Hong KongFacility Management Market Size

Hong KongFacility Management Market Analysis

The Hong Kong facility management market is anticipated to record a CAGR of 4.1% over the forecast period (2022 - 2027). The growing emphasis on outsourcing non-core operations and growth in the real estate sector is expected to drive the Hong Kong market for facility management services. Along with this, the government regulation on safety measures and environmental concerns to follow green practices is expected to drive the market.

• Hong Kong has its prominence in outsourced markets for facility management services in terms of development and sophistication. The region's facility management industry operates with integrated contracts provided by significant vendors such as Knight Frank Hong Kong Limited EAA, G4S Facility Services Hong Kong Limited, etc., across various countries and borders, and small local players focus on single contracts and single-service solutions. However, given the dynamics occurring across the region, there are increasing opportunities to leverage facility management and corporate real estate in new ways.
• Moreover, facility management (FM) includes management methods and techniques for building management, infrastructure management for an organization, and overall harmonization of the work environment in an organization. This system standardizes services and streamlines processes for an organization.
• Over the last decade, several service vendors, such as Savills Hong Kong Limited, Dusservice Hong Kong, etc., operating in the region have been focused on expanding their presence to leverage the increasing demand for facility management, especially with the recent trend favoring outsourcing of non-core operations. Further, Hong Kong has been witnessing increased opportunities to leverage facility management and corporate real estate in innovative ways, given the dynamics across the country.
• In terms of the end-user demand, the public sector's contribution toward the facility management market in Hong Kong is primarily driven by the government's constrained budgets that lead to the continuous outsourcing of essential facility management services. While on the contrary, a few instances, such as the Hong Kong Science and Technology Parks Corporation (HKSTP), a government statutory body set up to encourage I&T in the city and around the region, are implemented.
• Considering the market for Hong Kong facility management has been subjected to moderate growth due to the rise in demand for people with improved requirements. This scenario is projected to bolster the development of the market during the forecast period. The ongoing pandemic has resulted in the steady market growth in the region. However, the pandemic has resulted in limited production, leading to a sharp decline in business inputs.
• The outbreak of COVID-19 has had a mixed business impact on facilities management firms. The restrictions on the movement of people resulted in a decline in project work and a decreased level of activity across many customer sites. Significant players in the market, such as CBRE Hong Kong, Synergis Management Services Limited, and others, were adversely affected due to the pandemic lockdown.