ZA Bank to anchor Hysan's Causeway Bay tower as fintech tenants fill office space
Digital bank ZA Bank has leased 45,000 square feet across four floors at Hysan Development's Lee Garden Eight for its new headquarters, with occupancy planned for 2027. The deal comes as Causeway Bay landlords face a soft office market with high vacancy rates, prompting a shift toward attracting fintech and digital economy tenants. Hysan's office portfolio occupancy slipped to 93% at the end of June, with rental reversions remaining negative.
ZA Bank's new headquarters lease covers 45,000 square feet across four upper floors of Lee Garden Eight's Tower 3, with a 2027 move-in date. This move aligns with Hysan and Chinachem Group delivering roughly 1.1 million square feet of commercial space to the area in the fourth quarter.
Grade A vacancy across Causeway Bay and Wan Chai reached 9.8% in August. Hysan's occupancy slipped to 93% by June, with turnover falling and rental reversions staying negative, prompting a strategic push to attract fintech and digital tenants.
The influx of fintech tenants could help stabilize Causeway Bay's commercial real estate, potentially easing vacancy pressures for landlords. For employees, a growing digital banking hub may bring new job opportunities and revitalize the district's daytime economy. However, if traditional businesses continue to migrate to Central, the area's retail and service sectors could face uneven recovery, as the tenant mix shifts toward specialized tech firms rather than broad-based commerce.