Class A office rents in Hong Kong remained world's costliest

Despite dropping 13% year-on-year.

Global office markets are aiming for a state of economic equilibrium between supply and demand after weathering challenges in China, the U.S. and Europe, according to Colliers International’s Global Office Report Midyear 2013. 

While some still seem to be lagging, most are more stable than they have been for some time, it says. 

In terms of occupancy costs, the world’s five most-expensive cities for office rentals have remained unchanged since June 2012. Hong Kong Class A office rents were still the highest, as of December 2012, followed by London’s West End, Tokyo, Rio de Janeiro and Paris, in that order.

Hong Kong’s Class A office rents remained the world’s highest in December 2012, despite a fall of about 13% year-on-year (YoY). This sector is set to see a positive year in 2013.

“As several major banking, finance and legal firm occupiers are looking to expand, Class A office rents in Central is set to see a turnaround to growth in 2013 from the downward adjustment in the previous year.

Meanwhile, the other sub-markets in Hong Kong are expected to continue their upward trends this year,” says Simon Lo, Executive Director of Research & Advisory, Asia, at Colliers International.