“Hong Kong Real Estate Market Watch” yesterday that the economy is unstable and the office market has tended to be dominated by tenants
The overall rent of Grade A office buildings in Hong Kong fell by 0.4% month-on-month.
The number of new leasing transactions in central office buildings fell by 31% month-on-month, and the vacancy rate rose to 3.6%, the highest since February 2015
Huang Zhihui, head of the Jones Lang LaSalle Greater China and Hong Kong research department, said that most property owners have no intention of reducing prices in order to accommodate investors’ lower valuations, so the office investment market continues to be quiet. Preliminary data shows that total office transaction volume fell 56% year-on-year to 33.6 billion yuan last year.
Leasing while rents are falling
At the same time, some companies in the market are also targeting leases for expansion. For example, the digital advertising company The Trade Desk will relocate from Wan Chai to Causeway Bay and lease two floors of Hysan Place, covering an area of about 2.89 million square feet.