Hong Kong is the most expensive city for luxury rentals
Political unrest and the Covid-19 pandemic have not affected Hong Kong’s top spot as the world’s most expensive city for luxury rentals, according to a report released this week by Knight Frank.
The average rent for a prime property in the city was US $ 6.70 per square foot at the end of last year, data showed. It retains this place among the eight markets considered by Knight Frank in the report.
âA tenant with a budget of US $ 10,000 per month could rent less than 1,500 square feet,â said Kate Everett-Allen, head of international residential research at Knight Frank, in the report.
Although rents for doormen buildings in New York City plunged 17% year-over-year in March, the city is the second most expensive city to rent a luxury residence, according to the report. Principal rents there are around US $ 4.44 per square foot, which means US $ 10,000 per month for an apartment averaging 2,249 square feet.
Singapore ranks third, with rents of around US $ 3.85 per square foot. Renters can expect to get an average of 2,591 square feet for their monthly payment of US $ 10,000, the data shows.
âDubai and Madrid offer the most space in exchange for a rent of US $ 10,000 per month, or 4,800 and 5,000 square feet respectively,â Ms. Everett-Allen said.
Although the pandemic has pushed many city dwellers to greener and more spacious places, cities are starting to come to life, Knight Frank noted.
“The rate of decline in rents is slowing and new lease signatures are picking up,” said Ms. Everett-Allen. âMotivated by large discounts, major tenants are returning to some city centers in hopes of shorter journeys after the pandemic. “
Following: This Friday, attend a Barron’s Live discussion on emerging US real estate markets