Cheung Kong Center II tests higher rents amid rebound in Central office market
Cheung Kong Center II is testing office rents above HK$100 (US$12.75) per square foot, as the once slow-leasing tower begins to close the gap with Central’s most in-demand office buildings, according to property agents. The increase marks a turnaround for one of Hong Kong’s most closely watched office projects. Completed in 2024 by CK Asset Holdings – the property company controlled by…
The Cheung Kong Center II, a 41-storey tower in Central, Hong Kong, is testing office rents above HK$100 per square foot as it begins to close the gap with Central's most sought-after office buildings following a rebound in the local market. The building, completed in 2024 by CK Asset Holdings, was initially one of the city's weakest office markets when it opened.
In June, the occupancy rate reached over 50%, with leasing transactions exceeding HK$100 per square foot. This turnaround validates CK Asset's decision to maintain rents despite the downturn, as the tower's lower cost base and strong financial position allowed for patience in securing tenants. The recovery is attributed to improved demand, particularly from mainland Chinese companies and technology firms, as well as a redesign of some office floors.
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