Leading diversified professional services and investment management company Colliers (NASDAQ and TSX: CIGI)  announce it has been appointed by creditor as sole agent to sell the en bloc commercial property at 303 Jaffe Road, Hong Kong. 

The property is located in the core area of Wan Chai on Jaffe Road, with 25 storeys and a Marketing Floor Area of approximately 86,214 sq. ft. (information provided by the owner, not verified). It underwent a major renovation in early 2020, making it one of the landmark Ginza-style commercial buildings in the area. 

The ground floor has two retail spaces, the first to ninth floors are leased to several renowned restaurants, and the mid to high floors are leased as office space. Additionally, the building is equipped with three lifts, each typical floor has an area of about 3,200 sq. ft., with a floor loading of 5Kpa and sufficient power supply to accommodate more F&B tenants. The entire property faces the Wan Chai Sports Ground, and floors above the middle level offer unobstructed views of Victoria Harbour. The rooftop also has the potential for outdoor signage, providing new buyers with opportunities to promote their brand or lease out, enhancing rental income.

Thomas Chak, Head of Capital Markets & Investment Services, commented, “The property is only a 5-minute walk from the Exhibition Centre MTR Station, connected by a covered pedestrian bridge. It is surrounded by several landmark commercial buildings: Central Plaza, Sun Hung Kai Centre, China Resources Building, Convention Plaza Office Tower, and the Gloucester Road commercial buildings cluster, catering to substantial dining consumption demand. The property was originally a hotel, thus offering great potential and flexibility for future development. It can be converted into a hotel, serviced apartments, or student apartments catering market demand, providing investors with diverse business opportunities to meet the needs of different customer groups and achieve ideal and stable returns.

Additionally, Wan Chai has a large number of Chinese-funded institutions, with the headquarters of several mainland enterprises located in the area. The neighboring Overseas Trust Bank Building is also home to the Hong Kong Provincial CPPCC Members Association. The property offers multiple private banquet spaces to meet the dining and banquet needs of high-end customers and Chinese-funded institutions. With full border reopening, more exhibitions will be held at the Wan Chai Convention and Exhibition Centre, attracting numerous Chinese-funded institutions to Hong Kong for investment, significantly increasing dining consumption demand in the area, bringing huge opportunities to the property.

Benefiting from last year's Policy Address "New Capital Investor Entrant Scheme" and "Admission Scheme for Mainland Talents and Professionals”, more and more Chinese-funded institutions are choosing to establish its operations in Hong Kong. With the opening of the MTR East Rail Line extension, the Exhibition Centre Station directly connects to Lo Wu and Lok Ma Chau (Futian Port), closely linking Hong Kong and mainland China, making the entire Wan Chai area particularly popular among mainland buyers. 

In the past two years, the commercial property investment market in Hong Kong has recorded several notable en-bloc property transactions, including: the en bloc commercial building at 152 Queen's Road Central which was just sold for HK$1.08 billion (approximately HK$17,866 per sq. ft.), Chiyu Banking Corporation acquired Bonham Majoris, the en bloc commercial buildingin Sheung Wan for HK$1.298 billion (approximately HK$14,750 per sq. ft.), and the famous mainland sports brand "LI-NING" purchased Harbour East, the en bloc commercial building in North Point for HK$2.208 billion (approximately HK$15,833 per sq. ft.) as its Hong Kong headquarters, reflecting the gradual momentum of the en bloc commercial property investment market. En bloc commercial buildings on Hong Kong Island are particularly popular, and investors should seize this opportunity to purchase properties during the global market interest rate reduction cycle, and enjoy stable rental income and property appreciation returns when the global economy fully recovers.

Additionally, the sale includes 10 private car parking spaces adjacent to the Overseas Trust Bank Building, which new buyers can purchase together with 303 Jaffe Road or consider purchasing separately.