Hong Kong’s loss is Singapore’s gain

Shortage of office space in Hong Kong is driving expanding companies to set up their regional bases in Singapore.

A Reuters report said, “While rents are soaring in both cities, there is a much larger supply of new office developments coming up in Singapore to cater to the growing demand. In contrast, firms wishing to expand in Hong Kong will either have to outbid other prospective tenants or move out of the city center.”

Simon Treacy, Group Chief Executive of property fund manager MGPA, was quoted as saying, "Unlike Singapore, Hong Kong has not managed its land supply well. Vacancies are very low in Hong Kong and rents are rising. Some international banks will more actively consider Singapore as the area where they'll expand so on a net-net basis, Singapore's growth will outpace Hong Kong.”

View the full report here.

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