Hong Kong adds 194,000 sqm. of new Grade A offices since 2024

The upcoming supply pipeline remains active, with 264,300 sqm. expected to be added in H2 2025.

Hong Kong’s Grade A office market recorded over 194,000 square metres of new supply between 2024 and the first half of 2025, with 44,900 sq. m. completed in H1 2025, according to Cushman & Wakefield’s latest market report.

The upcoming supply pipeline remains active, with 264,300 sq. m. expected to be added in H2 2025. New completions were distributed roughly equally across core and non-core districts.

Leasing activity has shown moderate improvement. The average quarterly new leased area during the period reached 84,900 sq. m., marking a 19% increase over the 2020–2023 average. The finance sector remained a key source of demand.

Net absorption for the 2024 to H1 2025 period totalled 122,000 sq. m., excluding pre-leasing at new developments.

Whilst leasing volumes have improved, overall market availability remains high, and rents are projected to decline by 7% to 9% over the full year, driven by tenant caution and abundant supply.

The report noted that a recovery in Hong Kong’s IPO market may support office demand in the coming quarters, particularly among finance and professional services firms. However, rental levels are expected to remain under downward pressure in the near term.