Hong Kong

While some companies prepare for the return to office, others are opting to incorporate remote work into their long-term workplace strategies. For these occupiers, it will be important to reevaluate your space utilization and — if it proves cost-effective — shed what you no longer need.

Companies are looking to create more dispersed footprints, adding satellite offices so suburban employees don’t have to commute downtown on transit, says CEO Jim Underhill. Suburban properties that will most benefit from this strategy will be those in walkable areas, he adds.

The current global pandemic has severely tested the resiliency aspect of supply chains, with delays and disruptions pervasive. As all of these phenomena collide, COVID-19 could be the catalyst for a complete rethink of supply chains as we know them.

Impacted by the continued social unrest locally as well as strained US-China trade relations, Q4 saw the overall vacancy rate in the Hong Kong Grade A office sector further increase. These higher vacancy rates combined with a slow down in demand have had an impact on overall Grade A rentals which presented a decline across all sub-markets. Leasing demand in this quarter predominantly came from Government institutions, insurance companies, new technology and biotech companies.

Q3 2019 Hong Kong Market Report