Industrial leasing slows as global trade activities plunge in July: JLL

Global trade is negatively affecting leasing demand for industrial space.

Industrial property leasing market slowed in July as trade activities are hampered by weakening global demand for goods, according to JLL.

Hong Kong’s total import and exports declined 9.9% and 8.9% in July compared to a year earlier, according to data from the Census and Statistics Department.

“Given the rising uncertainties in the external environment, tenants adopted a more cautious approach towards their leasing plan,” the real estate company said in a report.

Notable deals include Alba Integrated Waste Solutions committing 12,000 sq ft at Eastern Factory Building in Kwai Chung, which JLL called “a rare case of new letting.”

The industrial property leasing market's performance is in direct contrast to Hong Kong's retail leasing market, where a recovery is expected.