HK office investment volumes slide by 34pc, Savills saysBusiness | 8 Aug 2019 3:56 pm
Office investment volume in Hong Kong has dropped by 34 percent in the six months to June as a result fo the trade war and tariffs, realtor Savills says.
The agent said pre-tax profit dropped by 7 percent to £24.7 million.
Revenue increased by 16 percent to £847 million from £727.8 million in the first half of 2018.
In Asia Pacific, the imposition of Sino-US trade tariffs has affected investment confidence, particularly in Hong Kong, where office investment volumes declined by 34 percent, Savills said.
The domestic housing market slowdown in Australia and Singapore, and reduced retail growth in Hong Kong, Singapore and Japan, have also impacted on trading in these areas.
Group underlying profit before tax was down by £4 million to £38.4 million, from £42.4 million in the first half of 2018.
Mark Ridley, group chief executive said that a slight decline in profits for the first half had been aniticipated.
“In many markets, particularly the UK and Hong Kong, political and economic uncertainty has considerably reduced the volume of real estate trading activity in recent months, although occupier demand remains robust.''