TNAG-1267-FCO40-1616-Economic-situation-in-Hong-Kong-1983 — Page 110

FC040/1616

supply of private

nine months together, the additional supply

residential property increased by 78% in terms of floor

area, and 45% in terms of units. The total

supply of residential property was thus substantial.

5.6

available

towards the end

Apart from small domestic units, in respect of

which an active market continued, demand for residential

accommodation remained relatively weak in the third

quarter. The increase in mortgage rates

of the third quarter dampened further

domestic units. Prices and rentals for

units continued to ease though rentals seemed to be

showing a greater degree of stability, particularly in locations where demand is now more closely matching supply.

5.7

the demand for

large domestic

/

As regards commercial property (5), the

additional supply of shops and offices in

and offices in the first nine

months was also substantial. However, demand for shop

space was generally affected by the relatively slow growth

in consumer spending. Shop space in prime locations nevertheless continued to have a high occupancy rate. The situation was similar for offices. The additional supply of industrial property

(6) in terms of usable floor area

completed, was 40% lower in the first nine months of this

year than in the same period last year. Much of the new

supply continued to be in the New Territories. The

current revival in manufacturing. activity has not yet

resulted in a substantial increase in demand

for

industrial space.

/5.8 Planned

(5)

(6)

Commercial property is defined to include offices, shops and miscellaneous commercial premises such as upper floor restaurants.

Industrial property is defined to include flatted factories, specialised factory buildings and storage premises.

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