We Are Confident In The Future Of The Greater Bay Area – Co-Working Office Operators Tec
HONG KONG – Co-working office operators, TEC have expressed sheer confidence in the future of their property business in Asia-Pacific, particularly the Greater Bay Area.
Despite global COVID-19 concerns and the ravaging effects it has had on businesses and inter-continental economic strongholds, TEC has maintained nothing but optimism over the prospects of the Greater Bay Area.
The Executive Centre (TEC), a Hong Kong-based Company, in a recently released statement expressed such optimism while affirming the current reality of major distortions in the serviced office world. It cannot be denied that shared office in Hong Kong has taken an unfavourable bend, the condition owing credits to a lessened demand for office space in recent times.
In the statement, the Chairman and Chief Executive of TEC, Paul Salnikow said: “We can confidently say we see the growth of 30 percent in the next 24 months in the Greater Bay Area, primarily in Guangzhou and Shenzhen and possibly some of the second-tier cities.”
Commending the company’s stellar business performance in China, Mr. Salnikow continued, “We are growing in China and we are seeing robust business demand there. We now have 135 centres in 32 cities and 14 countries across Asia-Pacific and the Middle East and just shy of a million square feet in China specifically, which makes up a significant part of our footprint – close to a third of it.”
Property consultancy firm Colliers International also expressed concerns over the demand for co-working office spaces, stating that the present condition of things leaves companies with no choice but to reconsider their need for large office spaces. Several big companies in the property sector of Hong Kong are already dispensing their office spaces, and even more of such has been predicted to follow before the year runs out.
Colliers said, “the challenging business environment in Hong Kong means other operators may also return space and as a result, we are likely to see negative operator take-up of circa 150,000 sq ft by year-end.”
“Overall,” the property consultancy company also said, “We expect net take-up by flexible workspace operators to be negative in 2020.”
However, not eroded or distracted by present mayhem, The Executive Centre appears unmoved as they are more focused on potentials and strategic planning for their business future.
“For our mature centres,” Salnikow said, “we are forecasting over 90 percent occupancy rate by the end of September. We continue to see strong demand coming from multinationals and domestic corporates in China, who are looking for premium Grade A office space, but want more flexibility at the current time as they try to manage costs.”
