Tsim Sha Tsui outperforms in terms of rent

It showed the strongest growth at 5.4% QoQ.

Colliers International reported:

Among all submarkets, rents in Tsim Sha Tsui showed the strongest growth at 5.4% QoQ in 3Q 2012.

On the back of its extremely low vacancy, any prominent leasing deals concluded in the market would push up rents in the Tsim Sha Tsui Grade A office market.

For instance, an insurance company from Island East and a sourcing company from Kwun Tong relocated to Tsim Sha Tsui, taking up 40,000 to 50,000 sq ft each.

Moreover, landlords in Kowloon East raised their asking rents for large floor size units in view of the strong demand and tight supply imbalance.

In contrast, Grade A office rents for units that are less than 10,000 sq ft in Kowloon East were still competitive.