Colliers International expects overall Grade A office rents in Hong Kong to fall by 14 percent in 2020 as economic growth and leasing momentum are projected to slow amid the coronavirus pandemic. Although scheduled future Grade A office supply is limited, office leasing momentum will remain generally slow this year. Occupiers are becoming more cost conscious, with some opting to downsize and explore cheaper office space, buildings and locations, Colliers said. From a capital market perspective, there is hesitation from institutional investors as Hong Kong investment sales declined 58 percent quarter-on-quarter and 90 percent year-on-year to HK$3.4 billion in the first quarter. Current market conditions are expected to persist throughout the year when property prices come under pressure across different sectors providing investors with opportunities.

Source: The Standard April 16, 2020 09:22 UTC