Hines Launches First Hong Kong Rental Project, Dash on Prat, in Tsim Sha Tsui

Global real estate investment firm Hines has officially opened its inaugural rental apartment project in Hong Kong, named Dash on Prat. This 18-storey co-living facility, located in the bustling Tsim Sha Tsui district, marks a significant expansion of Hines' multi-family residential portfolio in the Asia Pacific region.

Key Takeaways

• Hines has converted the former Butterfly on Prat hotel into a co-living space.
• The project, operated by Dash Living, targets young professionals.
• It offers a range of amenities and community-focused living.
• The opening occurs amidst a predicted muted recovery in Hong Kong's rental market.

Dash on Prat: A New Co-Living Concept

Dash on Prat, formerly the Butterfly on Prat hotel, has been transformed into a modern co-living space. The 18-storey building, acquired by Hines and Mindworks Ventures in late 2021 for HK$925 million, features 158 units. These rooms range from 210 to 395 square feet and are designed to provide independence, comfort, and community for young professionals.

Amenities and Target Market

The facility boasts a variety of shared amenities, including a communal kitchen, laundry area, workspace, lounge, and yoga room. Hines aims to address housing affordability and the desire for ready-made communities in high-priced markets like Hong Kong. "This is an exciting option for young professionals that provides them with independence, comfort, amenities and community," stated Chiang Ling Ng, Hines’ Chief Investment Officer for Asia.

Strategic Location and Expansion

Situated at 21 Prat Avenue, Dash on Prat is conveniently located near the East Tsim Sha Tsui MTR station and within walking distance of major shopping complexes. This project is part of Hines' broader strategy to invest in the living sector across Asia Pacific, with existing multi-family assets in Japan and pursuits in Australia.

Partnership with Dash Living

The project is operated by local rental housing operator Dash Living, which manages over 2,000 rooms across Hong Kong, Singapore, Tokyo, and Sydney. "Together we are leveraging Dash’s global sharing economy, community and technology to unlock value in prime assets like Dash Living on Prat in Hong Kong," said Aaron Lee, Dash founder. Dash Living also partners with PGIM Real Estate for other rental accommodation facilities in the city.

Market Context

Hines' launch comes as analysts anticipate a slow recovery for Hong Kong's rental market following a downturn in 2022. While serviced apartment rents saw a slight dip, the city's recent lifting of quarantine rules and mask mandates signals an effort to boost tourism and economic activity, potentially influencing the rental sector positively.

Sources

• Hines Opens First Hong Kong Rental Apartment Project, Mingtiandi.