Grade A office vacancy rate remains flat at 9.4% in April

The unchanged rate was on the back of the completion of the new supply.

The vacancy rate for the Grade A office market was unchanged in April, remaining flat at 9.4%, due to the competition of new supply during the month.

The addition of new supply, coupled with sustained tenant demand, has pushed the market's net absorption to 249,000 sq ft, data from JLL showed.

Whilst there was no movement in the overall rate, vacancy rose in Central to 7.4%, Hong Kong East to 8.2%, Tsimshatsui to 10.4%, and Kowloon East to 12.8%, posting the highest rate across major submarkets.

"Hong Kong’s Grade A office leasing demand remained firm in the first quarter, despite significant work from home impact. More companies resumed their search for office space after the government relaxed the social distancing measures in April. We believe the market sentiment will continue to improve," Alex Barnes, head of Agency Leasing at JLL in Hong Kong, said.