Landlords in New Territories are big winners amid Hong Kong’s property market gloom
- Landlords in New Territories are probably the happiest lot as demand lifts rents to multi-year highs, a bright spot amid an otherwise gloomy property market
A 235 sq ft studio flat at Novo Land in Tuen Mun, was leased at HK$12,200 (US$1,565), which translates to HK$51.9 per square foot, setting a new high for rents in the estate.
The rent is on par with some projects on Hong Kong Island. For example, a 236 studio sq ft flat at The Holborn in Sai Wan Ho, is currently leasing for HK$14,000 per month, or HK$59 per square foot, according to data available on Midland Realty website.
On a per square foot basis, the rental yield is higher than units at Residence Bel-Air, a luxury housing estate in the Southern district of Hong Kong Island. A 1,340 sq ft seaview unit in phase six of Bel-Air was leased for HK$65,000 per month, or HK$48.5 per square foot, according to a Midland agent.
“The rental market in that area [New Territories] is relatively more active,” said Buggle Lau Ka-fai, chief analyst at Midland Realty. Small to medium-sized flats priced around HK$20,000 per month are very popular and New Territories tends to offer more options than Hong Kong Island, he added.
