Australian investment bank Macquarie surrenders office space in One IFC, one of Hong Kong’s most prestigious addresses
- Sydney-based bank had sublet the space on the 20th floor in One IFC to a flexible office space operator since 2015
- More space surrenders can be expected from financial and professional services firms as the Covid-19 pandemic weighs on businesses, says Savills
Australian investment bank Macquarie Group is giving up a major portion of space it leases at One IFC, one of the most expensive office buildings in Hong Kong, as finance firms rethink their office needs in the city and look to save costs in an uncertain economy.
Macquarie will surrender 13 out of 16 units on the 20th floor before the end of September, according to Land Registry documents.
That space, amounting to about 17,000 square feet, had been sublet to The Executive Centre since 2015, which the co-working space operator will lease directly from the landlord from October, people familiar with the matter told the Post.
None of the Sydney-based bank’s 500 employees use the space that is being given up, they added.
Property consultancy Savills said in its latest report that more space surrenders can be expected from financial and professional services firms as the Covid-19 pandemic weighs on businesses. “Covid-19 has caused extensive disruption to global production and trading activity and the solvency of some corporates is expected to be tested under these uncertain conditions with implications for the local office market,” Savills said.