Colliers Moving Times - Jan 2014

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

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