Swire Properties announces today (16 February 2005, Wednesday) recent new lease commitments for its Island East portfolio.
The new transactions cover over 330,000 sq ft of office space in Island East and have been implemented in the last 60 days. Amongst the new tenants are major corporations and financial institutions, including HSBC, Tesco and Swire Resources.
"The flight to quality has begun. Corporations are once again upgrading and see Island East as the ideal choice for their large scale operations," said Stephan Spurr, Director and General Manager of Swire Properties.
HSBC is taking up over 77,000sq ft, or three floors, in Cityplaza One, while Tesco's new office will occupy 42,000sq ft, in Devon House in TaiKoo Place.
The average office monthly rental of Island East currently stands at HK$14 per sq ft to HK$15 per sq ft, with the portfolio's occupancy rate at approximately 85%.
"Although rentals in other core business areas have begun to show some modest signs of increase, there is no question that rents in this part of town have stabilized and are now attracting new customers," added Spurr.
Island East comprises the retail and office centres of Cityplaza and TaiKoo Place. The portfolio connects six million sq ft of quality commercial space across 12 office buildings, forming one of Hong Kong's largest and most advanced commercial campus. The preferred business address for over 300 local and multinational companies, all office towers in Island East feature cutting-edge communications infrastructure, as well as other intelligent features and state-of-the-art satellite and fibre-optic technology that cater to tenants' needs for powerful, fast and reliable communications around the clock.