Commercial Property Rental or Office for Rent in Hong Kong – We Can Connect You With Property Agent
Hong Kong is one of the most bustling, vibrant business hubs in Asia, and finding a commercial property rental or office for rent in Hong Kong is a decision which requires careful thought and planning.
What to Consider Before Renting an Office in Hong Kong
Looking for an office to rent in Hong Kong? 3E Accounting can connect you with our associate property agent. Yes, you will need an agent because getting the right consultation for your business needs is important, and there are several considerations which need to be taken into account that could play a factor in the rental prices you pay.
Conditions such as the office being close to an MRT, available parking space nearby, centralised air conditioning or split air conditioning, even having a nice lobby within the building could affect rental prices. It is also important to check the actual space you are about to rent, as sometimes the gross area of the office could be 1,000 square feet, but the actual area only measures about 500 feet, which is why you should always ask to view a property before committing to it.
How Property Agent Commission in Hong Kong is Charged
Both the landlord and the tenant will be liable for these property agent commission payments, which usually depends on the agent arrangement. Generally, the
landlord and tenant would contribute towards half the commission payments respectively. For each completed transaction, the property agent will receive a commission of one month rental usually.
How Rental Prices in Hong Kong Are Charged
Rental rates in Hong Kong is one of the many indirect taxes which are levied on properties. The revenue that is collected is part of the Government’s general revenue, and as such, rental rates are charged based on the percentage of the rateable value.
The rateable value of an office for rent in Hong Kong would be the estimated annual rental value of the property. This is after the property has undergone a designated valuation.
Rates were charged at 5% for the 2019-2020 financial year. For this period, the designated valuation date was 1 October 2018, with the rateable values coming into effect 1 April 2019. In general, all properties in certain parts of Hong Kong will be liable for assessment rates based on the Rating Ordinance (Cap. 116).
The tenant will be liable for these rate payments usually, depends on the agreement between both the landlord and tenant. Generally, the tenant would contribute towards the payments of the indirect tax. However, if an agreement is absent, then the liability would fall entirely with the landlord.
When renting an office in Hong Kong, as the tenant, you will still be required to pay your rental, management fees, and taxes to the government. The bills will usually be made out to the landlord, and you would have to reimburse your landlord.
Need an Office for Rent in Hong Kong?
Let 3E Accounting help you find the perfect office for your business. Contact us today to find out more about getting in touch with our trusted associate property agent.