As trade activities become more challenging to negotiate between the East and West, China’s territories will look to inland developments for business expansion and to create steady job opportunities. One of the vital big-ticket projects is the development of the Belt-and-Road initiative, which will connect China to more than 60 markets around the world. This initiative is instrumental in driving larger economic growth for Asian and other emerging markets. Despite the project’s financing woes and challenging negotiations, local construction companies are still bidding for contracts to work on one of the world’s largest infrastructure projects that has the potential to boost global economy.
While the external environment continues to evolve and advance, local construction, property and engineering companies will place a larger focus on retainers and projects to ensure business growth. The key sectors that are likely to see more growth are office, residential and retail.
increasing demand for office spaces in hong kong SAR
Many international companies, including those headquartered in mainland China, continue to establish a presence in Hong Kong SAR to gain a larger market share in Asia. This influx of new entrants could lead to an increased demand for office spaces, which will benefit office retailers as they can reduce the number of vacant units and raise rental prices to address the growing demand.
Companies that are establishing a presence or expanding their operations in Hong Kong SAR are also more likely to rent office spaces in New Territories or Kowloon for their attractive prices, compared to the high-priced business districts in Hong Kong SAR Island.
creating new experiences to attract shoppers
The retail market will continue to tap into the wallets of shoppers by introducing new concepts and channels that offer them with a seamless shopping experience. For instance, the growing trend in online-to-offline shopping will help brands increase revenue and result in a higher footfall in the shopping malls. Retailers are also offering a more experiential experience by leasing more spaces to lifestyle operators such as food and beverage outlets and cinemas to attract more shoppers.