Hong Kong Monthly
This report analyses the performance of Hong Kong’s office, residential and retail property markets Hong Kong Monthly knightfrank.com.hk/research April 2020 OFFICE Rents in the CBD hit hardest amid cost-saving measures Hong Kong Island Kowloon Most of the new office lettings in March The COVID-19 pandemic continues to Office-leasing activity on Kowloon side were small premises of less than 3,000 depress office rents during the month, remained sluggish, with an increasing sq ft. As more tenants have implemented with rents in Central and Admiralty number of tenants undertaking a wait- cost-saving measures, demand for higher- dropping 18.6% and 22.2% YoY, and-see approach in March. Leasing end buildings started to edge down, respectively, extending the decline to activity was dominated by renewal leases leading to a drop in their rents. 11 consecutive months. With current and a handful of cases of expansion For instance, rents in premium buildings rents adjusted significantly downwards, and relocation in lower unit rents. For in Tsim Sha Tsui and Mong Kok fell 4.7% cost-conscious occupiers started to instance, an American fashion brand and 3.5% QoQ, respectively. seek bargain deals in the down market, relocated and expanded from its 6,000 triggering more leasing activity than sq ft-office in Harbourfront APEX in During the month, more tenants in the previous month. In Island East, Hung Hom to a 17,000 sq-ft space in adopted remote virtual inspections as an however, as office vacancies remained C-BONS in Kwun Tong at an effective alternative to on-site inspections amid the at a low level (Quarry Bay: 0.5%, North rent of HK$26.5 per sq ft per month, public gathering ban by the government Point: 5.1%), rents in the area remained which is 35% lower than its previous as one of the anti-epidemic measures.
[Show full text]