HK Private Housing Supply to Climb in 2016
Mar 20th, 2016
Hong Kong's private domestic housing completion supply will increase 61% to 18, 200 units in 2016 when compared with 11,280 in 2015. About 68% of completions will come from the New Territories. Completions in 2015 was 11 280 units, the number was 28% less when compared with the supply in 2014, according to HKSAR Rating Valuation department statistics.
Private domestic housing units take-up was 10 530 units for 2015, lower than the year’s completions. Vacancy at the year-end slipped marginally to 3.7% of the total stock, equivalent to 42 040 units.
For the past year of 2015 completion was 11 280 units, 28% lower than 2014. About 61% of the completions were in the New Territories, 17% in Kowloon and 22% on Hong Kong Island.
The number of units forecast for private dometics units completions in 2016 and 2017 are around 18 200 and 17 930 units respectively. For 2016, 68% of completions will come from the New Territories. District-wise, Yuen Long and Sai Kung will provide 29% and 21% of the new supply respectively.
On the office property side, office prices and rents grew in the first three quarters of 2015 and showed signs of contraction in the fourth quarter, but overall office prices still recorded a gain of 7% between the fourth quarters of 2014 and 2015. Prices of Grade A offices in the last quarter of 2015 went up for 10% year on year.