HONG KONG EDITION
January 2014
Hong Kong Commercial Real Estate at Your Fingertips
OO
N
d ow n sw i n g
he re are we now ?
WL
hong kong
up wn swi ng
PEAK
KO
W
tro u g h Will The Office Market Trot or Gallop in
?
The best of the best
Market outlook
A comprehensive portfolio showcasing premier office leasing opportunities across Hong Kong
Rental momentum softening
Office rents in Kowloon East poised to fall by 10%
W As we move swiftly into the new year, there is a sense of anticipation due to the uncertainty for the year ahead. Economic trends have been generally positive with the European economy entering recovery mode and the US economy, meanwhile, is growing at a rising pace. Having said that, we have also witnessed a slowing of economic growth in principal emerging economies such as China and India which have a profound effect on Hong Kong. In tandem with the somewhat lackluster business atmosphere, most organisations remained cost-conscious with overall Grade A net take-up contracting in 4Q 2013. This trend is likely to continue in 2014 if business conditions remain unchanged. Looking into 2014, office rents in Kowloon East are expected to see a downward adjustment of 10% over the next 12 months with substantial new office supply scheduled to enter the Kowloon market starting from 2014 and more investors putting their units up for lease amid an inactive investment market. On Hong Kong Island, office rents in Central are expected to remain fairly flat (with a small decline of 0.5% over the next 12 months) while rental growth in Island East will be slightly higher by 3.1% during the period due to the sustained demand for office space with large floor plates in the district. We take this opportunity to wish you happiness and prosperity in the Year of the Horse, and we look forward to being of service to you in the months ahead.
Wendy Lau
Fiona Ngan
(E-141423)
(E-197789)
Executive Director Office Services | Hong Kong
General Manager Office Services | Kowloon
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.
Hong Kong’s
c o ver S tory
h e a r t b e at Office Rents in Kowloon East Poised to Fall by 10%
Hong Kong Island Sole Agency Appointments Special Listings
5 7 8
Hot Listings Recent Leasing Transactions
14
Kowloon Sole Agency Appointments Joint Sole Agency Appointment Hot Listings Recent Leasing Transactions
16 18 19 27
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
central admiralty SHEUNG WAN wan chaI causeway bay island east
Hong Kong Island
Sole Agent
3 Lockhart Road > > > > > > >
Approx. Area: 1,435 - 4,604 sq ft gross Landlord’s Provisions: Full ceiling systems and carpet Clean, newly renovated premises Column-free design floorplate Close proximity to hotels Close to public transportation Availability: Immediate
wan chai
hong kong isl and
Typical floor plan (For identification purpose only)
Office Services - Hong Kong 852 2822 0668 offices.hongkong@colliers.com
Sole Agent
Kerry Centre
683 King’s Road > > > > > >
> > > >
Surrender space Approx. area: 17,000 sq ft lettable Whole floor premises Panoramic harbour view Fully fitted with high quality fixtures Dedicated reception area, 5 conference rooms, 7 manager offices, over 120 workstations, wet pantry and breakout area Raised floor system In-house car parking 5 minutes walk to Quarry Bay MTR Station Availability: Negotiable
quarry bay
Company Licence No: C-006069
Philip Leung (S-468410) 852 2822 0672 | 852 6117 6065 philip.leung@colliers.com Colliers International | Moving Times | Page 5
wan chai
hong kong isl and
Sole Agent
AXA Centre 151 Gloucester Road
Central
> > > > > > >
Surrender space Approx. area: 1,706 sq ft gross Fully fitted in excellent condition Furnished office Attractive rental package In-house car parking Availability: Negotiable
Caris Yeung (S-106301)
Philip Pang (S-460890)
852 2822 0576 | 852 9326 5256 caris.yeung@colliers.com
852 2822 0729 | 852 6017 9108 philip.pang@colliers.com
Special Listing
Quality Office Space in Central Queen’s Road Central
> Approx. area: 3,330 sq ft gross > Fully fitted with raised floor system > Open plan office with one conference room, multiple workstations, IT room and one wet pantry > Easy access to Central MTR Station > Availability: Mid of 2014
Philip Leung (S-468410) 852 2822 0672 | 852 6117 6065 philip.leung@colliers.com Page 6 | Colliers International | Moving Times
hong kong isl and
causeway bay
Special Listing
Iconic Office Building in Causeway Bay Hysan Avenue
> Approx. area: 2,400 sq ft lettable > Mid zone premises with a conference room, 2 manager rooms and wet pantry > Easy access to public transportation > Availability: April-2014
Jonathan Der (S-453079)
Special Listing
Fully Fitted Office Premises in World Trade Centre 280 Gloucester Road > > > > > > > > >
Approx. area: 2,778 sq ft gross Mid zone City view Fully fitted premises Column-free design floorplate In-house car parking Few minutes walk to Causeway Bay MTR Station In-house car parking Availability: April-2014
Billy Ng (S-285378)
Jonathan Der (S-453079)
852 2822 0558 | 852 9145 8148 billy.ng@colliers.com
852 2822 0555 | 852 9761 9961 jonathan.der@colliers.com
causeway bay
852 2822 0555 | 852 9761 9961 jonathan.der@colliers.com
Colliers International | Moving Times | Page 7
Central / admiralty
hong kong isl and
Hot Listings Bank of China Tower 1 Garden Road
Cheung Kong Center 2 Queen’s Road Central
Approx. Area (sq ft) 8,430 - 24,442 (L)
Approx. Area (sq ft) 2,379 - 10,577 (L)
Estimated Effective Rent (HKD psf) $70 - $75
Estimated Effective Rent (HKD psf) $100 - $120
Citibank Plaza - Citibank Tower 3 Garden Road
Citibank Plaza - ICBC Tower 3 Garden Road
Approx. Area (sq ft) 1,247 - 120,391 (L)
Approx. Area (sq ft) 954 - 132,544 (L)
Estimated Effective Rent (HKD psf) $65 - $80
Estimated Effective Rent (HKD psf) $65 - $80
CITIC Tower
Club Lusitano
1 Tim Mei Avenue
16 Ice House Street Approx. Area (sq ft) 3,253 - 36,160 (L)
Approx. Area (sq ft) 3,092 - 9,276 (G)
Estimated Effective Rent (HKD psf) $55 - $65
Estimated Effective Rent (HKD psf) $45 - $50
Entertainment Building 30 Queen’s Road Central
Hutchison House 10 Harcourt Road
Approx. Area (sq ft) 658 - 6,055 (L)
Approx. Area (sq ft) 650 - 26,541 (G)
Estimated Effective Rent (HKD psf) $60 - $70
Estimated Effective Rent (HKD psf) $50 - $60
Estimated effective rent (HK$ 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
Page 8 | Colliers International | Moving Times
Hot Listings Lippo Centre
Man Yee Building
89 Queensway
60-68 Des Voeux Road Central Approx. Area (sq ft) 974 - 12,108 (G)
Approx. Area (sq ft) 2,744 - 27,387 (L)
Estimated Effective Rent (HKD psf) $45 - $62
Estimated Effective Rent (HKD psf) $62 - $68
Nan Fung Tower
84-86 Connaught Road Central
Nexxus Building
77 Des Voeux Road Central
Approx. Area (sq ft) 685 - 7,774 (G)
Approx. Area (sq ft) 2,724 - 9,971 (L)
Estimated Effective Rent (HKD psf) $36 - $38
Estimated Effective Rent (HKD psf) $60 - $65
One International Finance Centre 1 Harbour View Street
Central / admiralty
hong kong isl and
Prosperity Tower
39 Queen’s Road Central Approx. Area (sq ft) 3,030 - 7,338 (L)
Approx. Area (sq ft) 1,720 - 16,449 (G)
Estimated Effective Rent (HKD psf) $115- $130
Estimated Effective Rent (HKD psf) $55 - $65
Two International Finance Centre
The Centrium
8 Finance Street
60 Wyndham Street Approx. Area (sq ft) 1,498 - 6,141 (G)
Approx. Area (sq ft) 2,308 - 22,982 (L)
Estimated Effective Rent (HKD psf) $30 - $50
Estimated Effective Rent (HKD psf)
$110 - $150
Estimated effective rent (HK$ 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 9
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 - 8,016 (G)
Approx. Area (sq ft) 1,383 - 5,385 (G)
Estimated Effective Rent (HKD psf) $35 - $36
Grand Millennium Plaza, COSCO Tower 183 Queen’s Road Central
Estimated Effective Rent (HKD psf) $36 - $38
One8One Queen’s Road Central 181 Queen’s Road Central
Approx. Area (sq ft) 1,080 - 20,506 (G)
Approx. Area (sq ft) 1,803 - 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) 1,199 - 18,337 (G)
Approx. Area (sq ft) 1,746 - 42,101 (G)
Estimated Effective Rent (HKD psf) $42 - $55
Estimated Effective Rent (HKD psf) $45 - $70
Estimated effective rent (HK$ 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 28 Hennessy Road
248 Queen’s Road East
Approx. Area (sq ft) 4,935 up (L)
Approx. Area (sq ft) 793 - 6,792 (G)
Estimated Effective Rent (HKD psf) $45 - $65
Estimated Effective Rent (HKD psf) $33 - $38
Central Plaza
China Resources Building
Approx. Area (sq ft) 1,202 - 1,917 (L)
Approx. Area (sq ft) 896 - 20,643 (L)
Estimated Effective Rent (HKD psf)
Estimated Effective Rent (HKD psf) $48 - $60
28 Hennessy Road
18 Harbour Road
248 Queen’s Road East
wan chai
hong kong isl and
26 Harbour Road
$55- $60
Dah Sing Financial Centre
Harbour Centre
Approx. Area (sq ft) 1,980 - 10,194 (L)
Approx. Area (sq ft) 1,098 - 6,743 (G)
Estimated Effective Rent (HKD psf) $52 - $58
Estimated Effective Rent (HKD psf) $47 - $65
Harcourt House
Hopewell Centre
Approx. Area (sq ft) 273 - 2,446 (G)
Approx. Area (sq ft) 651 - 10,622 (L)
Estimated Effective Rent (HKD psf) $33 - $38
Estimated Effective Rent (HKD psf) $45 - $55
108 Gloucester Road
39 Gloucester Road
25 Harbour Road
183 Queen’s Road East
Shui On Centre
Sun Hung Kai Centre
Approx. Area (sq ft) 879 - 11,501 (G)
Approx. Area (sq ft) 1,893 - 4,900 (L)
Estimated Effective Rent (HKD psf) $40 - $52
Estimated Effective Rent (HKD psf)
6-8 Harbour Road
30 Harbour Road
$52 - $60
Estimated effective rent (HK$ 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 11
causeway bay
hong kong isl and
Hot Listings Caroline Centre, Lee Gardens Two 28 Yun Ping Road
Causeway Bay Plaza
489 Hennessy Road / 463 Lockhart Road
Approx. Area (sq ft) 6,885 - 15,921 (L)
Approx. Area (sq ft) 1,030 - 3,359 (G)
Estimated Effective Rent (HKD psf) $45 - $48
Estimated Effective Rent (HKD psf) $28 - $32
Sino Plaza
Soundwill Plaza
255-257 Gloucester Road
38 Russell Street Approx. Area (sq ft) 3,366 - 3,633 (G)
Approx. Area (sq ft) 1,679 - 3,051 (G)
Estimated Effective Rent (HKD psf) $37 - $38
Estimated Effective Rent (HKD psf) $42 - $47
The Lee Gardens
Times Square
33 Hysan Avenue
1 Matheson Street Approx. Area (sq ft) 2,378 - 6,796 (L)
Approx. Area (sq ft) 846 - 13,156 (G)
Estimated Effective Rent (HKD psf) $45 - $63
Estimated Effective Rent (HKD psf) $47 - $55
Windsor House, ACE Tower 311 Gloucester Road
World Trade Centre 280 Gloucester Road
Approx. Area (sq ft) 809 - 19,897 (G)
Approx. Area (sq ft) 1,818 - 8,813 (G)
Estimated Effective Rent (HKD psf) $34 - $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 12 | Colliers International | Moving Times
Hot Listings @Convoy
625 King’s Road
169 Electric Road
625 King’s Road Approx. Area (sq ft) 3,770 - 10,532 (G)
Approx. Area (sq ft) 1,878 - 5,111 (G)
Estimated Effective Rent (HKD psf) $36 - $37
Estimated Effective Rent (HKD psf) $29 - $30
AIA Tower
island east
hong kong isl and
Citicorp Centre
183 Electric Road
18 Whitfield Road Approx. Area (sq ft) 1,014 - 12,899 (L)
Approx. Area (sq ft) 5,480 - 14,074 (G)
Estimated Effective Rent (HKD psf) $36 - $42
Estimated Effective Rent (HKD psf) $29 - $33
DCH Commercial Centre 25 Westlands Road
E-Trade Plaza
24 Lee Chung Street
Approx. Area (sq ft) 2,329 - 13,777 (L)
Approx. Area (sq ft) 1,534 - 7,769 (G)
Estimated Effective Rent (HKD psf) $38 - $41
Estimated Effective Rent (HKD psf) $19 - $20
Prosperity Millennia Plaza 663 King’s Road
Best Building in Island East Island East
Approx. Area (sq ft) 961 - 7,818 (G)
Approx. Area (sq ft) 3,543 - 128,610 (L)
Estimated Effective Rent (HKD psf) $28 - $30
Estimated Effective Rent (HKD psf) $50 - $62
Estimated effective rent (HK$ 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
hong kong isl and
Recent Leasing Transactions SHEUNG WAN / CENTRAL / admiralty Building
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Face Rent (HKD psf)
100 Queen's Road Central Bank of America Tower Bank of China Tower Cheung Kong Center Citibank Plaza, Citibank Tower Far East Finance Centre Grand Millennium Plaza, COSCO Tower Hutchison House Infinitus Plaza Lippo Centre - Tower 1 Man Yee Building Shun Tak Centre - West Tower St George's Building The Center Two IFC Two IFC Wing On House
20,200 (G) 2,400 (G) 18,200 (L) 9,200 (L) 5,600 (L) 5,400 (G) 3,700 (G) 3,300 (G) 23,800 (G) 1,300 (G) 6,400 (L) 4,000 (G) 2,600 (N) 7,000 (G) 35,000 (L) 12,300 (L) 4,600 (G)
Renewal New Lease New Lease New Lease New Lease Renewal New Lease Renewal Renewal New Lease New Lease Renewal Renewal New Lease Renewal New Lease Renewal
Business Centre Trading Auctioneer Legal Legal Banking & Finance Insurance Banking & Finance Business Centre Banking & Finance Banking & Finance Trading Banking & Finance Legal Real Estate Banking & Finance Legal
$68.00 $79.00 $80.00 $125.00 $81.00 $62.00 $53.50 $65.00 $46.00 $44.00 $77.50 $57.00 $89.00 $65.00 $115.00 $130.00 $33.00
wan chai / CAUSEWAY BAY Building
18 Hysan Avenue 248 Queen's Road East 28 Hennessy Road BEA Harbour View Centre BEA Harbour View Centre Caroline Centre, Lee Gardens Two Central Plaza China Resources Building Harbour Centre Times Square - Tower Two
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Face Rent (HKD psf)
2,000 (L) 4,000 (G) 9,900 (L) 2,500 (G) 1,300 (G) 15,300 (L) 2,900 (L) 2,700 (L) 4,800 (G) 10,000 (G)
Renewal New Lease New Lease New Lease Renewal Renewal Renewal New Lease New Lease New Lease
Management Consulting Transportation & Logistics Banking & Finance Banking & Finance Transportation & Logistics Multi-Level Marketing Media Banking & Finance Chemicals Banking & Finance
$43.50 $32.50 $55.00 $43.50 $35.00 $48.00 $58.00 $55.00 $42.00 $52.00
island east Building
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Face Rent (HKD psf)
@Convoy AIA Tower Chinachem Exchange Square Citicorp Centre Cityplaza One Dorset House, Taikoo Place Island Place Tower K Wah Centre Oxford House, Taikoo Place Prosperity Millennia Plaza
10,200 (G) 2,000 (L) 8,300 (G) 3,200 (G) 6,100 (L) 14,500 (L) 10,700 (G) 3,600 (G) 8,900 (L) 2,200 (G)
Renewal Renewal Renewal New Lease Renewal Rent Review Renewal New Lease New Lease New Lease
Chemicals I.T. Government / Organisation Accounting Insurance I.T. Engineering I.T. Medical & Health Design
$32.00 $44.00 $24.00 $33.00 $46.00 $45.00 $30.00 $25.00 $45.00 $28.00
Building
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Face Rent (HKD psf)
International Commerce Centre (ICC) International Commerce Centre (ICC)
24,700 (G) 20,907 (G)
Renewal New Lease
Banking & Finance Banking & Finance
$70.00 $65.25
TSIM SHA TSUI
(G) = Gross
(L) = Lettable
(N) = Net
Page 14 | Colliers International | Moving Times
Kwai Chung kwun Tong Hung Hom Mong Kok San Po Kong Tsim sha tsui Tsuen wan
Kowloon
Tsim Sha Tsui
kowloo n
Sole Agent
Harbour City 7 Canton Road
> > > >
Sits on top of Harbour City shopping mall Next to a 5-star hotel and great amenities Great tenancy mix within the portfolio High quality building management
Fiona Ngan (E-197789)
Patrick Mak (E-187858)
852 2822 0751 fiona.ngan@colliers.com
852 2822 0752 patrick.mak@colliers.com
Page 16 | Colliers International | Moving Times
kowloo n
Kowloon Bay
Sole Agent
OCTA Tower 8 Lam Chak Street
> Approx. area: 35,500 sq ft gross > Shuttle bus services to Ngau Tau Kok & Hung Hom MTR Stations > New Grade A office building in Kwun Tong > Sub-divisible to smaller units
Floor plan (For identification purpose only)
Fiona Ngan (E-197789)
Ivan Wong (E-241525)
852 2822 0751 fiona.ngan@colliers.com
852 2822 0756 ivan.wong@colliers.com Colliers International | Moving Times | Page 17
mong kok
kowloo n
Sole Agent
579 Nathan Road 579 Nathan Road > > > >
Close to MTR Station Convenient, supported by many mode of transportation Supported by many F&B and banking facilities Shopping arcades within walking distance
kwun tong
Floor plan (For identification purpose only)
Jonathan Chan (S-467510)
Otto Hui (S-467500)
852 2822 0762 jonathan.chan@colliers.com
852 2822 0761 otto.hui@colliers.com
Joint Sole Agent
Nanyang Plaza 57 Hung To Road > > > >
Approx. area: 1,700 - 7,803 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
Murphy Chung (E-216220) 852 2822 0755 murphy.chung@colliers.com Page 18 | Colliers International | Moving Times
Jonathan Chan (S-467510) 852 2822 0762 jonathan.chan@colliers.com
kowloo n
Tsuen Wan
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 computerized 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.
> > > >
Pure Grade-A office tower with approx. 400,000 sq ft gross Target completion in 4Q 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 Real Estates Co., Ltd.
Murphy Chung (E-216220)
Joe Cheng (E-225818)
852 2822 0755 murphy.chung@colliers.com
852 2822 0798 joe.cheng@colliers.com
Floor plan (For identification purpose only)
Colliers International | Moving Times | Page 19
kwai chung
kowloo n
Hot Listing
Kowloon Commerce Centre Tower 2 51 Kwai Cheong Road
kowloon bay
> 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 > Carries a good tenancy mix in its building portfolio > Has a large typical floor plate
Ben Fong (S-086602)
Murphy Chung (E-216220)
Keane Leung (S-227908)
852 2822 0799 ben.fong@colliers.com
852 2822 0755 murphy.chung@colliers.com
852 2822 0795 keane.leung@colliers.com
Hot Listing
Manhattan Place
23 Wang Tai Road, Kowloon Bay > > > > >
Approx. area: 12,500 - 16,850 sq ft gross Panoramic Seaview Next to large shopping mall �Megabox� Grade A office building in Kowloon Bay Good tenancy mix in its portfolio
Ivan Wong (E-241525) 852 2822 0756 ivan.wong@colliers.com Page 20 | Colliers International | Moving Times
YHC Tower 1 Sheung Yuet Road > > > >
Approx. area 12,263 sq ft gross Brand new Grade A office in Kowloon Bay Panoramic seaview Next to shopping mall ”Megabox”& ”E-Max”
Ivan Wong (E-241525)
Joe Cheng (E-225818)
852 2822 0756 ivan.wong@colliers.com
852 2822 0798 joe.cheng@colliers.com
Hot Listing
Miramar Tower 1-23 Kimberley Road
> Approx. area: 2,200 - 10,500 sq ft gross > Sits on top of a Miramar shopping mall and locates right next to a 5-star hotel > Overlooks great view of Kowloon Park & Harbour (high floor) > With good tenancy profile, lots of famous companies > Easy access by various transport modes
Wang Cheung (E-242098)
Simon Yu (S-414452)
852 2822 0757 wang.cheung@colliers.com
852 2822 0759 simon.yu@colliers.com
tsim sha tsui
Hot Listing
kowloon bay
kowloo n
Colliers International | Moving Times | Page 21
Kowloon East
kowloo n
Hot Listings Listing Exchange Tower
33 Wang Chiu Road, Kowloon Bay
Enterprise Square 1
9 Sheung Yuet Road, Kowloon Bay
Approx. Area (sq ft) 600 - 27,000
Approx. Area (sq ft) 3,000 - 28,000
Estimated Effective Rent (HKD psf) $25 - $28
Estimated Effective Rent (HKD psf) $19.5 - $20
Enterprise Square 3
39 Wang Chiu Road, Kowloon Bay
Skyline Tower
39 Wang Kwong Road, Kowloon Bay
Approx. Area (sq ft) 2,200 - 16,100
Approx. Area (sq ft) 600 - 7,500
Estimated Effective Rent (HKD psf) $40
Estimated Effective Rent (HKD psf) $22 - $25
KITEC
1 Trademart Drive, Kowloon Bay
Manulife Financial Centre 223-231 Wai Yip Street, Kwun Tong
Approx. Area (sq ft) 600 - 21,700
Approx. Area (sq ft) 1,100 - 12,000
Estimated Effective Rent (HKD psf) $19 - $22
Estimated Effective Rent (HKD psf) $25 - $29
Millennium City 1
388 Kwun Tong Road, Kwun Tong
C-Bons International Center 108 Wai Yip Street, Kwun Tong
Approx. Area (sq ft) 800 - 21,500
Approx. Area (sq ft) 1,300 - 17,300
Estimated Effective Rent (HKD psf) $27 - $30
Estimated Effective Rent (HKD psf) $24 - $31
Estimated effective rent (HK$ 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 22 | Colliers International | Moving Times
Hot Listings 181 Hoi Bun Road
181 Hoi Bun Road, Kwun Tong
Millennium City 5
418 Kwun Tong Road, Kwun Tong
Approx. Area (sq ft) 17,000 - 18,000
Approx. Area (sq ft) 25,000
Estimated Effective Rent (HKD psf) $28 - $30
Estimated Effective Rent (HKD psf) $32 - $36
Rykadan Capital Tower 135 Hoi Bun Road, Kwun Tong
Kwun Tong View
410 Kwun Tong Road, Kwun Tong
Approx. Area (sq ft) 12,000
Approx. Area (sq ft) 867 - 6,767
Estimated Effective Rent (HKD psf) $25 - $30
Estimated Effective Rent (HKD psf) $19 - $20
Millennium City 2
378 Kwun Tong Road, Kwun Tong
Lu Plaza
2 Wing Yip Street, Kwun Tong
Approx. Area (sq ft) 700 - 4,000
Approx. Area (sq ft) 1,800 - 23,000
Estimated Effective Rent (HKD psf) $26 - $27
Estimated Effective Rent (HKD psf) $16- $18
Yen Sheng Centre
64 Hoi Yuen Road, Kwun Tong
kowloon EAST
kowloo n
Pioneer Place
213 Wai Yip Street, Kwun Tong
Approx. Area (sq ft) 800 - 10,000
Approx. Area (sq ft) 20,000 - 27,000
Estimated Effective Rent (HKD psf) $14 - $16
Estimated Effective Rent (HKD psf) $22 - $25
Estimated effective rent (HK$ 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
Colliers International | Moving Times | Page 23
tSIM sHAtSUI
kowloo n
Hot Listings China Hong Kong City 33 Canton Road
79 Chatham Road South
Approx. Area (sq ft) 900 - 7,500 (G)
Approx. Area (sq ft) 3,00 - 5,700 (G)
Estimated Effective Rent (HKD psf) $28 - $31
Estimated Effective Rent (HKD psf) $26 - $27
Chinachem Golden Plaza 77 Mody Road
The Cameron 33 Cameron Road
Approx. Area (sq ft) 1,100 - 20,000 (G)
Approx. Area (sq ft) 4,000 (G)
Estimated Effective Rent (HKD psf) $28 - $29
Estimated Effective Rent (HKD psf) $28 - $39
The Gateway Tower 1 25 Canton Road
China Minmetals Tower
Approx. Area (sq ft) 1,100 - 7,500 (G)
Tower Jordan 6 Bowring Street
Estimated Effective Rent (HKD psf) $38 - $48
The Gateway Tower 2 25 Canton Road
Approx. Area (sq ft) 980(G) Estimated Effective Rent (HKD psf) $34 - $36
The Gateway Tower 6 9 Canton Road
Approx. Area (sq ft) 1,000 - 8,000
Approx. Area (sq ft) 1,600 - 25,000
Estimated Effective Rent (HKD psf) $39 - $54
Estimated Effective Rent (HKD psf) $48 - $57
Estimated effective rent (HK$ 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 24 | Colliers International | Moving Times
Hot Listings 909 Cheung Sha Wan
909 Cheung Sha Wan Road, Cheung Sha Wan
Cheung Sha Wan Plaza
833 Cheung Sha Wan Road, Cheung Sha Wan
Approx. Area (sq ft) 1,700 - 9,300
Approx. Area (sq ft) 1,100 - 7,700
Estimated Effective Rent (HKD psf) $28 - $30
Estimated Effective Rent (HKD psf) $18 - $20
Ever Gain Plaza
88 Container Port Road, Kwai Chung
Park Building
476 Castle Peak Road, Cheung Sha Wan
Approx. Area (sq ft) 3,700 - 22,500
Approx. Area (sq ft) 1,500 - 3,150
Estimated Effective Rent (HKD psf) $16.50 - $18.50
Estimated Effective Rent (HKD psf) $16 - $18
Trade Square
Kowloon West
kowloo n
Manhattan Centre
681 Cheung Sha Wan Road
8 Kwai Cheong Road, Kwai Chung Approx. Area (sq ft) 1,200 -15,000
Approx. Area (sq ft) 1,200 - 15,000
Estimated Effective Rent (HKD psf) $21 - $22
Estimated Effective Rent (HKD psf) $14 - $16
Metroplaza Tower 1
223 Hing Fong Road, Kwai Chung
9 Wing Hong Street
9 Wing Hong Street, Cheung Sha Wan
Approx. Area (sq ft) 1,400 - 6,100
Approx. Area (sq ft) 900 - 11,500
Estimated Effective Rent (HKD psf) $27 - $30
Estimated Effective Rent (HKD psf) $16 - $19
Estimated effective rent (HK$ 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 25
others
kowloo n
Hot Listings Langham Place
Austin Plaza
8 Argyle Street, Mong Kok
83 Austin Road, Jordan Approx. Area (sq ft) 1,556 - 17,398 (G)
Approx. Area (sq ft) 2,900 (G)
Estimated Effective Rent (HKD psf) $35 - $40
Estimated Effective Rent (HKD psf) $23 – $26
Delta House
HK Science Park Phase III
3 On Yiu Street, Sha Tin
Pak Shek Kok, New Territories Approx. Area (sq ft) 4,800 - 7,200
Approx. Area (sq ft) 33,610
Estimated Effective Rent (HKD psf) $16 - $18
Estimated Effective Rent (HKD psf) $18
Landmark North
39 Lung Sum Avenue, Sheung Shui
Skyway House
3 Sham Mong Road, Tai Kok Tsui
Approx. Area (sq ft) 770 - 9,700
Approx. Area (sq ft) 3,800 - 11,000
Estimated Effective Rent (HKD psf) $23 - $25
Estimated Effective Rent (HKD psf) $16 - $17
Estimated effective rent (HK$ 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 26 | Colliers International | Moving Times
kowloo n
Recent Leasing Transactions TSIM SHA TSUI Building
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Effective Rent (HKD psf)
China Hong Kong City Tower 2
11,892 (G)
New Letting
Insurance
$26.00
Miramar Tower
5,389 (G)
Renewal
Others
$37.00
Miramar Tower
2,857 (G)
New Letting
IT & T
$41.31
The Gateway Tower 1 ,2 & 6
43,058 (G)
New Letting
Insurance
$38.82
Tsimshatsui Centre
9,074 (G)
New Letting
Consumer Products
$38.00
KOWLOON EAST Building
Approx. Area. (sq ft)
Deal Type
Business Nature of Tenant
Monthly Effective Rent (HKD psf)
AIA Kowloon Tower
42,118 (G)
Renewal
Construction / Engineering
$27.00
Elite Centre
11,875 (G)
New Letting
Others
$20.17
Exchange Tower
10,959 (G)
New Letting
Consumer Products
$23.33
KITEC
30,000 (G)
Renewal
Sourcing
$19.00
Millennium City 1 SC Tower
13,782 (G)
New Letting
Construction / Engineering
$28.43
Millennium City 6
34,234 (G)
Renew and Expansion
Sourcing
$28.50
Monthly Effective Rent (HKD psf)
KOWLOON WESt Building
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
9 Wing Hong Street
1,625 (G)
New Letting
Others
$16.93
909 Cheung Sha Wan Road
8,484 (G)
New Letting
Others
$27.00
Kowloon Commerce Centre Tower 2
63,674 (G)
New Letting
Consumer Products
$21.25
Metroplaza Tower 1
15,398 (G)
Renewal
Consumer Products
$28.00
Nina Tower
10,376 (G)
Renewal
Others
$16.50
Saxon Tower
6,795 (G)
Renewal
Manufacturing
$24.00
Mong Kok Building
579 Nathan Road Langham Place
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Effective Rent (HKD psf)
1,557 (G)
New Letting
Others
$20.56
12,800 (G)
Renewal
Sourcing
$35.00
hung hom Building
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Effective Rent (HKD psf)
The Metropolis Tower
1,002 (G)
New Letting
New Letting
$34.86
The Harbourfront Two
60,756 (G)
Renewal
Others
$25.50
Shatin Building
Delta House
(G) = Gross
(L) = Lettable
Approx Area (sq ft)
Deal Type
Business Nature of Tenant
Monthly Effective Rent (HKD psf)
16,813 (G)
Renewal
IT & T
$16.00
(N) = Net Colliers International | Moving Times | Page 27
Colliers International | marke t overview
HONG KONG’S
Heart beat Office Rents in Kowloon East Poised To Fall By 10%
With occupiers remaining cautious on the external environment, overall Grade A net absorption contracted by 713,300 sq ft quarter-on-quarter (QoQ) in 4Q 2013. In fact, all major submarkets recorded negative net take-up on Hong Kong Island with fewer expansions and most tenants seeking renewal during 4Q 2013.
Negative Net Take-up In All Submarkets Except Kowloon In Central, demand was largely underpinned bysmallersized requirements, but with an increasing share of tenants referring to other cost-savings options, net absorption has fallen by 69,800 sq ft. Nevertheless, take-up in Causeway Bay and Quarry Bay edged down the most with the impending start of the redevelopment projects of Sunning Plaza and Somerset House. Net take-up in these submarkets declined by 305,300 sq ft QoQ and 473,800 sq ft QoQ respectively.
Outside Hong Kong Island, market conditions were generally more positive. Tsim Sha Tsui and Kowloon East were the only submarkets recording a positive net take-up in 4Q 2013. Net take-up in Tsim Sha Tsui increased by 35,200 sq ft QoQ while new lettings in the shipping/trading sector, and some initial relocation of government departments, have enabled take-up in Kowloon East to rise by 110,700 sq ft QoQ in 4Q 2013. In fact, benefitting from increased demand, as some tenants are exploring more economic options
Page 28 | Colliers International | Moving Times
Colliers International | marke t overview
in the area, net take-up in November 2013 (91,500 sq ft) even surpassed the overall take-up rate in the first ten months of 2013 (83,200 sq ft).
Smaller Sized Requirements Leading The Race in Central In Central, demand for small office units accounted for the majority of new lettings in 4Q 2013. Office units in the size bracket of 1,500 and 2,000 sq ft were particularly in demand by newly set up companies in Hong Kong (consisting of 4-5 persons), business centers and mainland institutions. These smal ler sized requirements somewhat cushioned the decreased demand from traditional tenants in the Banking and Financial Services sector.
Financial Incentive The Main Driver In 2014 In tandem with the somewhat lackluster business atmosphere, most organisations remained costconscious with overall Grade A net take-up contracting in 4Q 2013. This trend is likely to continue in 2014 if business conditions remain unchanged. In Central, demand is expected to remain fairly flat with limited new supply in the pipeline. Any significant pressure is likely to be limited to a few buildings with high vacancy rates. We expect landlords to provide better incentives (offering rental caps, longer lease terms, option for renewal etc.) to entice large corporations from moving out, especially in individual buildings with vacancy levels falling above 10%.
Rental Forecast Looking into 2014, office rents in Kowloon East are expected to see a downward adjustment of 10% over the next 12 months with substantial new office supply scheduled to enter the Kowloon market starting from 2014 and more investors putting their units up for lease amid an inactive investment market. On Hong Kong Island, office rents in Central are expected to remain fairly flat (with a small decline of 0.5% over the next 12 months) while rental growth in Island East will be slightly higher by 3.1% during the period due to the sustained demand for office space with large floor plates in the district. Overall Grade A office rents are expected to edge down by 1.1% over the next 12 months as leasing demand is expected to stay put.
Colliers International | Moving Times | Page 29
Colliers International Agency Limited Company Licence No: C-006069
Office Services - Hong Kong 5701 Central Plaza, 18 Harbour Road Wanchai Hong Kong Tel: 852 2822 0668 Fax: 852 2869 4082 Email: offices.hongkong@colliers.com
www.colliers.com
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