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New York law firm White & Case opens 3 floors at Hongkong Land’s York House as tenants cherry pick from Central’s office market slump

White & Case opened a 25,000-square foot (2,300 square metres) office across three floors late last month in York House, part of Hongkong Land’s Landmark complex

The lease marked the firm’s return as a Hongkong Land tenant, after spending 15 years down Queens Road Central at Central Development Limited ’s Central Tower

Office tenants are tiptoeing back to Hong Kong’s Central district, picking up choice commercial real estate space in what used to be the world’s costliest urban centre at more affordable prices amid a resurgent Covid-19 pandemic.

White & Case, a New York-headquartered law firm with 45 offices across 31 markets, opened a 25,000-square foot (2,300 square metres) office across three floors late last month in York House, leased for an undisclosed price at Hongkong Land’s Landmark commercial complex in Central.

The lease marked the law firm’s return as a Hongkong Land tenant, after spending 15 years further down Queen’s Road Central at Central Development Limited’s Central Tower. Before moving to Central Tower in 2007, White & Case occupied 17,000 sq ft of space at Gloucester Tower, one of the three office buildings in the Landmark complex.

“We are pleased to return to the Hongkong Land Central portfolio as we make room for our expanding team and future growth, [where] we look forward to continuing our focus on excellence and serving our clients as we deepen our expertise and presence in the market,” said Eugene Man, the executive partner at White & Case’s Hong Kong office. “York House will provide our employees and clients with unparalleled access to corporate and market leaders in one of the world’s leading international financial hubs.”

Office rent has plunged by 27 per cent from its peak in late 2021 in Hong Kong, according to Morgan Stanley’s estimate. Prices are likely to remain soft as 4.6 million sq ft of new grade A office supply are likely to be added to Hong Kong this year, the second-highest annual addition since 6.8 million sq ft were added in 1998.

Central’s office rental charges, still among the highest in the world, dipped by 0.1 per cent in March from February, according to a property agency. Overall office rents across the city fared worse, with a 0.2 per cent drop in the same month.

Still, the return by White & Case as a Landmark tenant was “not a sweetheart deal,” said Hongkong Land’s director Neil Anderson.

“White & Case chose to return to the Hongkong Land Central portfolio to make room for their expanding team and future growth and support their talent retention efforts,” he said. “York House is not a cheaper location. White & Case wanted to improve their workplace environment and saw the move as a flight to quality.”

The vacancy rate in Central dipped to 7.3 per cent in March, compared with 8 per cent in December 2021, according to data provided by the agency. City authorities have begun to gradually relax some of the social-distancing rules that were enforced in January to keep the highly transmissible Omicron variant of Covid-19 in check.

The gradual improvement in the take-up rate of empty offices is sustainable in the coming months as social distancing rules are further relaxed, and more employees return to work from their offices, a property agent said.

“Market momentum and activities are likely to improve in the second half as the government gradually relaxes the social-distancing rules from April 21 onwards,” the agent said. “Transactions will become more active in the second half, given the recovery cycle for the sector has been largely delayed by the Omicron strain of the coronavirus.”

Institutional investors are also likely to be more aggressive as they seek opportunities in Hong Kong, property agent said.

“In fact, 68 per cent of the first-quarter investment transaction [value] in Hong Kong were by institutional investors,” the agent said. “Most of the key investors [who] have their teams and presence in Hong Kong, [they] may have delayed their site inspection or decision-making process, but with the Omicron wave gradually stabilising, the investment market will become active again.”

(South China Morning Post)

For more information of Office for Lease at York House please visit: Office for Lease at York House

For more information of Office for Lease at Central Tower please visit: Office for Lease at Central Tower

For more information of Office for Lease at Gloucester Tower please visit: Office for Lease at Gloucester Tower

For more information of Grade A Office for Lease in Central please visit: Grade A Office for Lease in Central


Chicago-based Heitman joins global funds to tap Hong Kong’s growing demand for cold-storage facilities

Heitman plans to convert a 100,000 sq ft industrial building in Fanling into a cold-storage facility within the next 12 months

Global investment funds have spent HK$2.3 billion to acquire three cold-storage assets in Hong Kong over the past year

Global real estate funds are tapping growing demand for cold-storage facilities in Hong Kong as the tough social distancing rules and work from home arrangements amid the pandemic accelerates online sales of groceries.

Chicago-headquartered Heitman, with over US$50 billion in assets under management, is the latest entrant into the sector, acquiring a 100,000 sq ft industrial building in Fanling for an undisclosed price.

The fund will commence a fit-out of the property to repurpose the asset into a cold-storage facility.

“We expect demand for specialised en-bloc facilities to continue to grow on the back of close to full occupancy of cold-storage space currently across Hong Kong,” said Brad Fu, head of Asia-Pacific acquisitions at Heitman, which has been investing in Hong Kong’s traditional industrial and office properties since it set up an office here in 2012.

The facility is 100 per cent pre-let to end users even before the completion of the renovation work, which is likely to take around 12 months, Fu said. He added that the tenants include high-end fresh and frozen food operators, but declined to name them.

“Demand growth for cold-storage space has remained resilient as the online sale of groceries in the city has multiplied in recent years, while consumption of fresh and frozen foods has also continued to increase,” said Fu.

While imports of frozen food in terms of weight into Hong Kong grew at 11 per cent from 2016 to 2020 annually, cold-storage space by gross floor area saw a mere 4 per cent growth over the same period, according to the latest figures from a property agency.

Cold storage also enjoys a rental premium of about 20 per cent to 25 per cent above traditional warehouses, which rent for between HK$10 and HK$16 per square foot per month.

In recent years, cold storage has emerged as a sought-after subsector in Hong Kong’s industrial market, with investment funds typically showing huge interest, according to a report by the agency. International funds have bought three cold-storage assets since last year for a total of HK$2.3 billion.

New York-headquartered Angelo Gordon paid HK$1.43 billion for the 291,697 sq ft Kai Bo Group Centre in March last year.

The deal came one month after Australian property group Goodman bought the 103,746 sq ft Seapower Industrial Centre for HK$520 million, and Singapore-headquartered SilkRoad Property Partners paid HK$321 million for Smile Centre, a 97,751 sq ft cold-storage building.

Kwai Chung stands out as one of the most promising sub-markets, accounting for 44 per cent of the licensed cold-storage space that is well connected via the highway network, the agency’s report said.

Total cold-storage investment in Asia-Pacific reached US$2 billion in 2020, growing at an average annual rate of 21 per cent since 2011.

(South China Morning Post)


Sales kick off for The Henley II in Kai Tak

At least 12 of the 98 units on offer at The Henley II in Kai Tak were said to be sold after sales kicked off yesterday.

The developer Henderson Land Development (0012) said it has received 440 cheques for the 92 flats on the price lists, making the batch four times oversubscribed, and had sold four out of the six flats via tender.

The four homes sold by tender had areas of 888 square feet each and buyers forked out between HK$30.2 million and HK$34.5 million - or between HK$34,000 per sq ft and HK$38,851 per sq ft - for the flats.

A property agent said that property prices in Kai Tak will benefit from the opening of the East Rail Line cross-harbor extension, though the effect on The Henley II sales may be limited.

In Yuen Long, The Grand Mayfair I was nearly 22 times oversubscribed with 7,393 checks for the 327 flats on sale today.

On offer are 103 one-bedroom flats, 173 with two bedrooms, and 51 with three bedrooms, which are priced from HK$6.45 million to HK$14.91 million after discounts.

The 715-flat project is being jointly developed by Sino Land (0083), K Wah International (0173), and China Overseas Land and Investment (0688).

Also in the same area, CK Asset (1113) has unveiled a new batch of 23 duplex flats at #Lyos, with prices starting from HK$13.82 million after discounts, or from HK$17,668 per sq ft.

The sales will kick off on Saturday and another eight special units will be sold by tender, said the developer.

All the 290 standard flats on price lists were sold last year and together with the duplex flats sold earlier, CK Asset has cashed in HK$1.85 billion from the project.

As developers speed up the pace of launching new projects, the agent expects the total number of first-hand transactions to be above 2,500 this month, which could be an 18-month high.

The market watcher said that the upcoming interest rate hikes may only have a temporary psychological impact on buyers and that buying properties is still a tool to offset currency depreciation amid inflation pressure.

Meanwhile, real estate consultancy said the high level of expected supply in the primary market will likely prompt developers to take on competitive pricing strategies, which in turn will exert pressure on the secondary market. Combined with the factor of increasing interest rates, housing prices will be under pressure this year, it added.

(The Standard)


國際律師行 租中環約克大廈3層樓面


同區擴充 呎租約90餘元

國際律師行White & Case租用中環約克大廈3層,總樓面約2.5萬平方呎,新辦公室已於4月底啟用。據悉,該律師行原租用同區中匯大廈,是次搬遷屬擴充業務。市場人士預計,是次呎租約90餘元。

White & Case為國際律師事務所,在全球31個國家共設有45個辦事處;據悉,該公司曾租用置地旗下寫字樓。White & Case香港辦事處管理合夥人文宇軒表示,很高興重返置地中環物業組合,為不斷擴展的團隊及業務提供更大發展空間。置地指,截至去年尾,律師事務所租戶在置地中環物業組合整體租戶基礎中,佔比增至31%,租用面積超過126萬平方呎。現時整個「大中環區」內,近3/4大型律師事務所均為置地中環物業組合的租戶。









啟德多焦點商業項目 勢成第二CBD


AIRSIDE 料今年末季開幕

啟德全新地標 AIRSIDE 為一個190萬平方呎混合商業用地,由南豐集團於2017年投得,以逾246億元創下當時土地投標紀錄,項目樓高47層,當中逾30層為甲級寫字樓,面積合共120萬平方呎,坐擁無敵維港海景,更是首個連接啟德港鐵站和地下購物街的大型商場,購物空間達70萬平方呎。


另外,兩大日式百貨公司,SOGO 啟德旗艦店及 AEON 啟德店,都會先後進駐啟德區。當中 SOGO 崇光百貨將以雙子塔形式呈現,建築工程亦已進入直路,明年將正式落成開幕,區內住客的生活和消閒選擇一應俱全,當區樓價有望再升值。而 AEON 則將於啟德體育園內開設 AEON STYLE 新店,合約期9年,同樣預計於明年開業。




更多AIRSIDE寫字樓出租樓盤資訊請參閱:AIRSIDE 寫字樓出租



流標重推 華懋奪東涌57區商業地



而是次重推後,地皮共接獲5份標書,較首推時多出2份,並最終由華懋以約27.78億元奪得地皮,即每平方呎樓面地價約2,202元,成交價貼近市場估值下限。華懋表示,計劃在該地皮興建商場、辦公室及數據中心。地皮佔地約13.3萬平方呎,規劃為「商業 (1)」用途地帶,以地積比率約9.5倍發展,預計提供逾126萬平方呎商業樓面。

修訂招標條款 增數據中心用途


東涌站第1期 6成為辦公室樓面





入標價差距大 發展潛力現分歧


地皮3月底共截收5份標書,除中標的華懋外,還有嘉華 (00173) 、建灝,長實 (01113) 及信置 (00083) 入標。據資料顯示,撇除中標價27.78億元,其餘4份標書所出的標價介乎6,300萬至18億元,即每平方呎樓面地價約50至1,427元,可見中標價與次標價18億元已經大幅相差約54%,而最低標價更只錄6,300萬元,呎價僅約50元,屬於極低水平,意味中標價較最低標價足足高出27.15億元或逾43倍。











大角嘴宏創方7400萬易手 兩層工廈連18個車位 投資者劉志華承接












佐敦商住樓6600萬售 料合併毗鄰舊樓重建