HONG KONG EDITION
DECEMBER 2014
Hong Kong Commercial Real Estate at Your Fingertips
HONG KONG
WIN
KO
WL OO
UPS
N
en Where are w ow?
G
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Mainland Corporates Remain the Primary Drivers The best of the best
Market outlook
A comprehensive portfolio showcasing premier office leasing opportunities across Hong Kong
Investment yields are expected to edge up
Further tightening in secondary stock
Further tightening in secondary stock
36
PRIMARY DRIVER
FINDING SPACE BUYERS SHIFT
C OV E R S TORY Hong Kong Island 5 7
Sole Agency Appointments Special Listings Hot Listings
10
Recent Leasing Transactions
16
Kowloon Sole Agent Hot Listings Sole & Joint Sole Agency Appointments Hot Listings Recent Leasing Transactions
18 22 25 26 35
KEY TO PROPERTY ICONS Seaview
Mountain View
Garden View
Close to MTR Station
Raised Floor
Fitted-out
Parking
24-hour Air-conditioning
Close to Public Transport
This document has been prepared by Colliers International for advertising and general information only. Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. Any interested party should undertake their own inquiries as to the accuracy of the information. Colliers International excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damages arising there from. This publication is the copyrighted property of Colliers International and/or its licensor(s). Š2014. All rights reserved.
CENTRAL ADMIRALTY SHEUNG WAN WAN CHAI CAUSEWAY BAY ISLAND EAST
Hong Kong Island
SOUTHSIDE
38 WONG CHUK HANG ROAD | HONG KONG
Unveiling a new office icon A brand new Grade A development situated within minutes via the soon to be completed South Island Line to the Admiralty Railway Interchange.
For leasing enquiries, call us NOW SOLE AGENT Colliers International Agency Limited
Suite 5701, Central Plaza, 18 Harbour Road, Wanchai Hong Kong (Company Licence No. C-006069)
www.colliers.com
852 2822 0701 offices.hongkong@colliers.com
WAN CHAI
HONG KONG ISL AND
Sole Agent
3 Lockhart Road > > > > > > >
Approx. area: 1,080 - 4,604 sq ft gross Landlord’s provisions: Full ceiling systems Newly renovated premises with sea view Column-free design floorplate Close proximity to hotels Close to public transportation Availability: Immediate
WAN CHAI
Typical floor plan (For identification purpose only)
Billy Ng (S-285378)
Sam Gourlay (S-480270)
852 2822 0558 | 852 9145 8148 billy.ng@colliers.com
852 2822 0618 | 852 9100 0307 sam.gourlay@colliers.com
Sole Agent
Hopewell Centre 183 Queen’s Road East > > > >
Surrender space Approx. area: 3,232 sq ft lettable Mountain and city views Fully fitted. Open plan with 2 meeting rooms and 4 manager rooms > Furniture: Negotiable > Competitive rental package > Availability: Negotiable
Ryan Tong (S-322048) 852 2822 0613 | 852 9229 6000 ryan.tong@colliers.com Page 6 | Colliers International | Moving Times
Special Listing
Rare Whole Floor Office Premises for Lease King’s Road > > > > >
> > > >
Approx. area: 17,000 sq ft lettable Panoramic harbour view Fully fitted with high quality fixtures Full sea view Dedicated reception area, 5 conference rooms, 7 manager offices, over 120 workstations, wet pantry and breakout area Raised floor system In-house car parking Competitive rental package Availability: January 2015
QUARRY BAY
HONG KONG ISL AND
Philip Leung (S-468410)
Special Listing
Fully Fitted Law Firm Premises in Core Central Queen’s Road Central
CENTRAL
852 2822 0672 | 852 6117 6065 philip.leung@colliers.com
> Surrender space > High zone > Approx. area: from 8,000 up to whole floor 12,500 sq ft net > Approx. 100% efficiency > Long rent free period will be subsidised > 24-hour zoned central air-conditioning > Direct Central MTR Station access > Connected to the Central walkway network > Availability: To be confirmed
David Wood (S-308367) 852 2822 0694 | 852 9862 1573 david.wood@colliers.com Colliers International | Moving Times | Page 7
CENTRAL
HONG KONG ISL AND
Special Listing
Grade A Office Premises in Core Central Queen’s Road Central > > > > > > >
Approx. area: From 3,452 to 11,224 sq ft lettable High zone Full sea view Fully fitted Raised floor system Competitive rental package Availability: 1Q / 2Q 2015
Office Services - Hong Kong 852 2822 0668 offices.hongkong@colliers.com
QUARRY BAY
Company Licence No: C-006069
Special Listing
Grade A Office Premises for Lease King’s Road > > > > > >
Approx. area: 11,201 sq ft lettable Fully fitted with high quality fixtures Raised floor system In-house car parking Competitive rental package Availability: Negotiable
Billy Ng (S-285378)
Philip Leung (S-468410)
852 2822 0558 | 852 9145 8148 billy.ng@colliers.com
852 2822 0672 | 852 6117 6065 philip.leung@colliers.com
Page 8 | Colliers International | Moving Times
Special Listing
Garden View Office Premises in Core Central Queen’s Road Central
CENTRAL
HONG KONG ISL AND
> Approx. area: 3,630 sq ft lettable > Law firm fit-out > Fully fitted with meeting room, manager room, copying room and wet pantry > Raised floor > Competitive rental package > Availability: 1Q 2015
Office Services - Hong Kong 852 2822 0668 offices.hongkong@colliers.com
Special Listing
Rare Sizeable Premises for Lease in Island East King’s Road > > > > > >
Approx. area: From 10,000 to 50,000 sq ft gross Mid to high zone Open and sea views In-house car parking Competitive rental package Availability: Negotiable
ISLAND EAST
Company Licence No: C-006069
Office Services - Hong Kong 852 2822 0668 offices.hongkong@colliers.com Company Licence No: C-006069
Colliers International | Moving Times | Page 9
CENTRAL / ADMIRALTY
HONG KONG ISL AND
Hot Listings Bank of China Tower 1 Garden Road
AIA Central
1 Connaught Road Central Approx. Area (sq ft) 2,481 - 24,442 (L)
Approx. Area (sq ft) 13,553 - 27,106 (L)
Estimated Effective Rent (HKD psf) $80 - $85
Estimated Effective Rent (HKD psf) $120 - $130
Cheung Kong Center 2 Queen’s Road Central
China Building
29 Queen’s Road Central
Approx. Area (sq ft) 2,950 - 6,653 (L)
Approx. Area (sq ft) 3,421 - 9,439 (G)
Estimated Effective Rent (HKD psf) $120 - $130
Estimated Effective Rent (HKD psf) $65 - $70
Citibank Plaza - Citibank Tower 3 Garden Road
Citibank Plaza - ICBC Tower 3 Garden Road
Approx. Area (sq ft) 1,009 - 34,272 (L)
Approx. Area (sq ft) 954 - 33,507 (L)
Estimated Effective Rent (HKD psf) $65 - $75
Estimated Effective Rent (HKD psf) $65 - $75
CITIC Tower
Entertainment Building 30 Queen’s Road Central
1 Tim Mei Avenue
Approx. Area (sq ft) 3,253 - 18,080 (L)
Approx. Area (sq ft) 2,464 - 4,943 (L)
Estimated Effective Rent (HKD psf) $50 - $60
Estimated Effective Rent (HKD psf) $70 - $75
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Hong Kong
852 2822 0668 offices.hongkong@colliers.com
Page 10 | Colliers International | Moving Times
Hot Listings Hutchison House
Lippo Centre
10 Harcourt Road
89 Queensway Approx. Area (sq ft) 650 - 33,903 (G)
Approx. Area (sq ft) 829 - 5,168 (G)
Estimated Effective Rent (HKD psf) $50 - $65
Estimated Effective Rent (HKD psf) $45 - $62
CENTRAL / ADMIRALTY
HONG KONG ISL AND
Nan Fung Tower
Man Yee Building
60-68 Des Voeux Road Central
84-86 Connaught Road Central
Approx. Area (sq ft) 1,429 - 11,482 (L)
Approx. Area (sq ft) 979 - 8,940 (G)
Estimated Effective Rent (HKD psf) $72 - $75
Estimated Effective Rent (HKD psf) $48 - $53
Nexxus Building
Printing House
77 Des Voeux Road Central
6 Duddell Street Approx. Area (sq ft) 2,724 - 9,971 (L)
Approx. Area (sq ft) 592 - 5,344 (G)
Estimated Effective Rent (HKD psf) $60 - $70
Estimated Effective Rent (HKD psf) $60 - $65
Two International Finance Centre
Prosperity Tower
8 Finance Street
39 Queen’s Road Central Approx. Area (sq ft) 2,379 - 5,442 (G)
Approx. Area (sq ft) 1,569 - 21,637 (L)
Estimated Effective Rent (HKD psf) $65 - $70
Estimated Effective Rent (HKD psf)
$125 - $130
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Hong Kong
852 2822 0668 offices.hongkong@colliers.com
Colliers International | Moving Times | Page 11
SHEUNG WAN
HONG KONG ISL AND
Hot Listings FWD Financial Centre 308 Des Voeux Road Central
Golden Centre
188 Queen’s Road Central
Approx. Area (sq ft) 890 - 24,048 (G)
Approx. Area (sq ft) 1,816 (G)
Estimated Effective Rent (HKD psf) $35 - $36
Grand Millennium Plaza, COSCO Tower 183 Queen’s Road Central
Estimated Effective Rent (HKD psf) $35
One8One Queen’s Road Central 181 Queen’s Road Central
Approx. Area (sq ft) 1,080 - 11,000 (G)
Approx. Area (sq ft) 2,225 - 15,451 (G)
Estimated Effective Rent (HKD psf) $42 - $58
Estimated Effective Rent (HKD psf) $33 - $43
Shun Tak Centre
200 Connaught Road Central
The Center
99 Queen’s Road Central
Approx. Area (sq ft) 1,191 - 19,663 (G)
Approx. Area (sq ft) 1,625 - 25,050 (G)
Estimated Effective Rent (HKD psf) $42 - $55
Estimated Effective Rent (HKD psf) $55 - $73
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Hong Kong
852 2822 0668 offices.hongkong@colliers.com
Page 12 | Colliers International | Moving Times
Hot Listings 248 Queen’s Road East
Allied Kajima Building
Approx. Area (sq ft) 1,970 - 4,304 (G)
Approx. Area (sq ft) 2,470 - 13,752 (G)
Estimated Effective Rent (HKD psf) $33 - $38
Estimated Effective Rent (HKD psf) $36 - $38
Central Plaza
China Resources Building
Approx. Area (sq ft) 903 - 18,907 (L)
Approx. Area (sq ft) 2,496 - 15,471 (L)
Estimated Effective Rent (HKD psf)
$52 - $68
Estimated Effective Rent (HKD psf) $45 - $60
Dah Sing Financial Centre
Harbour Centre
Approx. Area (sq ft) 1,880 - 8,500 (L)
Approx. Area (sq ft) 1,098 - 6,575 (L)
Estimated Effective Rent (HKD psf) $55 - $58
Estimated Effective Rent (HKD psf) $47 - $65
Harcourt House
Hopewell Centre
Approx. Area (sq ft) 1,973 - 3,539 (G)
Approx. Area (sq ft) 1,304 - 7,853 (L)
Estimated Effective Rent (HKD psf) $34 - $40
Estimated Effective Rent (HKD psf) $47 - $55
Shui On Centre
Sun Hung Kai Centre
Approx. Area (sq ft) 879 - 11,501 (G)
Approx. Area (sq ft) 1,034 - 4,898 (L)
Estimated Effective Rent (HKD psf) $40 - $52
Estimated Effective Rent (HKD psf)
248 Queen’s Road East
18 Harbour Road
138 Gloucester Road
WAN CHAI
HONG KONG ISL AND
26 Harbour Road
108 Gloucester Road
39 Gloucester Road
6-8 Harbour Road
25 Harbour Road
183 Queen’s Road East
30 Harbour Road
$55 - $60
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Hong Kong
852 2822 0668 offices.hongkong@colliers.com
Colliers International | Moving Times | Page 13
CAUSEWAY BAY
HONG KONG ISL AND
Hot Listings Causeway Bay Plaza 1 489 Hennessy Road
Sino Plaza
255-257 Gloucester Road
Approx. Area (sq ft) 1,096 - 2,678 (G)
Approx. Area (sq ft) 2,595 - 4,101 (G)
Estimated Effective Rent (HKD psf) $36 - $38
Estimated Effective Rent (HKD psf) $40 - $45
Soundwill Plaza
The Lee Gardens
38 Russell Street
33 Hysan Avenue Approx. Area (sq ft) 1,590 - 7,156 (G)
Approx. Area (sq ft) 15,000 up (L)
Estimated Effective Rent (HKD psf) $43 - $47
Estimated Effective Rent (HKD psf) $45 - $63
Times Square
Top Glory Tower
1 Matheson Street
262 Gloucester Road Approx. Area (sq ft) 1,569 - 39,118 (G)
Approx. Area (sq ft) 1,666 - 6,092 (G)
Estimated Effective Rent (HKD psf) $47 - $55
Estimated Effective Rent (HKD psf) $40 - $46
Windsor House, ACE Tower 311 Gloucester Road
World Trade Centre 280 Gloucester Road
Approx. Area (sq ft) 856 - 19,897 (G)
Approx. Area (sq ft) 1,390 - 12,770 (G)
Estimated Effective Rent (HKD psf) $35 - $40
Estimated Effective Rent (HKD psf) $48 - $52
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Hong Kong
852 2822 0668 offices.hongkong@colliers.com
Page 14 | Colliers International | Moving Times
Hot Listings @Convoy
88 Hing Fat Street
169 Electric Road
88 Hing Fat Street Approx. Area (sq ft) 4,021 - 31,419 (G)
Approx. Area (sq ft) 1,400 - 4,200 (G)
Estimated Effective Rent (HKD psf) $33 - $36
Estimated Effective Rent (HKD psf) $27 - $28
148 Electric Road
ISLAND EAST
HONG KONG ISL AND
633 King’s Road
148 Electric Road
633 King’s Road Approx. Area (sq ft) 1,678 - 8,205 (G)
Approx. Area (sq ft) 7,260 - 10,045 (G)
Estimated Effective Rent (HKD psf) $26 - $27
Estimated Effective Rent (HKD psf) $30 - $38
AIA Tower
Citicorp Centre
183 Electric Road
18 Whitfield Road Approx. Area (sq ft) 1,135 - 11,967 (L)
Approx. Area (sq ft) 2,750 - 4,729 (G)
Estimated Effective Rent (HKD psf) $36 - $42
Estimated Effective Rent (HKD psf) $29 - $33
Prosperity Millennia Plaza 663 King’s Road
Best Building in Island East Island East
Approx. Area (sq ft) 660 - 8,314 (G)
Approx. Area (sq ft) 3,699 - 85,228 (L)
Estimated Effective Rent (HKD psf) $28 - $30
Estimated Effective Rent (HKD psf) $50 - $65
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Hong Kong
852 2822 0668 offices.hongkong@colliers.com
Colliers International | Moving Times | Page 15
HONG KONG ISL AND
Recent Leasing Transactions Building
Approx. Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Face Rent (HKD psf)
SHEUNG WAN / CENTRAL / ADMIRALTY 33 Des Voeux Road Central
3,400 (G)
New Lease
Medical & Health
$73.00
Admiralty Centre Tower 1
1,700 (G)
New Lease
Transportation & Logistics
$40.00
Central Tower
7,900 (L)
New Lease
Banking & Finance
$83.00
Citibank Plaza, ICBC Tower
1,700 (L)
New Lease
Banking & Finance
$76.00
Far East Finance Centre
1,300 (G)
Renewal
Trading
$48.00
Golden Centre
5,400 (G)
New Lease
Banking & Finance
$36.50
Grand Millennium Plaza, COSCO Tower
1,300 (G)
New Lease
Banking & Finance
$50.00
Grand Millennium Plaza, COSCO Tower
16,400 (G)
Renewal
Natural Resources
$55.00
Grand Millennium Plaza, COSCO Tower
1,200 (G)
New Lease
Real Estate
$47.00
Henley Building
2,700 (L)
New Lease
Banking & Finance
$66.00
Infinitus Plaza
3,400 (G)
New Lease
Banking & Finance
$41.50
LHT Tower
2,600 (L)
New Lease
Banking & Finance
$80.00
Lippo Centre - Tower 1
2,400 (G)
New Lease
Trading
$48.00
Lippo Centre - Tower 2
2,900 (G)
New Lease
Management Consulting
$50.00
Nine Queen's Road Central
5,500 (G)
New Lease
Food & Beverages
$48.00
Nine Queen's Road Central
2,800 (G)
Renewal
Legal
$67.52
One IFC
42,900 (L)
Restructure
Banking & Finance
$130.00
The Center
8,400 (G)
New Lease
I.T.
$60.17
The Center
1,600 (G)
New Lease
Banking & Finance
$58.46
The Centrium
4,200 (G)
New Lease
Consulate General
$45.00
Three Pacific Place
31,300 (L)
New Lease
Banking & Finance
$90.00
Two IFC
9,700 (L)
New Lease
Trading
$162.50
248 Queen's Road East
2,500 (G)
New Lease
Transportation & Logistics
$35.00
248 Queen's Road East
2,400 (G)
New Lease
Banking & Finance
$36.50
WA N C H A I / CAUSEWAY BAY
3 Lockhart Road
4,600 (G)
New Lease
Real Estate
$34.00
3 Lockhart Road
800 (G)
New Lease
Management Consulting
$31.00
3 Lockhart Road
1,500 (G)
New Lease
Accounting
$33.00
Causeway Bay Plaza 1
5,700 (G)
Renewal
Real Estate
$36.00
Central Plaza
10,100 (L)
Renewal
Media
$59.00
Central Plaza
6,600 (L)
Renewal
Banking & Finance
$52.50
Harcourt House
2,700 (L)
New Lease
Management Consulting
$37.00
One Hysan Avenue
3,500 (L)
New Lease
Beauty / Hair / Fitness
$42.00
Ruttonjee Centre, Ruttonjee House
2,100 (G)
Renewal
Banking & Finance
$51.00
Sun Hung Kai Centre
21,700 (L)
Renewal
Medical & Health
$51.50
88 Hing Fat Street
4,200 (G)
New Lease
Metal / Steel
$29.00
AIA Tower
7,000 (G)
New Lease
Transportation & Logistics
$44.50
Prosperity Millennia Plaza
8,300 (G)
New Lease
Transportation & Logistics
$29.10
9,800 (G)
New Lease
Government / Organization
$23.27
I S L A N D E A ST
WO N G C H U K HAN G Global Trade Square
(G) = Gross
(L) = Lettable
(N) = Net
Page 16 | Colliers International | Moving Times
KWAI CHUNG KWUN TONG HUNG HOM MONG KOK SAN PO KONG TSIM SHA TSUI TSUEN WAN
Kowloon
KWUN TONG
KOWLOO N
Sole Agent
Page 18 | Colliers International | Moving Times
KOWLOO N
The Rays
71 Hung To Road > Approx. area: 7,285 - 10.500 sq ft gross > Target completion in Q1 2015 > One of the newest office building in Kowloon East and part of government’s CBD2 initiative > 7 minutes walking distance to Kwun Tong MTR Station
Low Zone Plan (For identification purpose only)
High Zone Plan (For identification purpose only)
Rommel Lau (S-478252)
Ella Lai (S-342139)
852 2822 0765 rommel.lau@colliers.com
852 2822 0758 ella.lai@colliers.com Colliers International | Moving Times | Page 19
Hot Listing
One Harbour Square 181 Hoi Bun Road
COMMON AREAS* H.R.
C.D
LIFT 9
LIFT SHAFT
LIFT 7
LIFT SHAFT
AHU ROOM ACCESSIBLE UNISEX TOILET
P.D
UP
ELV. & E.M.R.
P.D
C.D
LIFT 2
DN.
LIFT LOBBY P.D
P.D
F. LAV.
LIFT SHAFT
P.D
M. LAV.
P.D
UP
LIFT SHAFT
P.D
ELV. & E.M.R.
EXC. LAV. DN.
LIFT 8
LIFT LOBBY
PANTRY
LIFT 10
H.R.
P.D
HOI BUN ROAD
KWUN TONG
KOWLOO N
LIFT 1 P.D
Floor plan (For identification purpose only)
> > > >
Brand new office building Typical floor area: 17,726 - 18,972 sq ft gross Raised floor system with 5 kPa floor loading Mid to high zone units enjoy magnificent views of Victoria Harbour and the Cruise Terminal > High efficiency column-free design > Whole floor units are available, allowing occupiers to fully utlise the corridor spaces > Benefitting from the CBD2 and the Kai Tak Development Project with improved infrastructure and transportation network
Fiona Ngan (E-197789)
Patrick Mak (E-187858)
852 2822 0751 fiona.ngan@colliers.com
852 2822 0752 patrick.mak@colliers.com
Page 20 | Colliers International | Moving Times
Hot Listing
Langham Place 8 Argyle Street > > > >
Approx. area: 17,398 sq ft gross Located in the heat of Mong Kok District On top of a large shopping mall and next to a hotel Good tenancy mix in the building portfolio
MONG KOK KOWLOON BAY
KOWLOO N
Floor plan (For identification purpose only)
Patrick Mak (E-187858)
Hot Listing
Iconic office Building in West Kowloon > > > > > > > > >
Approx. area: 22,115 sq ft gross Sea view Low zone Direct lobby entrance Single occupier floor Fully fitted or bare shell Very competitive rental package Above Airport Express Station Availability: Immediate
WEST KOWLOON KOWLOON BAY
852 2822 0752 patrick.mak@colliers.com
Sam Gourlay (S-480270) 852 2822 0618 | 852 9100 0307 sam.gourlay@colliers.com Colliers International | Moving Times | Page 21
KWAI CHUNG
KOWLOO N
Hot Listing
KC 100
100 Kwai Cheong Road
> > > > > >
Approx. area: 24,000 sq ft gross Target completion in Q1 2015 High standard office building Supported by many F&B 7 minutes walking distance to Kwai Hing MTR Station Green building design
Floor plan (For identification purpose only)
Fiona Ngan (E-197789)
Ella Lai (S-342139)
852 2822 0751 fiona.ngan@colliers.com
852 2822 0758 ella.lai@colliers.com
Page 22 | Colliers International | Moving Times
KOWLOO N
KWAI CHUNG KOWLOON BAY
Hot Listing
The Octagon 6 Sha Tsui Road
The above images shown represent an artist’s impression of the development concerned only, they are not photographs taken on-site. They are not drawn to scale and/or may have been edited and processed with computerised imaging techniques. The above images regarding the environment, views, and interior designs of the development concerned do not represent the actual environment, views and final interior designs. The developer also advises relevant persons to conduct an on-site visit for a better understanding of the development site, its surrounding environment and the public facilities nearby.
> > > >
Grade A office tower with approx. 400,000 sq ft gross Completed in Oct 2014 State-of-the-art specifications Practical floor plate of approx. 15,000 sq ft gross with 2,850 mm clear headroom and 150 mm raised floor > Elegant lobby with all-weather drop-off and the Sky Garden > Generous parking facilities and shuttle services to MTR station provided > An en-bloc ownership by a renowned developer K. Wah Group
Murphy Chung (E-216220)
Ivan Wong (E-241525)
852 2822 0755 murphy.chung@colliers.com
852 2822 0756 ivan.wong@colliers.com
Floor plan (For identification purpose only)
Colliers International | Moving Times | Page 23
KOWLOON BAY
KOWLOO N
Hot Listing
One Kowloon 1 Wang Yuen Street > > > >
Approx. area: 23,000 sq ft gross Grade A office specification Excellent tenancy mix within the portfolio Next to large shopping mall “MegaBox�
KWUN TONG
Floor plan (For identification purpose only)
Fiona Ngan (E-197789)
Steve Ng (E-188091)
852 2822 0751 fiona.ngan@colliers.com
852 2822 0753 steve.ng@colliers.com
Hot Listing
KOHO
108 Wai Yip Street > Approx. area: 16,151 - 24,545 sq ft gross > Revitalized office building > 7 minutes walking distance to Kwun Tong MTR Station
Floor plan (For identification purpose only)
Floor plan (For identification purpose only)
Patrick Mak (E-187858)
Steve Ng (E-188091)
852 2822 0752 patrick.mak@colliers.com
852 2822 0753 steve.ng@colliers.com
Page 24 | Colliers International | Moving Times
Jonathan Chan (S-467510) 852 2822 0762 jonathan.chan@colliers.com
Sole Agent
Hongkong Offshore Centre 28 Austin Avenue > > > >
Approx. area: 850 sq ft gross Serviced office One tenant per floor Supported with on demand meeting rooms
TSIM SHA TSUI KOWLOON BAY
KOWLOO N
Floor plan (For identification purpose only)
Simon Yu (S-414452)
Jonathan Liu (E-328848)
852 2822 0759 simon.yu@colliers.com
852 2822 0760 jonathan.liu@colliers.com
Miramar Tower 1-23 Kimberley Road > > > >
Approx. area: 6,600 sq ft gross Fully fitted with typical office furniture Overlooking Kowloon Park On top of a large shopping mall and next to a hotel
Floor plan (For identification purpose only)
Simon Yu (S-414452)
Jonathan Liu (E-328848)
852 2822 0759 simon.yu@colliers.com
852 2822 0760 jonathan.liu@colliers.com Colliers International | Moving Times | Page 25
KWUN TONG
KWUN TONG
KOWLOO N
Joint Sole Agent
Nanyang Plaza 57 Hung To Road > > > >
Approx. area: 1,700 - 5,100 sq ft gross High quality industrial / office building 7 minutes walking distance to Kwun Tong MTR Station Supported by many F&B and banking facilities nearby
Jonathan Chan (S-467510)
Jerry Tam (S-235750)
852 2822 0762 jonathan.chan@colliers.com
852 2822 0763 jerry.tam@colliers.com
Hot Listing
Capella HTR 47 Hung To Road > > > >
Approx. area: 3,300 - 7,000 sq ft gross Column free design, efficient layout 8 minutes walking distance to Kwun Tong MTR Station Newly renovated public areas
Floor plan (For identification purpose only)
Fiona Ngan (E-197789)
Wang Cheung (E-242098)
852 2822 0751 fiona.ngan@colliers.com
852 2822 0757 wang.cheung@colliers.com
Page 26 | Colliers International | Moving Times
Kowloon Commerce Centre Tower 2 51 Kwai Cheong Road
> Approx. area: 13,000 - 52,600 sq ft gross > The first green office building in Hong Kong registered under LEED certification > Covered bridge directly linked to the platform of Kwai Hing MTR Station > Good tenancy mix in the building portfolio > Large typical floor plate
Otto Hui (S-467500)
Rose Tam
852 2822 0761 otto.hui@colliers.com
852 2822 0764 rose.tam@colliers.com
Hot Listing
AXA Tower / AIA Kowloon Tower 100 How Ming Street > > > > >
Approx. area: 4,000 - 27,000 sq ft gross Modern Grade A office specifications 6 minutes walking distance to Kwun Tong MTR Station Nice seaview Both bare shell and fitted out units are available in this building
Steve Ng (E-188091)
Ivan Wong (E-241525)
852 2822 0753 steve.ng@colliers.com
852 2822 0756 ivan.wong@colliers.com
KWUN TONG KOWLOON BAY
Hot Listing
KWAI CHUNG KOWLOON BAY
KOWLOO N
Colliers International | Moving Times | Page 27
KOWLOON BAY
Hot Listing
Manhattan Place 23 Wang Tai Road > > > > >
Approx. area: 12,500 - 16,850 sq ft gross Panoramic seaview Next to the large shopping mall “MegaBox” Grade A office building in Kowloon Bay Good tenancy mix in its portfolio
Ivan Wong (E-241525)
Wang Cheung (E-242098)
852 2822 0756 ivan.wong@colliers.com
852 2822 0757 wang.cheung@colliers.com
YHC Tower 1 Sheung Yuet Road > > > >
Approx. area: 1,305 - 12,528 sq ft gross Brand new Grade A office in Kowloon Bay Panoramic seaview Next to the shopping mall ”MegaBox” & ”E-Max”
Ivan Wong (E-241525)
Jonathan Chan (S-467510)
852 2822 0756 ivan.wong@colliers.com
852 2822 0762 jonathan.chan@colliers.com
Page 28 | Colliers International | Moving Times
Hot Listing
8 Observatory Road > > > >
Approx. area: 5,425 - 13,565 sq ft gross Only new supply in TST market in 2015 Joint development by Lai Sun & Henderson 5 minutes away from MTR station
TSIM SHA TSUI KOWLOON BAY
KOWLOO N
Patrick Mak (E-187858)
Winson Lam (E-167195)
852 2822 0752 patrick.mak@colliers.com
852 2822 0754 winson.lam@colliers.com
Hot Listing
Prosperity Place 6 Shing Yip Street > > > >
Approx. area: 700 - 10,000 sq ft gross Recently renovated lift lobbies Porfolio Landlord 3 minutes away from MTR Station
KWUN TONG KOWLOON BAY
Floor plan (For identification purpose only)
Floor plan (For identification purpose only)
Jerry Tam (S-235750)
Jonathan Chan (S-467510)
852 2822 0763 jerry.tam@colliers.com
852 2822 0762 jonathan.chan@colliers.com
Colliers International | Moving Times | Page 29
KOWLOON EAST
KOWLOO N
Hot Listings Listing 9 Chong Yip Street
9 Chong Yip Street, Kwun Tong
APEC Plaza
49 Hoi Yuen Road, Kwun Tong
Approx. Area (sq ft) 1,400 - 1,900
Approx. Area (sq ft) 800 - 1,900
Estimated Effective Rent (HKD psf) $19 - $21
Estimated Effective Rent (HKD psf) $15 - $16
Kin Sang Commercial Centre 49 King Yip Street, Kwun Tong
Lu Plaza
2 Wing Yip Street, Kwun Tong
Approx. Area (sq ft) 800 - 6,300
Approx. Area (sq ft) 1,800 - 23,000
Estimated Effective Rent (HKD psf) $20 - $24
Estimated Effective Rent (HKD psf) $16- $18
Manulife Financial Centre 223-231 Wai Yip Street, Kwun Tong
Millennium City 1
388 Kwun Tong Road, Kwun Tong
Approx. Area (sq ft) 1,700 - 10,500
Approx. Area (sq ft) 800 - 21,500
Estimated Effective Rent (HKD psf) $26 - $29
Estimated Effective Rent (HKD psf) $28 - $32
Millennium City 2
378 Kwun Tong Road, Kwun Tong
Millennium City 5
418 Kwun Tong Road, Kwun Tong
Approx. Area (sq ft) 1,000 - 4,000
Approx. Area (sq ft) 3,300 - 18,000
Estimated Effective Rent (HKD psf) $26 - $27
Estimated Effective Rent (HKD psf) $33 - $36
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Kowloon
852 2822 0722 offices.kowloon@colliers.com
Page 30 | Colliers International | Moving Times
Hot Listings Rykadan Capital Tower
The Mark
Approx. Area (sq ft) 20,000 - 27,000
Approx. Area (sq ft) 1,594 - 12,195
Approx. Area (sq ft) 3,563
Estimated Effective Rent (HKD psf) $20 - $22
Estimated Effective Rent (HKD psf) $21 - 23
Estimated Effective Rent (HKD psf) $18 - $20
Wong Tze Building
South Asia Commercial Centre
Enterprise Square 1
Approx. Area (sq ft) 1,900 - 7,200
Approx. Area (sq ft) 1,000 - 10,300
Approx. Area (sq ft) 3,000 - 28,000
Estimated Effective Rent (HKD psf) $18 - $20
Estimated Effective Rent (HKD psf) Subject to offer
Estimated Effective Rent (HKD psf) $19.5 - $20
Enterprise Square 3
Exchange Tower
Skyline Tower
Approx. Area (sq ft) 2,200 - 16,100
Approx. Area (sq ft) 600 - 26,700
Approx. Area (sq ft) 1,200 - 17,200
Estimated Effective Rent (HKD psf) $25 - $30
Estimated Effective Rent (HKD psf) $27 - $30
Estimated Effective Rent (HKD psf) $22 - $25
Pioneer Place
213 Wai Yip Street, Kwun Tong
71 Hoi Yuen Road, Kwun Tong
135 Hoi Bun Road, Kwun Tong
164 Wai Yip Street, Kwun Tong
KOWLOON EAST
KOWLOO N
9 Sheung Yuet Road, Kowloon Bay
64 Tsun Yip Street, Kwun Tong
39 Wang Chiu Road, Kowloon Bay
33 Wang Chiu Road, Kowloon Bay
39 Wang Kwong Road, Kowloon Bay
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Kowloon
852 2822 0722 offices.kowloon@colliers.com
Colliers International | Moving Times | Page 31
TSIM SHA TSUI
KOWLOO N
Hot Listings 10 Knutsford Terrace
China Hong Kong City
Chinachem Golden Plaza
33 Canton Road
77 Mody Road
Approx. Area (sq ft) 687 - 4,145
Approx. Area (sq ft) 1,000 - 8,000
Approx. Area (sq ft) 1,300 - 20,000
Estimated Effective Rent (HKD psf) $26 - $28
Estimated Effective Rent (HKD psf) $28 - $31
Estimated Effective Rent (HKD psf) $28 - $29
South Sea Centre
Miramar Tower
The Gateway Tower 1
Approx. Area (sq ft) 2,600 - 12,000
Approx. Area (sq ft) 900 - 14,000
Approx. Area (sq ft) 1,100 - 15,900
Estimated Effective Rent (HKD psf) $29 - $32
Estimated Effective Rent (HKD psf) $40 - $45
Estimated Effective Rent (HKD psf) $38 - $48
The Gateway Tower 2
The Gateway Tower 6
Ocean Centre
9 Canton Road
5 Canton Road
Approx. Area (sq ft) 1,000 - 18,000
Approx. Area (sq ft) 1,400 - 25,000
Approx. Area (sq ft) 600 - 16,000
Estimated Effective Rent (HKD psf) $38 - $48
Estimated Effective Rent (HKD psf) $48 - $57
Estimated Effective Rent (HKD psf) $36 - $42
10 Knutsford Terrace
75 Mody Road
25 Canton
1-23 Kimberley Road
25 Canton Road
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Kowloon
852 2822 0722 offices.kowloon@colliers.com
Page 32 | Colliers International | Moving Times
Hot Listings Trade Square
Billion Plaza II
Cheung Sha Wan Plaza
Approx. Area (sq ft) 1,800 - 43,000
Approx. Area (sq ft) 348 - 11,600
Approx. Area (sq ft) 1,100 - 12,500
Estimated Effective Rent (HKD psf) $21- $23
Estimated Effective Rent (HKD psf) $23 - $25
Estimated Effective Rent (HKD psf) $18 - $20
Laford Centre
Saxon Tower
ATL Logistic Centre
Approx. Area (sq ft) 570 - 8,700
Approx. Area (sq ft) 550 - 8,000
Approx. Area (sq ft) 5,800 - 15,300
Estimated Effective Rent (HKD psf) $16 - $18
Estimated Effective Rent (HKD psf) $21 - $24
Estimated Effective Rent (HKD psf) $12 - $13
Ever Gain Plaza
Manhattan Centre
Metroplaza Tower 1
Approx. Area (sq ft) 1,700 - 10,800
Approx. Area (sq ft) 8,900 - 15,800
Approx. Area (sq ft) 1,400 - 15,300
Estimated Effective Rent (HKD psf) $16 - $18
Estimated Effective Rent (HKD psf) $15 - $16
Estimated Effective Rent (HKD psf) $29 - $30
681 Cheung Sha Wan Road, Cheung Sha Wan
838 Lai Chi Kok Road, Cheung Sha Wan
8 Cheung Yue Street, Cheung Sha Wan
7 Cheung Shun Street, Cheung Sha Wan
88 Container Port Road, Kwai Chung
8 Kwai Cheong Road, Kwai Chung
833 Cheung Sha Wan Road, Cheung Sha Wan
KOWLOON WEST
KOWLOO N
Container Terminal 3, Kwai Chung
223 Hing Fong Road, Kwai Chung
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Kowloon
852 2822 0722 offices.kowloon@colliers.com
Colliers International | Moving Times | Page 33
OTHERS
KOWLOO N
Hot Listings The Metropolis Tower
10 Metropolis Drive, Hung Hom
The Harbourfront Towers 18-22 Tak Fung Street, Hung Hom
Approx. Area (sq ft) 1,200 - 11,000
Approx. Area (sq ft) 2,000 - 20,000
Estimated Effective Rent (HKD psf) $33 - $37
Estimated Effective Rent (HKD psf) $27 - $32
Park-In Commercial Centre 56 Dundas Street, Mong Kok
Skyway House
3 Sham Mong Road, Tai Kok Tsui
Approx. Area (sq ft) 400 - 10,300
Approx. Area (sq ft) 500 - 11,500
Estimated Effective Rent (HKD psf) $26 - $28
Estimated Effective Rent (HKD psf) $18 - $19
Delta House
Grand Central Plaza
3 On Yiu Street, Sha Tin
138 Sha Tin Rural Committee Road, Sha Tin Approx. Area (sq ft) 700 - 16,800
Approx. Area (sq ft) 1,200 - 7,600
Estimated Effective Rent (HKD psf) $18
Estimated Effective Rent (HKD psf) $30 - $32
HK Science Park Phase III Pak Shek Kok, New Territories
Landmark North
39 Lung Sum Avenue, Sheung Shui
Approx. Area (sq ft) 33,610
Approx. Area (sq ft) 700 - 8,200
Estimated Effective Rent (HKD psf) $17 - $18
Estimated Effective Rent (HKD psf) $23 - $25
Estimated effective rent (HK$ per sq ft) is calculated by deducting incentives for a 36-month term from the face rental and is NOT the landlord’s quoted figure. (G) = Gross
(L) = Lettable
(N) = Net
Office Services - Kowloon
852 2822 0722 offices.kowloon@colliers.com
Page 34 | Colliers International | Moving Times
KOWLOO N
Recent Leasing Transactions Building
Approx. Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Effective Rent (HKD psf)
The Gateway Tower 6
11,346 (G)
New Letting
Others
$46.50
Tsimshatsui Centre
1,042 (G)
New Letting
Others
$38.00
The Gateway Prudential Tower
2,459 (G)
New Letting
Others
$41.00
Miramar Tower
2,232 (G)
New Letting
Others
$48.00
Energy Plaza
12,427 (G)
New Letting
Others
$26.00
AIA Kowloon Tower
46,503 (G)
New Letting
Others
$26.00
Kin Sang Commercial Centre
4,459 (G)
New Letting
Shipping / Logistics
$19.30
Lu Plaza
9,960 (G)
Renewal
Consumer Products
$19.30
Millennium City 1 SC Tower
40,617 (G)
New Letting
Sourcing
$24.00
Octa Tower
35,500 (G)
New Letting
Construction / Engineering
$18.00
909 Cheung Sha Wan Road
12,699 (G)
New Letting
Others
$22.00
Kowloon Commerce Centre Tower A
23,561 (G)
Renewal
Consumer Products
$29.20
Manhattan Centre
6,655 (G)
New Letting
Others
$14.50
Trade Square
2,960 (G)
New Letting
Others
$20.00
Cheung Sha Wan Plaza 2
5,605 (G)
Renewal
Shipping / Logistics
$21.00
11,564 (G)
Renewal
Others
$29.50
Grand Century Place Tower 1
6,683 (G)
New Letting
IT & T
$34.50
Langham Place
17,398 (G)
New Letting
Consumer Products
$38.00
Skyway House
7,918 (G)
Renewal
Others
$14.50
TSIM SHA TSUI
KOWLOON EAST
KOWLOON WEST
HUNG HOM The Harbourfront Tower 2 MONG KOK
(G) = Gross
(L) = Lettable
(N) = Net
Colliers International | Moving Times | Page 35
COLLIERS INTERNATIONAL | MARKE T OVERVIEW
Further tightening in secondary stock Despite lackluster demand from global occupiers against a general backdrop of cost-cutting, overall Grade A net absorption increased by 352,000 sq ft quarter-on-quarter (QoQ) during 3Q 2014. In fact, all major sub-markets recorded positive net take-up, especially in the sub-markets of Central/Admiralty and Kowloon East with a positive net-take up of 104,800 sq ft QoQ and 131,400 sq ft QoQ respectively.
Grade A Office Net Take-up 1,500,000
500,000
0
-500,000
1Q 2007 2Q 2007 3Q 2007 4Q 2007 1Q 2008 2Q 2008 3Q 2008 4Q 2008 1Q 2009 2Q 2009 3Q 2009 4Q 2009 1Q 2010 2Q 2010 3Q 2010 4Q 2010 1Q 2011 2Q 2011 3Q 2011 4Q 2011 1Q 2012 2Q 2012 3Q 2012 4Q 2012 1Q 2013 2Q 2013 3Q 2013 4Q 2013 1Q 2014 2Q 2014 3Q 2014
Net Floor Area (sq ft)
1,000,000
Colliers View In Central, demand was mainly underpinned by new leasing enquiries from mainland financial firms while Kowloon East continued to benefit from increased demand as tenants look for cost saving alternatives. The Hong Kong overall vacancy rate recorded a record low of 4% in August 2014 which supports relatively stable leasing rates for the rest of the year.
-1,000,000
Source: Colliers
Colliers View
Finding space remains a challenge Looking rental rates, overall Grade A office rents stabilised during 3Q 2014 with all districts experiencing flat to mild rental growth of 2% QoQ. The main factor behind the flat rental market is that most tenants are expected to remain in situ upon lease expiry. Low vacancy rates, and the lack of new supply continue to make relocating a challenge for occupiers. Overall, our research suggests that Grade A office rentals will remain flat, seeing a nominal growth of 0.6% in 2014 and a further 2.7% in 2015.
Page 36 | Colliers International | Moving Times
With the ongoing tight supply situation, tenants are opting to renew leases rather than relocate, focusing more on maximising efficiencies in terms of costs and space planning. Looking forward, Central rents are expected to remain firm, with relocation costs rising and office space of 10,000 sq ft or above increasingly difficult to find. Aside from that, most sub-markets on Hong Kong Island may see a 4-5% growth amid low vacancy rates and a shortage of new supply in the pipeline. In contrast, landlords in Kowloon East continued to face intense competition for tenants as lower grade offices and industrial revitalisation buildings have become alternatives for cost-conscious tenants, causing downward pressure on office rents.
COLLIERS INTERNATIONAL | MARKE T OVERVIEW
Mainland corporates remain the primary driver Leasing activity in Central continues to be dominated by mainland financial institutions with space requirements ranging from 10,000 to 100,000 sq ft as they establish trading and settlement facilities ahead of the launch of the ShanghaiHong Kong Stock Connect. With trading volumes gathering momentum, new enquiries have also started to come in from second-tier financial institutions.
Colliers View
Hong Kong Grade A Rents in Central
Jan-15
Jan-13
Jan-14
Jan-11
Jan-12
Jan-07
-100%
Jan-10
0%
-50%
Jan-09
25%
0% Jan-08
50%
50% Jan-05
75%
100%
Jan-06
100%
150%
Jan-03
125%
200%
Jan-04
150%
250%
Jan-01
175%
Jan-02
350% 300%
-25% -50%
Central Office Rent (% YoY)
Stock Market Turnover (% YoY) - (6-month lead)
Central Office Rent (% change year-on-year)
400%
200%
Jan-00
Hong Kong Stock Market Monthly Volume (% change year-on-year)
(vs Stock market turnover)
Source: Colliers;Hong Kong Stock Exchange
With vacancy rates in Central tightening from 5% at the start of the year to around 4% at August 2014, landlords are not facing high pressure to retain tenants. Based on our correlation analysis between the Hong Kong stock market volume turnover and Central office rents, Colliers believe that a rising average daily trading turnover from HK$62.2 billion in the first half of the year to HK$75.1 billion in September 2014, aided by the upcoming Hong Kong-Shanghai Stock Connect, office rents in Central have stabilised and will likely sustain, with a slight positive growth of 5% on a year-onyear basis. The correlation analysis is based on the basic fact that financial services tenants occupy the majority of Grade A office stock in Central.
Buyers shift from investors to owner-occupiers Transaction activity remained slow on a year-on-year basis with the government’s restrictive measures still in place. Nevertheless, a notable transaction recorded during the quarter was the acquisition of Fook Lee Commercial Centre at 33 Lockhart Road in Wan Chai by Asia Standard International Group for HK$1.11 billion or HK$13,785 per sq ft (on gross floor area). We have observed an increasing number of tenants opting to purchase their own premises. For example, in the strata-title sales market, the new office building W50 was launched for sale in Wong Chuk Hang with all premises sold in the range of HK$11,300 – HK$22,700 per sq ft (on gross floor area). In 3Q 2014, the total value of office sales transactions above HK$30 million reached HK$5.5 billion, which is 13% below its long-term average level of HK$6.4 billion per quarter (2004-2013).
Colliers View
Hong Kong Office Investment Sales Transactions 15 10
Historical Average: HK$6.4 billion
5
Note: Investment sales transactions with lump sums of HK$30 million or above
1Q 2014
3Q 2014
1Q 2013
3Q 2013
3Q 2012
3Q 2011
1Q 2012
1Q 2011
3Q 2010
1Q 2010
3Q 2009
1Q 2009
3Q 2008
1Q 2008
1Q 2007
3Q 2007
1Q 2006
3Q 2006
3Q 2005
1Q 2005
1Q 2004
0 3Q 2004
Total Turnover (HK$ billion)
20
With large occupiers seeking to consolidate their operations under one roof and looking at alternative corporate real estate strategies, there is a growing enthusiasm amongst owner occupiers to purchase rather than lease and relocate every few years. This is driven by the lack of large, contiguous space available for lease and the increasing fit-out and relocation costs. Looking forward, investment yields are expected to edge up slightly by 5 basis points and likely continue to hover around 3% in the coming quarters considering that the US may start to raise Fed Funds rate in 2015 and the slow pace of rental growth. Colliers International | Moving Times | Page 37
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Office Services - Kowloon Unit 6, 16/F BEA Tower, Millennium City 5 418 Kwun Tong Road, Kwun Tong Kowloon Tel: 852 2822 0722 Fax: 852 2117 3311 Email: offices.kowloon@colliers.com