Central Grade A office vacancy falls to its lowest level since 2023, JLL says

Vacancy rates in Central Grade A office fell by 0.8 percentage points month-on-month to 10.1 percent at the end of January, marking their lowest level since 2023, according to property agency JLL's latest Hong Kong monthly market dynamics.

The rate continued to improve steadily from its peak of 12.2 percent in September 2024 as leasing demand from the financial sector remained robust.

The overall Grade A office vacancy rate also improved, dropping to 13.5 percent at the end of January, with vacancy levels in Wanchai, Causeway Bay, and Tsim Sha Tsui each decreasing by 0.5 percentage points month-on-month.

Cathie Chung, senior director of research at JLL, said overall office rents rose 0.3 percent month-on-month last month, marking the fourth consecutive month of growth.

She added that the uptick was primarily driven by Central, where rents increased by 1.2 percent, while other submarkets declined slightly.

Gloria Leung