More than half of the rents in the Low School District

There is a new commercial building on the east side of Hong Kong Island, and the rent is at least one half lower than that in Central District. This has attracted Central Queenslanders to relocate and Hong Kong Island has become another key commercial area. It is believed that the prospects of Hong Kong Island East are worth watching.

Central district rents in the core area have reached record highs. The main reason is that mainland companies have come to Hong Kong to seize rented floors. At present, the best quality commercial buildings in Central include Guojin Phase 2, Exchange Square, etc., and rents are more than 150 yuan, while the Central District vacancy rate has dropped to 1.5. %, is a new low. The original foreign institutions rented in Central had to consider moving out of Central in order to save costs. In areas outside Hong Kong Island’s core area, Hong Kong Island East, with its mature development and relatively cheap rent, is the most attractive place for Central tenants to move into the district.

Taikoo Place is completed this year. New supply

Swire Properties (01972) built Hong Kong Island East Taikoofang Commercial Kingdom for many years, and the occupancy rate of the entire commercial building was satisfactory. The Group’s reconstruction of Quarry Bay Taikoo Square project with an initial investment of 15 billion yuan was completed. Taikoo Place and two blocks formed a new focal point in the area, offering 200 Ten thousand square feet of new supply.

Taikoo Place, which is expected to be completed this year, will attract Central renters to pre-lease, including Baker McKenzie, an international law firm that originally leased Hutchison Tower, and Ernst & Young will also move to the district for $50 to $70. Not equal, half the rent in Central is enough to attract tenants to relocate.

With regard to supporting facilities, the Central Wan Chai Bypass will be completed soon, greatly reducing the distance between Central and Hong Kong Island East. Traffic improvement will increase the interest of tenants moving to Hong Kong Island East.

Into another key commercial area

With the increase in rents for Central Commercial Buildings, the surrounding areas are likely to receive Central Loop tenants, and Hong Kong Island East has the greatest advantages in supporting and quality of properties. The most important thing is that rent savings are higher than Wanchai and Causeway Bay, and Hong Kong Island East is becoming another. In key commercial areas, rents are expected to increase.