Leading today’s Hong Kong real estate news, JP Morgan is riding the flexible workspace trend in its Chater House office, and slashing rents in the process. And speaking of leasing costs, the city finally saw apartment rents decline last month after a nearly two-year surge. Also in the headlines, total stamp duty collected by the government plunged 40 percent month-on-month in February owing to the holiday lull. All these stories and more await you, if you just keep reading.
When Nicolas Aguzin, JP Morgan’s Asia-Pacific chief, decided to renovate one of the 10 floors of its offices in Central Hong Kong into a new-style working environment, his principal aim was to make the business more technologically enabled and create a modern workplace that fits the requirements of its new generation of staff.
The US investment powerhouse has turned the 28th storey of Chater House – one of the city’s landmark addresses – into a fully, up-to-date working space, making it the first investment bank in Hong Kong provide a range of seating styles and unequalled amounts of room dedicated to teamwork sessions. Its banking division combined 1.5 floors into one, leading to 30 per cent saving in the banking division’s rental costs. Read more>>
Rents in Hong Kong fell for the first time in 22 months in February, due mainly to a lull in leasing activity during the Lunar New Year holidays last month, bringing much-needed relief to a city that’s been ranked as the world’s least affordable to live in for six years running.
Average apartment rents dropped 1.4 percent to HK$35.9 ($4.57) per square foot last month, from HK$36.4 ($4.6) per sq ft in January, according to Centaline Property Agency’s analysis of contracts in 107 private housing estates. Read more>>
The Inland Revenue Department recorded 352 transactions involving stamp duty in February, a drop of 18 percent month-on-month. The number of transactions is also the lowest since last August.
The total amount of stamp duty collected decreased by 40 percent to HK$750 million ($96 million) from the previous month. The decline is believed to be driven by the effects of the Chinese New Year holiday during the period. Read more>>
A floor in the Hewlett Centre at 54 Hoi Yuen Road, Kwun Tong was sold for HK$11.7 million ($1.5 million), or HK$6,751 ($861) per square foot. The 1,742 square foot property generates a rental yield of 3.5 percent.
The previous owner purchased the floor in 2008 for HK$4.4 million ($561,189), and made a profit of HK$7.4 million over 10 years. The buyer, an electronic equipment company, is said to have acquired the asset for self-use. Read more>>
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