50 Jiaxia only 10 groups changed hands last month
In mid-June this year, Gao Yin Finance (00530) decided to abandon the Kowloon East Kai Tak Commercial and Hotel Site, which was awarded in May, which made the market of Grade A office buildings (hereinafter referred to as Jiaxia), which had been hit by Sino-US trade friction, worse. Midland Industrial and Commercial Services (00459) Data Research Department integrated the United States business data shows that Hong Kong’s top 50 companies recorded only 10 transactions in June, which is the four-month low since the record of nine in February this year. Looking at the first half of this year, the top 50 companies recorded a total of 89 transactions, which was 34% lower than the 134 cases in the first half of last year, but up 39% from 64 in the second half of last year.
The data showed that there were 10 transactions in Hong Kong in June, of which 6 were in Kowloon and 4 in Hong Kong. There were no transactions in the New Territories. The 10 transactions were down by 33% compared with 15 in May. The transaction area was reduced by approximately 68% from approximately 89,700 square meters in May to approximately 28,400 square feet in June.
Weng Hongxiang, director of operations and business director of Midland Industrial and Commercial Bank, said that office transactions rebounded from March to April, but the trade disputes between China and the United States changed in early May, which dragged down the market conditions. In June, the high-selling event also made the commercial market freeze. . He pointed out that about 80% of the transactions in the Jiasha recorded in June were due to the completion of the case, reflecting the bleak trading in the second half of June.
Weng Hongxiang believes that the market is accumulating purchasing power when the trading volume of Jiasha is reduced from May to June. When the news is digested, the trading volume of Jiasha is expected to rebound.