PDFLooking forward to 2021, office market will still dominated by the users. With respected to the success in develop and mass-produce of vaccines, negative influence brought by the epidemic will gradually decrease, and office market is expected to usher in a turning point.
flipbookPDFHK Government issued its latest policy address at the end of November, which mentioned some information that is beneficial to the commercial market, including the abolishment of doubled Ad Valorem Stamp Duty (AVD) on non-residential property transactions.
PDFInvestment market seems to be more active in October, and investors have divided into two parties with different opinion on the future market. Those with an optimistic view also actively entered the market to find opportunities under the epidemic.
PDFUnder the strikes of epidemic and China-US conflict, the situation may be much worse than the period of SARS in 2003 and financial tsunami in 2008.
PDFGovernment was eager to promote economic recovery and relaxed the restriction order too early in late-June, which led to the third wave of epidemic. Recently, Hong Kong is in a similar situation and the decision of government is very important. If the mistakes are repeated, the predicament may be infinitely prolonged, which will push the public and enterprises into a worse situation.
flipbookPDFThe government has raised the level of "prohibition order" in order to reduce the flow of citizens and gathering. As a result, commercial activities have generally stopped. Investors and tenants have reduced the frequency of visiting properties, which has dealt a serious blow to the entire property market.
flipbookPDFSince February, local office market has shown signs of improvement, and overall volume of sales transactions is gradually recovering. Meanwhile, there have been tons of bad news for investment market in recent months; fortunately, there has not been a trend for owners to cut prices significantly.
flipbookPDF In mid-May, the office market has once become active. Investors took advantage of the bargain and several remarkable transactions have been recorded.
PDFAccording to the latest information from the Census and Statistics Department, the unemployment rate in Hong Kong also rose to 4.2%, which is a 9-year high. As companies are reducing manpower, demand for office area also decreases. It is expected that, in short term, there will continue be cases of surrender appear in the market, and the vacancy rate in major commercial areas will also remain at a high level.