Tag Archives: BeiJing

S’pore 3rd costliest office location in Asia-Pac

Singapore remains one of the costliest office locations in the Asia Pacific, according to a new report from Colliers International.
The study ranked the most expensive office markets in the region for Q1 2013, based on annual gross rents expressed in US dollars. Hong Kong topped the list at US$112.86 (S$142.84) psf, followed by Tokyo and Singapore with US$93.24 (S$118.01) psf and US$81.19 (S$102.75) psf respectively.
Sydney, Perth, Beijing, Brisbane, Shanghai, Hanoi and Ho Chi Minh City rounded up the top 10.
Colliers said leasing momentum in Singapore’s CBD “stayed relatively muted in Q1 2013, dominated by renewal deals and tenants’ flight to quality”.
The report noted that average occupancy rates for premium grade office space in the Raffles Place/New Downtown micro-market increased to 90.2 percent in Q1 from 88.5 percent in the previous quarter. However, average occupancy in the wider CBD fell to 93.6 percent from 94.5 percent during the same period.
In terms of monthly gross rents, CBD Premium and Grade A office space eased another 0.7 percent to S$8.41 psf in March.
“Weighed down by downside risks on the global economic front, CBD office rents are expected to stay on a downtrend in 2013, but improving local market fundamentals could cap the fall in office rents to less than five percent for the whole year,” the report said.
“In the leasing market, corporate tenants will remain largely cost-conscious over the near term until there are more concrete signs of recovery in global demand, perhaps in the latter half of 2013. Given the low interest rate environment, the overall sales market is expected to remain dominated by cash-rich occupiers who are motivated to consider buying for long-term own-use.”
Meanwhile, Colliers expects governments across the region to introduce additional stimulus measures aimed at improving economic growth.

Source Prop Guru – 30 MAy 2013

Top 5 hot markets in Asia

The overall value of prime property in the world’s key cities fell 0.4 percent in the first quarter of 2012, according to a report from Knight Frank due to global economic woes and the implementation of cooling measures in key markets. In Asia, only two cities beat the trend with Jakarta experiencing 14. percent price growth in the 12 month period between March 2011 to March 2012, while Beijing saw prices increase by 2.9 percent in the same period.

If we look back five years however, the picture is dramatically different. Here are the top performing Asian markets based on a five-year change in the Global House Price Index as devised by Knight Frank Research by setting the index at 100 in the fourth quarter of 2007.

Hong Kong saw the biggest increase in the index at 164 in the first quarter of 2012 due to its role as a global economic centre and gateway to China.

India saw the second largest increase, to 159, fuelled by strong demand both from the domestic and foreign markets.

China, unsurprisingly came in on a third place, its index rising around 50 percent to 150. The increase is highly attributed to China’s rise as a global economic powerhouse in terms of trade, commerce and the staggering production of newly-minted millionaires.

Taiwan and Malaysia came in on a shared fourth place in the fourth quarter of 2011 since first quarter results for Malaysia were unavailable. Having both seen their indexes rise to around 124 in the fourth quarter of 2011, it is likely that Taiwan may have overridden Malaysia due to pre-election jittery in the latter market.

Taiwan and Malaysia came in on a shared fourth place in the fourth quarter of 2011 since first quarter results for Malaysia were unavailable. Having both seen their indexes rise to around 124 in the fourth quarter of 2011, it is likely that Taiwan may have overridden Malaysia due to pre-election jittery in the latter market.

Source: PropertyReport – 2012 Jul 19