Gateway signs up more tenants
FOUR more major leases have been agreed for Wharf's Gateway One office and retail development in Tsim Sha Tsui over the past couple of weeks.
OMRON, an electronic components trading company, has taken out 12,000 sq ft of office space at the building, while American International Assurance took 10,000 sq ft, Helen of Troy, an electrical appliance trading company, 19,000 sq ft, and computer company Advanced Micro 9,000 sq ft.
These companies will join a number of big-name clients already committed to the building.
Hongkong Bank took out 100,000 sq ft recently. The others were Hyatt International Hotels for 10,000 sq ft, Clerical Medical Insurance 8,000 sq ft and Sumitomo Bank 8,000 sq ft.
All 36 floors at Gateway One are expected to become available for occupancy next week.
Chris Reilly, associate director of Richard Ellis, the joint sales agents for the giant project, said he expected the Government to issue an occupation permit next week, which would allow tenants to move into the top 11 floors of the twin-tower project.
A temporary occupation permit was awarded for the first 25 floors at the development earlier this year.
More than 80 per cent of office and retail space at Gateway One has been leased and Mr Reilly expected the whole building to be let by the end of this year.
David Faulkner, senior partner at property consultant Brooke Hillier Parker, said Gateway One's relatively cheap rents were attractive to many firms wishing to avoid paying for expensive leases in Central.
Average grade A office rents in Central are $93 per square foot, about two to three times those at Gateway One, where charges vary from $35 to more than $50.
Rents at Gateway One were in line with the average for Tsim Sha Tsui, which was $46 per a square foot, Mr Faulkner said.
But, there was still a psychological barrier stopping many firms moving from Hong Kong Island to Tsim Sha Tsui, he said.
Doreen Lee Yuk-fong, director and general manager of Harriman Leasing, the other leasing agent for the project, said demolition work on the three remaining residential towers at Harbour City would begin on Saturday to make way for the construction of Gateway Two, the next stage of Wharf's massive commercial development.
Gateway Two would be completed by the middle of 1997, she Lee said. A total of 2.4 million sq ft of office units and 400,000 sq ft of retail space will be provided at the three towers. Each tower will be 36 storeys high.
DEVELOPER: Wharf Holdings.
DEVELOPMENT: The Gateway One in Tsim Sha Tsui, a twin-tower, 36-storey grade A office complex including three storeys of retail space.
TOTAL OFFICE SPACE: 1.3 million square feet.
TOTAL RETAIL SPACE: 120,000 square feet.
SIZE OF OFFICE UNITS: Range from 800 sq ft to 37,000 sq ft gross.
LEASING AGENTS: Richard Ellis, First Pacific Davies and Harriman Leasing.
EFFICIENCY RATIO: 80 per cent. COST OF OFFICE SPACE: Between $35 on lower floors to more than $50 on upper floors.
OCCUPATION DATE: October 1994.
MARKETING DATE: Started June 1993. AMENITIES: 24 high-speed elevators, virtually column-free office layouts, marble and granite lift lobbies, washrooms and executive toilets, floor and ceiling trunking system carrying electric, telecommunication and computer cables, fibre-optic communications, 24-hour air conditioning for tenants' computer systems, emergency power supply for computer systems, computer card key system for lift access outside office hours.
FACILITIES: Close access to Star Ferry terminal, Tsim Sha Tsui MTR station, taxis and buses, China Ferry Terminal, shopping and entertainment facilities available in the retail section of the Gateway and on Canton Road. Views of Victoria Harbour and Kowloon Park.
Marketing of the retail floors might start in spring 1996, she said, with the first tenants moving in by the end of that year.