New Projects in High Demand as Rental Market Rebounds Sharply
SingTao · 2 SOURCESabout 2 hours ago6 MIN
Summary
Hong Kong's residential rental market is experiencing a sharp rebound as the summer leasing peak season coincides with sustained demand from mainland professionals, overseas students, and local end-users. A standout transaction at SPRING GARDEN in Wan Chai saw three one-bedroom units on the same floor leased for a combined HK$62,000 per month, highlighting the premium rents that newly completed projects can command. Industry insiders forecast residential rents to climb 5% to 8% for the full year, with the potential to hit historic highs.
Key Points
- Three adjacent one-bedroom units at SPRING GARDEN (春園街38號) in Wan Chai—units A, C, and D on a mid-floor—were leased together for HK$62,000 per month, with a combined gross area of approximately 852 square feet .
- The three tenants, all professionals who found the units via Ricacorp's proprietary platform, were attracted by the development's prime Wan Chai location, proximity to the MTR station, and practical layout .
- The landlord, an investor who purchased all four units on that floor in November 2025 for approximately HK$25.15 million, is now earning a rental yield of approximately 3% from the three leased units .
- A high-floor unit at 囍滙 (The Pavilia Bay) in Wan Chai set a new record for the development, leasing for HK$32,000 per month—HK$72 per square foot—to a mainland professional tenant .
- Additional transactions across the territory include: a 377-sq-ft unit at 朗賢峯 in Ho Man Tin at HK$24,500 per month (4.1% yield); a 437-sq-ft unit at 海德園 in Chai Wan at HK$21,000 per month (3.8% yield); a 294-sq-ft unit at 晉環 in Wong Chuk Hang at HK$18,500 per month (3.3% yield); and a 181-sq-ft unit at ONE JARDINE'S LOOKOUT in Happy Valley at HK$15,000 per month (5% yield) .
- In Tuen Mun, a 390-sq-ft unit at 珀御 was leased for HK$13,200 per month, with the tenant prepaying the full annual rent of HK$158,400 upfront, yielding approximately 3.6% for the landlord .
Why It Matters
The rental market's momentum reflects Hong Kong's continued ability to attract mainland talent and retain local residents amid government policy support. If rents rise by the projected 5% to 8%, they could surpass previous peaks, reshaping affordability calculations for professionals and students relocating to the city while providing landlords with improved returns from newly acquired investment properties .
The rental market's momentum reflects Hong Kong's continued ability to attract mainland talent and retain local residents amid government policy support. If rents rise by the projected 5% to 8%, they could surpass previous peaks, reshaping affordability calculations for professionals and students relocating to the city while providing landlords with improved returns from newly acquired investment properties .