Despite record rainfall last Friday, transactions in the secondary property market rebounded over the weekend thanks to more price reductions and fewer launches in the primary market.

A local property agency reported 13 deals at 10 major housing estates, up from three during the previous typhoon-hit weekend, to a 19-week high.

The agency said adverse weather over the previous weekend had affected real estate transactions but this weekend saw a release in buying power, as more owners lowered prices, enticing home buyers.

There are signs that prices have begun to stabilize and secondary transactions are expected to recover gradually, it said.

Meanwhile, another local agency saw weekend deals at 10 major housing estates rise to 14 from three the previous week to a 19-week high.

A three-bedroom flat at Taikoo Shing in Quarry Bay with an area of 689 square feet sold for under HK$10 million, after its price was reduced from HK$11.5 million in June to HK$9.9 million.

And in Tin Shui Wai, a three-bedroom flat at Kingswood Villas sold for HK$5.1 million or HK$8,100 per sq ft, marking a loss of HK$300,000 compared to its 2018 purchase price.

The Hongkong and Shanghai Banking Corporation was reportedly set to raise the H-plan mortgage rate cap by 0.5 percentage points to 4.125 percent on September 18. Other lenders are anticipated to follow suit, aiming to alleviate high borrowing costs.

A property agent expressed concerns that this might discourage potential buyers, worsening the overall market sentiment.

In the primary market, Henderson Land (0012) released 28 flats at Baker Circle Greenwich in Hung Hom yesterday, with the cheapest priced at HK$3.65 million, while Longfor (0960) will launch sales of four special flats at Upper RiverBank in Kai Tak today, three days later than originally planned, due to the heaviest rain on record last week.

CK Asset (1113) has added 10 more car-parking spaces to The Beaumont II in Tseung Kwan O with prices starting from HK$1.28 million, and five lots to Harbour Glory in North Point with the cheapest priced at HK$2.36 million.

This move followed a price reduction of up to 35 percent, which contributed to the developer's successful sales of 32 parking lots at both projects, generating a revenue of HK$52 million.

(The Standard)

Hong Kong luxury home market awaits return of affluent mainland Chinese buyers, as city’s talent scheme powers rentals

The city recorded 42 luxury home sales in the three months to June, down 37.3 per cent quarter on quarter, as high borrowing costs put off investors

The decline in Hong Kong luxury flat sales reflects the overall malaise in the city’s property market under the current high interest rate regime

Hong Kong’s luxury property market is still waiting for affluent mainland Chinese buyers to return, according to industry analysts, but the wait could take longer as high borrowing costs and economic uncertainty continue to weigh on investors’ appetite for the city’s high-end flats.

“We’ve had many inquiries from mainland Chinese investors, but they are still taking a wait-and-see attitude during the second quarter,” a property agent from an international agency said “Therefore, inquiry numbers were larger than transactions.”

The number of so-called super prime residential sales – covering transactions worth US$10 million and above – fell 17.6 per cent in the second quarter, down from their peak level in the fourth quarter of 2021, according to data from the agency. Total consideration for these deals in the same period dropped 28.6 per cent from the high reached in 2021’s December quarter.

The city recorded 42 luxury flat sales in the three months to June, which amounted to a total of HK$6.54 billion (US$834 million). That reflected a 37.3 per cent quarter-on-quarter tumble in the number of deals and a 15.6 per cent decline in total consideration.

In the first half of the year, 1,318 luxury flats were sold, at an average price of more than HK$20 million, according to data from another international property consultancy. That number was down from the previous high of 1,717 such transactions during the same period in 2019.

Luxury residential sales in the first six months of the year were concentrated at The Peak and Kowloon Tong, upmarket areas traditionally favoured by affluent property buyers, according to data from both agencies.

The decline in Hong Kong luxury flat sales reflects the overall malaise in the city’s property market, which has struggled amid high interest rates and a recent surge in unsold inventory from newly developed projects.

Hong Kong’s “prime” homes – defined by the first agency as the top 5 per cent of the residential market in terms of value – lost 1.5 per cent of their value for the year.

“We don’t see a lot of reasons that support a luxury residential sales market recovery in the short term,” the agent said. “The recovery will need to wait until the US starts cutting interest rates. So we expect sales in the market will slowly pick up in the second quarter of 2024.”

The city’s luxury residential market, which gained momentum in the first quarter after its borders reopened, has since been hampered by high borrowing costs owing to the US Federal Reserve’s aggressive interest rate hike strategy. The one-month Hong Kong Interbank Offered Rate, a measure of the interest banks charge each other to borrow money, surged to 5.29 per cent in July from 0.2 per cent in May, largely freezing buying activity.

The priciest luxury home transaction recorded in July was a 4,470 sq ft town house at Twenty Peak Road by V, which sold for HK$860 million, or HK$181,435 per square foot. A flat measuring 7,111 sq ft at 59 Mount Kellett Road on The Peak was bought in the same month for HK$900 million, or about HK$126,564 per square foot.

In Kowloon Tong’s 36 LaSalle Road, a 7,083 sq ft house sold for HK$255 million.

“We haven’t heard of an influx of mainland or foreign buyers in the housing market,” another agent said.

“Capital is allocated and parked in risk-free assets, such as time deposits, under the [current] high interest rate environment,” the agent said. “The wealthy mainland buyers or end users are cautious about the high borrowing costs.”

Still, there is some optimism that Hong Kong’s luxury home rental market has turned a corner and is set to rise on the back of the government’s Top Talent Pass Scheme.

“The Top Talent Pass Scheme attracted many mainland talents to work in Hong Kong,” and this group of professionals has also gradually bought or rented houses, driving a large amount of rental transactions on Hong Kong Island, a recent report from a local property agency said.

The Hong Kong government said in July that it received more than 100,000 applications to various talent schemes and approved over 60 per cent of them, nearly double the number targeted.

The city’s luxury home rental market edged up 3.2 per cent year-to-date in July, according to data from the international property agency.

“Demand from the rental market is rather robust and dynamic,” the agent said. The agent indicated that luxury flat tenants are from the mainland and returning expats.

“Although the numbers are not as many as those pre-Covid, we are now seeing tenants coming from Singapore and Dubai,” the agent said.

A three-bedroom, one-suite flat with an area of 1,032 sq ft in 80 Robinson Road at Mid-Levels West was rented to a mainland professional for HK$61,000 per month or HK$59 per square foot, according to another local agency’s report.

Also at Mid-Levels West, a 1,310 sq ft flat in Azure was leased in April for HK$85,000 a month in April, or about HK$65.3 per square foot, according to the agency.

Although Hong Kong’s talent scheme is expected to appeal to a number of mainland Chinese and foreign professionals to lease luxury flats in the city, the agent said they remains “cautiously optimistic” about the prospects of the luxury residential rental market.

(South China Morning Post)

法巴續租國際金融中心二期兩層 每呎料130元 低5年前28%

本港寫字樓租金大幅下調，核心商業區中環的租金跌至吸引水平，令部分企業放慢撤出中環的步伐。中環指標甲級商廈國際金融中心二期 (IFC 2)，首批大型租戶之一的法國巴黎銀行 (BNP Paribas，下稱法巴)，現租用該廈4層，原打算明年租約到期時放棄其中3層，把有關部門搬遷至鰂魚涌太古坊運作。據悉，法巴最終決定只減租一半樓面，並已續租其中兩層共逾4.6萬方呎樓面。

原擬四層棄其三 遷太古坊

法巴目前正租用國際金融中心二期60至63樓共4層作為香港總部，每層租用面積 (Lettable Area) 約23295方呎，合共約93180方呎，有關租約明年2月到期。今年初市場已有消息傳出，法巴會在租約到期後，放棄續租大部分國際金融中心二期的樓面，把辦公室搬遷到鰂魚涌太古坊非核心商業區，以節省租金開支。

市場人士透露，大業主今年初曾把國際金融中心二期60、61及62樓3層推出市場放租，合共租用面積69885方呎樓面，意向呎租約160元，3層總月租逾1118萬元，即每層月租約372.7萬元。不過，近期60樓一層已經不在放租名單中。據悉，有關樓層並非成功預租，而是法巴決定續租60樓及63樓兩層，合共約46590方呎，市場估計續租每月逾600萬元，呎租約130元，租期4年。

根據資料顯示，法巴早在2006年起，已經承租國際金融中心二期5層半樓面作為香港總部；2011年縮減至租用59至63樓共5層，合共總租用樓面達11.65萬方呎。

法巴於2018年續租5層樓面至2024年2月，為期6年，月租高達2096.55萬元，呎租達180元。不過，法巴突然在2021年初提早3年退租59樓全層，目前只留下4層，隨着公司決定不續租61樓及62樓，明年法巴位於國際金融中心二期的香港總部只會餘下兩層，較17年前減少逾一半規模，以法巴最新續租的呎租130元計算，較5年前大跌27.8%。

逾半商廈租戶未來2年不擴充

自內地和本港通關後，由於環球經濟不景，本港寫字樓市道未見明顯回勇，空置率不減之餘，租金亦反彈乏力。雖然市場普遍預期營商環境不會再變差，但重拾增長需時，因此企業對租用商廈持審慎態度。據一間外資代理行發布的香港寫字樓租戶調查研究報告，受訪本港寫字樓租戶中，有超過一半企業表明未來兩年不會就現時辦公空間進行搬遷或擴充，只會保留現有的規模運作。

以國際金融中心二期為例，近期成交多為續租個案，如東莞銀行現時租用的國際金融中心二期25樓4至11室，租用面積約11000方呎，在2021年以每月約154萬元租用3年，呎租約140元，租約於明年1月到期。

據了解，東莞銀行已續租上述樓面多3年，至2027年初，以市值呎租約120元計，涉及月租約132萬元，料每月租金開支可減22萬元，降幅約14.3%。

(信報)

更多國際金融中心寫字樓出租樓盤資訊請參閱：國際金融中心寫字樓出租

更多中環區甲級寫字樓出租樓盤資訊請參閱：中環區甲級寫字樓出租

珠寶金行頻進駐核心街道 租金高位跌70% 吸引「新品牌」首度插旗

今年開關以來，市面上率先回復回復過往藥妝店林立情景，新一波則是珠寶金行「發力」，頻搶租核心區最旺位置，有見租金高位跌70%，「新品牌」及「新面孔」首度在黃金地段插旗。

今次「主角」都尚未進場，名字陌生，因此更加令人期待，一家叫「老鋪黃金」的內地過江龍首次抵港，成為焦點，一擲約150萬承租「名店街」最當眼的單邊巨舖，位處「珠寶段」的海防道單邊，足見其野心及魄力。

「老鋪黃金」成焦點

「老鋪黃金」成立於2009年，以「古法金」招徠，以足金為底材鑲嵌鑽石，完全顛覆業界以K金為底材的做法。

該新港中心地下至2樓複式巨舖，前身英國奢侈品品牌Burberry旗艦店，高峰時月租高達650萬，最新租金高位跌約70%。

海防道彌敦道皆受捧

海防道將一連開設兩家珠寶品牌，大鴻輝旗下海防店46號地舖，疫市以來短租3年，近期剛以每月40萬租出，新租客為首次攻港的內地鐘錶店，大鴻輝執行董事曹展康則強調，現階段未能透露租客名稱。

上址舊租客運動鞋店 SKECHERS 於2016年，以約74.2萬進駐，近年不敵疫情肆虐，於2020年6月撤走，舖位短租予口罩店逾3年。

毗鄰上址的海防道45號地舖，亦由法國首飾店 SATELLITE PARIS 港區代理進駐，月租40萬，該代理曾在海港城設專櫃，有見核心舖租大跌，首次進駐街舖，對後市投以信心一票，舊租客麥蛋糕，去年續約時月租17萬，業主補償讓舊租各離場，反映通關前後，舖位租值發生巨變。

尖沙咀彌敦道美麗都大廈地下G12號連1、2樓，位處加拿分道單邊，上手長租客謝瑞麟珠寶金行，疫情前撤出，該舖以每月約30萬租出，租客福泰珠寶，向來於深水埗、荃灣等民生區經營，首次進駐核心街道。

(星島日報)

更多新港中心寫字樓出租樓盤資訊請參閱：新港中心寫字樓出租

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