Opinion | Hong Kong’s talent hunt is giving its property market a needed boost

There is much worried chatter in the corporate world lately, and the community in general, that Hong Kong’s glory days as a finance and tourism hub and a major business centre were over. The Covid-19 pandemic and subsequent border closure effectively exiled the city from the rest of the world, and sectors all across the economy suffered dramatic, sometimes catastrophic losses.

But as soon as the mainland border reopened in February, the light at the end of the tunnel immediately got that much brighter. As the saying goes, reports of Hong Kong’s demise have been greatly exaggerated.

Total tourist arrivals have crept up to more than 10 million for January to May, according to the Hong Kong Tourism Board. Leisure visitor numbers are rising, retail sales and hospitality demand have both received a major boost and meetings, incentives, conventions and exhibition events are on the rise.

On top of that, the influx of professionals and graduates under the recently launched Top Talent Pass Scheme has been a boon to the leasing market. Under the scheme, those who earn HK$2.5 million (US$319,000) or more annually or have graduated from one of the world’s top 100 universities with at least three years of work experience are eligible for a two-year working visa.

At least 15,000 applications had been approved as of April 18, according to government figures. While the overwhelming majority of applicants have come from the mainland, the numbers from other parts of the world are expected to climb, especially after the Labour and Welfare Bureau expanded the talent fields list in May to include the creative industries, construction, environmental technology and more.

Meanwhile, anecdotal evidence suggests professionals are starting to return. Rents on small- and medium-sized mass market flats are holding fairly steady, though at the luxury end rents have been climbing since January.