Jones Lang LaSalle: Demand for leasing from educational institutions is active, and the vacancy rate of Hong Kong office buildings fell 0.3 percentage points month-on-month in August

The Zhitong Finance App learned that JLL published a report stating that as the HKSAR Government continues to promote Hong Kong as an international education hub, educational institutions are becoming more active in the office rental market, bringing support to the rental needs of non-core commercial districts. The overall vacancy rate of office buildings improved slightly in August, down 0.3 percentage points from month to month to 12.5%.

In specific regions, vacancy rates in Tsim Sha Tsui and Kowloon East improved slightly, down 0.3 percentage points from month to month, respectively. Hong Kong East was the only exception, where the vacancy rate increased 1.1 percentage points from month to month.

Overall office rents rose 0.9% month-on-month in August, mainly driven by rent growth in Central, which increased 1.5% month-on-month. However, the pace of recovery in the office sector continued to vary, with rents falling 0.3% in both Hong Kong East and Kowloon East.

In terms of major leasing transactions, the Hong Kong University of Science and Technology expanded its logistics office in Block B of Manulife Financial Centre in Kwun Tong, covering a floor area of approximately 24,000 square feet. At the same time, it is reported that the Chinese University of Hong Kong also leases six floors of Central Plaza in Shatin New Town, with a total construction area of 113,000 square feet for teaching and administrative purposes.