Rents for overall prime street shops down by 4.3% in Q4 2021

Rents for major shopping centres also fell by 4.3%.

Rents for overall prime street shops and major shopping centres declined by 4.3%, on a yearly basis, in the fourth quarter (Q4) of 2021, which is on a slower path compared to 2020, when rents fell by 23.4%, real estate firm, Savills, said in its report for Q4 last year.

Similarly, rents for major shopping centres also fell by 4.3% year-on-year (YoY) in Q4 2021, slower than 22.8% in 2020. 

Savills reported that the retail sector was driven by local demand and the non-existence of mainland and international tourists in 2021. The consumption voucher scheme successfully ramped up retail sales in the second half of the year, which showed a declining growth because of fading of base effect.

As for retail properties, it regained investor interest, with a total consideration of commercial transactions up to November 2021 increasing by 140% YoY to $38.3b, which is 19% higher than 2018.

Savills also bared that PRC demand for Grade A offices last year was limited as major demand drivers included crypto, art dealers and co-working operators. With this, overall Grade A rents dropped at a sluggish pace, by 1.3% quarter-on-quarter and 5.4% YoY.

The outlook for the market in 2022 stayed conservative, with tightening restrictions because of the new variant and low level of new supply which affects the price and rental levels, said Savills.

Follow the link for more news on

Join Hong Kong Business community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Top News

Unemployment rate rises to 5.4% from February to April
The total number of unemployed people stands at 206,100.   The unemployment rate rose by 0.4 percentage points to 5.4%  from February to April, when compared to the January to March period.    Based on the data from the Census & Statistics Department (C&SD), the total number of unemployed people from February to April was 206,100, an increase of 17,600 from the preceding three-month period.   Meanwhile, the number of unemployed rose by around 25,000 to 142,000, translating to a rate of 3.8%.   With the increase in the number of jobless and underemployed individuals, total employment dropped to 3,559,200, whilst the labour force fell to 3,765,300.   The deterioration of Hong Kong’s labour market however should see an improvement in the coming months, according to Secretary for Labour & Welfare, Dr Law Chi-kwong.   The receding local epidemic situation and progressive relaxation of social distancing measures, the new round of Consumption Voucher Scheme, and Other relief measures including the 2022 Employment Support Scheme should help drive improvement in the employment sentiment, said the C&SD.  
Economy