Wong Chuk Hang Next new business map
The rental of commercial buildings in the core area has not seen a fall, and the organization has to move out. Huangzhukeng, which is only 10 minutes drive from Central, has a great chance to become the most popular area for relocation.
This year, Wong Chuk Hang is a very active area for the sale and purchase of industrial and commercial properties. Looking at the investment climate first, some investors have recently started the sale of the Wong Chuk Hang Industrial Building. They have provided 300 units and about $5 million to enter the market. The first batch of 8 floors and about 120 people will be on sale this week. It is reported that almost all of them have been reserved. , reflecting investors’ optimistic outlook for the region.
Central rents soared and spread around the surrounding area
As regards commercial rentals, the biggest rental of this year also appeared in Wong Chuk Hang District. Earlier, it was said that KPMG, one of the four major accounting firms, had to negotiate the multi-storey South Island Place, which covers a total of 150,000 square feet. On the floor, according to sources, the two sides have reached an agreement and will be officially relocated in the future.
Regardless of the sale and purchase and rental business, the Wong Chuk Hang industrial and commercial property has been watched. I believe that in the case of a sharp rise in the rental price in the core area of Hong Kong Island, investors are looking for low-water properties, so they are interested in entering the market, but when it comes to the most urgent, it should be The institutions that rent expensive office buildings have to think of ways to leave the Central and Border Areas.
The high rent in Central is not new. However, it is worth noting that the rents in the border areas have also risen sharply. The target of relocating tenants is no longer “nearly near the ground” but moved to a certain distance. According to the rent statistics of the weekly commercial buildings in Knight Frank, the rent of Central Supermarket was 196.7 yuan, while the overall rent in Central was 159.8 yuan, both hitting a record high, and the year-on-year increase was 6.7%, but the surrounding areas increased even more. With Central as the core, the surrounding commercial districts such as Wan Chai, Sheung Wan and Causeway Bay have a higher rental rate than Central. The above-mentioned rent is $85.2, up 14.5% year-on-year, and the Causeway Bay area has also increased by 9.1%. The increase in rents in the core area of Central has spread to neighboring areas.
Central rents are high. The international institutions that originally rented Central have begun to be unable to afford to rent and have to move out to save costs. The vacancy rate in Central Commercial Building is only about 1% or even lower. Even if the tenants with sufficient funds have no desire to expand, they will not expand. The floor can be rented, but only to other areas. When an institution considers relocation, the most important thing is that the rent is cheap and the savings are obvious, which can offset the relocation costs (including decoration, etc.). Second, the transportation must be convenient and the employees can go to work conveniently. On the Hong Kong Island side, Wong Chuk Hang is in two major conditions.
Wong Chuk Hang renting flats concentrated business district
The rent savings are the key to the relocation. The rental of the Kowloon East is relatively cheap. In general, the tenants of the Hong Kong Island also wish to stay on Hong Kong Island even if they move. The rents in Sheung Wan, Causeway Bay and Wan Chai will increase to $70 to $80 each. The savings in relocation are limited, but Wong Chuk Hang is a new development area and has not yet been fully formed. The rent of the new Jiaxia is relatively low. At present, the rent is only about 30 yuan, or even cheaper. If it is moved from the traditional commercial district of Hong Kong Island to Wong Chuk Hang, Saving more than half of the rent is economical. Taking KPMG as an example, moving to Wong Chuk Hang and renting a 30-yuan commercial building will save about 60% of the rent compared to the original rent of $75 per piece in Causeway Bay. Secondly, Wong Chuk Hang used to be a traditional industrial area. The commercial atmosphere was light. The biggest problem was the inconvenient traffic. Some senior commercial rental agents said that they had previously talked with customers about relocation, and tenants generally did not consider Wong Chuk Hang, and even did not want to go to the district. However, there have been major changes. There are many standard buildings in Wong Chuk Hang, and the commercial atmosphere has been upgraded. The most important thing is that after the opening of the Nangang Island Line, from Admiralty Station to Wong Chuk Hang Station, the journey takes no more than 10 minutes and is greatly shortened. The distance between Huangzhukeng and the core area.
In the previous year, Wong Chuk Hang recorded 4 lots of over $1 billion for sale in the entire industrial building. If no new buyers would re-establish the land price to be converted into a building, and with the new supply from the Government, it is expected that more buildings will be completed in the future. . According to the analysis of the consortium, geographically, the commercial area of Wong Chuk Hang, not far from Wong Chuk Hang Road and Xiang Ye Road, is conducive to concentration and favorable business district formation. Coupled with cheap rent and convenient transportation, it is believed to become the focus of the commercial market.