest with two Government departments reportedly leasing 57,500 sq ft ...
Market Update Summary - February 2017
- Despite a slowdown in leasing activity around the Chinese New Year holidays, net take-up in the overall market still amounted to 54,300 sq ft in January on the back of consolidation and/or relocation ...
Market Update Summary - 3rd Quarter 2016
- Lease expiries along with the on-oing relocation of tenants affected by the upcoming redevelopment of Warwick House and Cornwall House in Quarry Bay contributed to a net withdrawal of 76,400 sq ...