Leasing Guide

Click the Property Enquiry button and send us your basic search requirements so we can get the process started right away.
If you prefer to talk to us directly, please feel free to give us a call on 2854 2856.

Through an initial discussion, we will help you identify what your perfect office would look like. Together we will go through your ideal size, layout, location, building quality and facilities, parking requirements, budget availability and future growth projections. This will help us create a customised search according to your needs.

Your PRIME office real estate leasing agent will use the information you have provided to identify the best properties available on our extensive property database. PRIME will generate a personalised market report including pictures, addresses, rates and floor plans.

After you receive your market survey, together we will consider the options and choose the most desirable properties—down to a target 5-10. Your agent will do all the legwork and set up an office tour for you to see the spaces in person. We will be your consultant on the tour, asking the questions you need answers to: What is the parking ratio? How much is after hours A/C? What are the building hours of operation?

After receiving your report, your PRIME specialist will go through this with you together and to shortlist 5-10 of the best property options Your PRIME agent will do all the legwork and set up an office tour for you to see the spaces in person, acting as your consultant through these viewings and, answering any questions you may have on associated rental costs or building specific queries, such as, property management services, A/C servicing hours and any extra charges, Car parking facilities, etc.

After we identify the best 2-3 properties, your PRIME agent will submit a request for proposal (RFP) to each of the landlords respectively to kick off the negotiation. This will help the property owners tailor their lease proposal to your size, terms, and build-out requirements.

With lease proposals in hand, your PRIME agent can make a comprehensive comparison of each property and share how each of the options fulfil your requirements.

Once you’ve shortlisted the top two choices, your PRIME agent will submit a Letter of Offer on your behalf with terms favourable to your needs. The landlord will respond with a revised lease proposal. This negotiation exchange may go back and forth until an agreement on both sides is reached.

After you have agreed to and signed the revised lease proposal, the landlord will produce the first draft of the lease/tenancy agreement for your review. We strongly encourage you to seek professional legal advice, along with your PRIME agent, to thoroughly review the legally binding contract to ensure all its terminology is clearly understood and agreed upon

If you negotiate a lease/tenancy agreement directly yourself, there is a chance that you will be paying more than you may need to. With PRIME working on your behalf, you will be able to access the best deals on the market and negotiate with the landlord for every possible concession. The expert knowledge of a third-party negotiator, such as PRIME, gives you power to leverage and ensure you get more favourable rental terms.

It is not uncommon for our PRIME agents to receive requests to move offices within 30 days. Though possible, it can be difficult and more costly to you. Relocating a business and signing a lease in most cases is a time-consuming process – rents are one of the highest outlays for a business and having an adequate timeframe can greatly benefit negotiations . We encourage our clients to start working with us at least three to six months in advance of a new opening or desired move.

Although leasing office space may not seem that complex, it is a detailed, time-consuming process. It can be very stressful to run a business while trying to negotiate a lease and move at the same time. Allow plenty of time for each step of the process and seek expert help from a professional real estate advisory firm. Handling all the leasing details is what brokers, like PRIME, do best.

Although leasing office space may not be brain surgery, it is a detailed, time-consuming process. It can be very stressful to run a business while trying to negotiate a lease and move at the same time. Allow plenty of time for each step of the process and get expert help. Handling all the leasing details is what brokers do best.

Most of the commercial terms in a lease are negotiable. Generally, landlords set their initial lease terms higher than they believe prospective tenants are willing to accept. After receiving a Lease Proposal from a landlord, we make a counteroffer to negotiate for better terms. In your counteroffer during the negotiation, we can suggest a lower price, more rent-free periods and other incentives. Our PRIME agents know exactly what to offer to arrive at the best deal possible for you.

Reviewing your own lease/tenancy agreement is not always the best option if you are not familiar with the terms and conditions of a lease contract. Unless you are a lawyer or a commercial real estate agent, it is best to seek professional advice to help go through the contract in detail to protect your interests.

Price is often focused on as the way you determine if you are getting a ‘’good deal’’ but the overall occupancy cost is the more important. The ‘’effective rent is the number that you should use when comparing lease proposals. Your effective rent is the figure you get after factoring in free rent and other cash concessions. For example: one month free for a 2-year lease term (i.e. 23 months to pay) at $18 per sq ft = $18 X (23/24) = $17.25 Effective Rate.

Rent Free is a very important part of the occupancy cost that can lower the effective rent for the tenant but still leave a ‘’higher’’ headline rent for the landlord. Free rent also allows tenants to use the budget they would normally spend on rent to pay for movers, fit-out and furniture. Free rent is typically given on the front end of the lease, or alternatively in a separate license period to the agreed lease term. For example: a three-year lease with two free licence months = 38 months of occupancy.

This refers to ‘lease term’ which is the length of the lease you sign with the landlord. Lease terms are typically three years in Hong Kong but variations on timing of the lease terms are negotiable.

The more the landlord needs to invest in getting the space ready for your lease on your requirements can mean, the less flexible they will be on rate. New paint, carpet and walls might seem like a benefit to the landlord too, but it can also be seen as another expense. By the time your lease is up the space will need to be updated again from wear and tear and the different preferences of the next tenant. You can negotiate better lease rates if you can find a space that substantially meets your needs as-is. The cost savings to the landlord can be realised in a lower negotiated rental rate.

The sooner you can move in, the better. Vacant space is lost income for the landlord. If a quick move is possible, it is easier for your real estate agent to negotiate free rental periods and other concessions for you. If you try to negotiate for an occupancy date too many months ahead, you will lose substantial negotiation leverage. When a landlord is being asked to ‘’hold’’ a space off the market,waiting for your occupancy would lose months of rent and their preference to negotiate with you will decline, therefore the timing of lease negotiations is critical.

Financial strength or ‘’credit’’ is very important to landlords. Tenants are usually required to provide their financial information for the landlord’s review (e.g. Balance Sheet and Profit & Loss statements). Many businesses are setup as limited liability corporations which can easily run out of money and declare bankruptcy A personal guarantee from a financially dependable principal or a substantial deposit is often required if the corporate financial strength doesn’t satisfy the landlord’s requirements. Landlords are looking to lease to financially healthy companies with a track record of success and stability. The most financially viable companies have the greatest negotiating leverage with landlords.

here are only limited regulations governing the quoted area of leased premises in Hong Kong and tenants should take care in confirming the net areas. The following plan and notes provide commonly used area basis:

✓ Toilets
✓ Columns
✓ Service corridors
✓ Fire staircases
✓ Lift lobbies | Fire staircase lobbies
✓ Plant rooms | Service rooms
✓ All internal and external walls
✓ Lift shafts

Excluded
x Mechanical | Electrical service rooms
x Refuse rooms
x Water tanks
x Car parking floors

Lettable Area of whole floor shall include toilets and lift lobbies but exclude common areas such as lift shafts, stairs, plant rooms and smoke lobbies.

Includes toilets and lift lobbies but excludes lift shafts, plant rooms and fire staircases.

Included
✓ Toilets
✓ Columns
✓ Lift lobbies
✓ Service corridors

Further Excluded (to Gross)
x Plant rooms | Service rooms
x Fire staircases
x Fire staircase lobbies
x Lift shafts.

Is the usable (carpetable) area within the unit and excludes common areas such as toilets.

Included
✓ Lift lobbies (only applicable to whole floor tenants)
✓ Columns
Further Excluded (to Gross and Lettable)
x Toilets
x Service corridors
x Fire staircases
x Fire staircase lobbies
x Plant rooms | Service rooms
x Lift shafts

The square feet (abbreviated ft2 or sq. ft) is an imperial unit and U.S. customary unit (non-SI, non-metric) of area, used mainly in the United States, Canada, United Kingdom, Hong Kong. 1 sq. ft. = 0.09290304 sqm.

The basis for measurement can vary greatly and we recommend that net areas be confirmed by tenants’ contractors.