Hong Kong property

Property Digest, February 20, 2013

PUBLISHED : Wednesday, 20 February, 2013, 12:00am
UPDATED : Wednesday, 20 February, 2013, 4:40am

Industrial property performance boosted

Hong Kong's industrial properties saw an encouraging performance in both leasing and sales in the fourth quarter of last year, according to Colliers International's Hong Kong industrial research and forecast report. Improving external trade helped drive the performance, with the total value of re-exports growing 7.4 per cent year on year between September and November to HK$903 billion, after a 2.4 per cent decline between June and August. In addition, substantial retail sales continued to support warehouse demand. In the three month to November, retail sales grew 7.5 per cent year on year to HK$106 billion. In a move to capture the demand attributed to outsourcing at major corporations, third-party logistics companies continued to look for high-quality warehousing premises, particularly those ranging from 30,000 square feet to 50,000 sqft. The limited availability of high-quality stock and sustained demand from third-party logistics companies fuelled growth in warehouse rents. They picked up as well, from 4.6-4.8 per cent in the third quarter to 5.2-5.4 per cent in the fourth quarter. Peggy Sito


Proportion of cheap homes sold falls

Sales of homes worth HK$3 million or less last month accounted for 32.9 per cent of total transactions in the secondary market, according to Centaline Property Agency. There were 1,447 deals, worth a total of HK$3.24 billion. In comparison, in December homes valued at HK$3 million or less accounted for 40.8 per cent of total home sales in the secondary market. Peggy Sito