OFFICE prices in Tsim Sha Tsui are continuing to go through the roof as less space becomes available, a new report has revealed. Rents and capital values reached their highest levels last month, according to Collins Surveyors. The firm's monthly office market review showed rents as high as $50 per square foot (psf) net. That works out at around $35 on a gross basis - the top rate presently being offered in the East Ocean Centre. The director, Phemey Pon, said the new records were well over previous highs - of $30 psf rents and $6,000 psf capital values - hit in previous years. He said: ''Some of the bigger space users in the area really are looking for cheaper space. ''Many are diversifying in areas like Hunghom - that is why projects such as Peninsula Square are proving so popular. ''There are also one or two developments in Kowloon Bay which have been attracting a lot of interest recently. ''This is not the case for the small space users, though. It doesn't really affect them.'' Mr Pon said rents in Tsim Sha Tsui central had jumped up up to 30 per cent in the last year. The average rental in the area last month increased by 2.2 per cent from the previous month to stand at $40.21 psf net. In the west district, rents were averaging nearly $39 - a one per cent rise, and were slightly lower in the east district, although the rise was 1.6 per cent. The overall rentals in Tsim Sha Tsui increased by 1.6 per cent to $38.77 in May. Vacant office space dropped again to 1.85 per cent. Mr Pon added: ''One of the major factors we have to consider right now is the rise in capital values. ''We have witnessed an increase of between 15 and 20 per cent in office space values over the past several months. ''And we expect this to continue by perhaps another 10 per cent in the coming six months. ''I would also expect a further increase in rental values of between five and seven per cent in the same period. ''But I think things will start to slow down comparatively. In the last three months, it has been going up very dramatically.'' Mr Pon said the situation in Tsim Sha Tsui would not ease until a number of big developments came on stream next year, relieving some of the pressure. ''The levels at the moment are the highest we have seen and I expect them to go up again before there is any change,'' he added.