Office tenants opt for renewals, maintain space amid savings

Two-thirds of respondents would stay in their current building.

The majority of 385 office occupiers are planning to renew their current leases without changing the size of their units, as cost savings emerge as the primary factor influencing leasing decisions.

Two-thirds (64%) of respondents would stay in their current building. Amongst these respondents, 43% plan to renew their existing units and would not change their total office size, unveiled  Colliers’ Hong Kong Occupier Survey 2024.

Meanwhile, 12% of respondents are planning to downsize whilst 9% plan to expand, optimising their areas.  

Occupiers considering relocation have a variety of expansion and consolidation plans but tend slightly towards downsizing. Over a fifth (21%) of respondents are considering relocating to other buildings within their current district, whilst 15% are contemplating moving to buildings outside their current district. 

However, the incentive to relocate appears to be relatively low, with most tenants preferring to stay within the same district even if they decide to move.

For those planning to relocate, plans regarding office size are mixed. 

The proportions of tenants considering expansion, maintaining the same size, or downsizing are similar, although more respondents are inclined to either expand or maintain their current office size rather than downsize. 

This suggests that tenants may seek to move to more prestigious districts while keeping the same office size or opt for larger, higher-quality spaces offering better value for money.