Since February, it passed two months after the border reopening, and the overall property markets started to improve. Primary housing and the shop markets have been gradually recovering. Secondary residential property price has risen to 4% for two consecutive months. The investors are also looking for investment opportunities in shop market. Unlike the shop market, the office market does not show any improvement. The rent remains soft. In addition, 
Cheung Kai Center, the prime office building in Hunghom, had just been taken over by creditors. With this incident, the office market will not recover in near future.
Three years ago, Cheung Kong sold 75% shares of The Central for about forty billion HK dollars. Since then, office's transaction price, and the rent have been adjusting. Recently, Cheung kei Centre is taken over by creditor and this will have a negative effect to the office market. This biggest foreclosure in recent years will alert the office investors.
Owing epidemic shutdown, working from home has gradually become popular. Therefore, demands for office premises are decreasing year by year. Consequently, the border reopening will not have any effect to this market. Moreover, the incident of takeover of Cheung Kei Center will further push down this market in longer period.
Given the slowdown of the global economy in recent years, multinational corporations have been continuously reducing the office space in Hong Kong. Therefore, the vacancy rate of Grade A and B offices have risen to about 15%. The transaction price and the rent have been falling over twenty-five percent in the past three years. In the consequence, the vacancy rate still has upward pressure.
Like a smart investor, he already has avoided to engage in this sector long time ago. Regarding buyers who insisted involving in this market two or three years ago, they are likely to suffer high vacancy rate of these premises. However, Portion of these premises have even foreclosed by the creditors.
The first quarter of this year is ending, equity markets remain in a downturn. American Banks and Switzerland financial institutions have been taken over one after another, and many listed companies in China are defaulting on their debts. There are fewer and fewer vehicles or sectors that are worth to invest, and the situation in Hong Kong is the same.
Since the border reopening, small and medium-sized residential properties market have recovered at fastest speed. Prices and volume risen; the investors have been attracted to return to the market. The recovery of the retail sales has benefited to the shops market, but the office market has yet to show signs of recovery. Owners of such properties will still have to struggle for at least one to two years.
