Booming cross-border trade boosts demand

PUBLISHED : Friday, 26 March, 2010, 12:00am
UPDATED : Friday, 26 March, 2010, 12:00am

Booming cross-border trade and continued office decentralisation have boosted the leasing activity of Delta House in Sha Tin.

A better economic environment has driven office expansion by some companies, while cost-conscious tenants turn to new buildings in decentralised districts such as Sha Tin and Kowloon East, according to Harriman Leasing, the leasing agent for Delta House.

Many international corporations are looking for opportunities to consolidate their offices in Hong Kong, raising demand for grade-A office space at competitive rental levels, says a spokeswoman for the company's leasing section. Advanced building specifications, efficient customer-centric services and the landlord's commitment to continuous hardware and software improvements are major considerations for tenants, the spokeswoman says.

Delta House, located at 3 On Yiu Street, comprises 27 levels of offices with a floor space of about 350,000 sqft, and a diverse tenant mix with multinational corporations, companies specialising in China trade activities, and biochemical, technology and electrical businesses.

The occupancy rate has been about 82 per cent to 85 per cent, according to Harriman Leasing. The building recorded double-digit rental growth in most lease renewals last year.

Major tenants include Carlsberg Hong Kong, UL International, Thomson Asia and Cell Therapy Technologies Centre. Carlsberg Hong Kong has committed to a further 7,000 sqft to consolidate its regional operation in Asia.

Designed by award-winning architects Rocco Design, Delta House is the only grade-A office building in Shek Mun area of Sha Tin. It is located next to Shek Mun station on the Ma On Shan MTR line, while the transport network is expected to be enhanced by the proposed Sha Tin to Central Link.

With the boom in cross-border trade, Delta House has attracted more companies specialising in mainland trade to set up offices there, the spokeswoman says. 'Our building has easy access to and from Shenzhen through the border checkpoints in Huanggang and Sha Tau Kok.'

She adds that there is rising demand from companies in the trading, electrical and biochemical businesses. Companies specialising in research and development, laboratory, medical and health are also its target tenants.

Delta House provides office solutions of flexible configuration and adaptable technology infrastructure.