Growing demand in luxury residential sector

PUBLISHED : Wednesday, 21 July, 2010, 12:00am
UPDATED : Wednesday, 21 July, 2010, 12:00am

Rising demand amid the economic recovery, and the scarce supply of luxury stock could boost luxury rents in Hong Kong by 15 per cent in the next 12 months, Colliers International says. Data from Ricacorp Properties confirms the active leasing in the luxury market, with 274 deals transacted last month, up 21 per cent from May. The leasing volume is also the highest in 11 months. Ricacorp says a 3,200 square foot house at Repulse Bay Road costs HK$225,000 in monthly rent, or HK$70.30 per square foot. Colliers says luxury residential property prices could increase by 10 per cent over the next 12 months.