Can Hong Kong’s IPO boom plug the hole in the city’s floundering office market?
Massive uptake of office space by financial firms amid an upturn in the city’s IPO fortunes offers a glimmer of hope for the property sector
In the first instalment of our two-part series on Hong Kong’s beleaguered property market, industry players pin their hopes on the resurgent IPO scene to boost office uptake and ease the pain for developers struggling with US$18.8 billion of loans.
KGI Financial Holding’s expansion in Hong Kong has breathed new life into the city’s struggling commercial real estate sector, with the Taiwanese financial firm leasing about 40,000 sq ft of space in the central business district.
“As an international financial centre, Hong Kong boasts of highly developed financial infrastructure and professional services,” said Kate Lin, president of KGI Bank. “Its capital markets and financial industry are well-established, offering abundant funding support to businesses across various sectors.”
The Hong Kong branch “marks an important milestone for KGI Bank in developing overseas markets”, Lin said in a written reply to the Post, as it sought deeper collaboration with other units in the group on cross-border capital management, financing and wealth management solutions for corporate and high-net-worth clients.
