Centaline Investment’s Josephine Kong discussed the potential of PBSA with Bloomberg Businessweek

Centaline Investment’s Josephine Kong discussed the potential of PBSA with Bloomberg Businessweek

2025-07-30

Josephine Kong, Chief Investment Officer of Centaline Investment, was recently interviewed by Bloomberg Businessweek (Chinese edition) to discuss the opportunities and challenges in converting office buildings into purpose-built student accommodation (PBSA) in Hong Kong.

Amid rising demand for student housing and a high local office vacancy rate, PBSA has become a new focus for investors and property owners. Several industry experts, including Josephine from Centaline Investment, shared insights in the interview.

Josephine mentioned that Centaline Investment has long invested in overseas student housing markets, having completed projects in the US and UK. With Hong Kong property prices declining, the company officially announced its first local project in May, One Pace 117, in Tsim Sha Tsui. This project, converted from a hotel to student housing, provides 121 beds and is located near several universities. She added that the investment period is expected to be four to five years, with an internal rate of return (IRR) projected at 15% to 18%, making it an attractive proposition.

Josephine also expressed support to the government’s recently launched “the Hostels in the City Scheme” initiative. She believes the policy simplifies the planning approval process, reduces renovation time and administrative costs for owners, and meets market needs. However, she also cautioned that PBSA is still in its early stages in Hong Kong. The market is not yet mature, and the structural conditions of buildings vary greatly, meaning not all are suitable for direct conversion.

To help owners make informed decisions, Centaline Investment has also newly launched a student housing operations brand, CampusOne Communities. It provides end-to-end services, from feasibility study to student housing operation.

Centaline thanks Bloomberg Businessweek (Chinese edition) for the invitation and looks forward to further breakthroughs in Hong Kong’s student housing sector. For more information, readers are encouraged to consult the full report (in Chinese) in Bloomberg Businessweek (Chinese edition) or contact the Centaline Investment team for professional guidance on property conversions.

Addressing Hong Kong’s student housing boom: Kavis Ip shares insights on CNA

Addressing Hong Kong’s student housing boom: Kavis Ip shares insights on CNA

2025-07-25


Kavis Ip, CEO of Centaline Investment, recently appeared on Channel News Asia (CNA) to discuss the rising demand for student housing in Hong Kong.


Addressing the influx of overseas students, particularly from mainland China, Kavis introduced Centaline Investment’s project to convert a mid-tier hotel into student housing, featuring communal kitchens, laundry facilities, and study areas. She highlighted the compliance challenges associated with property conversions and commended the government’s upcoming pilot scheme designed to streamline the conversion process. Kavis also introduced the company’s new platform designed to assist property owners with feasibility studies, redesigns, and operational management for student housing.


We thank CNA for inviting Kavis Ip to share her valuable insights. The program can be viewed at this link.

Janet Shih and Josephine Kong discussed student housing investment prospects on Metro Radio


Janet Shih of Centaline Group and Josephine Kong of Centaline Investment
discussed student housing prospects on Metro Finance’s ‘Metroland’ Program.

2025-05-25

Janet Shih, Chairlady of Ricacorp Properties and subsidiaries of Centaline Group, together with Josephine Kong, Chief Investment Officer of Centaline Investment, jointly appeared on Metro Finance’s program “Metroland” on July 19, 2025, to discuss the latest developments and market prospects of the company’s student housing projects.

Janet pointed out that Hong Kong has long faced a severe shortage of student housing, a situation exacerbated by local universities’ increase of overseas student admission quota. The demand for student accommodation has sharply increased, while existing specialized student housing remains far from sufficient, causing rents in various districts to rise continuously. In response, Centaline Investment proactively began sourcing suitable properties two years ago to convert into student residences.

Josephine mentioned that at the end of last year, the company acquired a boutique hotel in Tsim Sha Tsui and began renovation work, which is expected to be completed this August. The project will offer 67 rooms and 121 beds, located only about a five-minute walk from Hong Kong Polytechnic University, with enthusiastic rental demand. The project is positioned as “affordable luxury student housing,” emphasizing thoughtful room design, efficient space utilization, and privacy protection, striving to provide a comfortable and safe living environment.

In May 2025, Centaline Investment launched the brand “Campus One Community,” providing professional consultancy services to property owners interested in converting their properties into student housing. Services include feasibility studies, property redevelopment, lease management, and operational strategies.

Looking ahead, Centaline Investment has set clear goals, aiming to manage between 2,000 to 3,000 beds within the next three years to provide diversified accommodation options that meet students’ varied needs and budgets. The industry is closely watching the government’s soon-to-be-announced pilot program, spearheaded by the Development Bureau and Education Bureau, expected to launch in mid-July. This program aims to encourage private property owners to convert hotels and other commercial buildings into student housing, adding new momentum to the student housing market.

Thank you Metro Finance’s “Metroland” for inviting Janet and Josephine Kong to share their insights and look forward to the continued growth of the Hong Kong student housing market. For more information, tune in to Metro Finance’s “Metroland” (In Cantonese).

Josephine Kong shared market reactions to the Government’s pilot scheme on RTHK

Josephine Kong shared market reactions to the Government’s pilot scheme on RTHK’s “Freedom Wind · Freedom Phone” Program

2025-06-26

Josephine Kong, Chief Investment Officer at Centaline Investment, was interviewed on RTHK Radio 1’s program “Freedom Wind · Freedom Phone,” on June 26th, where she shared insights on the market’s response to the government’s upcoming pilot scheme to convert commercial buildings into student hostels.

During the program, Kong highlighted that the market’s overall attitude towards this policy is positive and proactive. She revealed that her company has been investing in student hostels since 2018, initially focusing on the US and UK markets before expanding back to Hong Kong in recent years. Kong explained that the government’s relaxation of renovation approval procedures greatly shortens the approval time, helping to accelerate supply. However, the overall renovation process still takes time, so a significant increase in new hostel supply is unlikely in the short term. The impact is expected to become visible over the next one to two academic years.

She also analyzed challenges in converting commercial buildings into student hostels, such as whether property owners are willing to invest in renovations and how to address issues like fragmented ownership and varied building layouts. Kong shared that her company is currently renovating a hotel in Tsim Sha Tsui into a student hostel and pointed out that student hostels generally offer more stable rental income compared to the hotel business, making them attractive to investors seeking steady cash flow.

Overall, Kong is optimistic about Hong Kong’s development as an international higher education hub. She believes that increasing the supply of student hostels will not only alleviate housing pressure but also stimulate related industries and stabilize the property market, representing a significant opportunity in Hong Kong’s economic transformation.

Thank you to RTHK’s “Freedom Wind · Freedom Phone” for inviting Kong to share her valuable insights. We look forward to new breakthroughs in Hong Kong’s student hostel market. To learn more details, you are welcome to listen to the episode here (in Cantonese).

Kavis Ip shared insights on opportunities in Hong Kong’s student housing market on HOY TV

Kavis Ip shared insights on opportunities in Hong Kong’s student housing market on HOY TV’s Property Outlook program .

2025-05-25

Kavis Ip, CEO of Centaline Investment, recently spoke in a televised interview on HOY TV’s “Property Outlook” program about the growing opportunities and challenges in Hong Kong’s student housing market. As the number of mainland and international students studying in Hong Kong continues to rise, demand for quality student accommodation has increased significantly. In response, Centaline Investment has launched a new brand, Campus One Community (COC), introducing proven student housing management models from the UK and US to create safe, comfortable, and community-oriented living environments.

‘CampusOne Communities’ Launched to Unlock 100 Billion-Dollar Investment Opportunities for Property Owners

2025-05-14

Centaline Group Launches New Student Housing Brand ‘CampusOne Communities’ to Unlock 100 Billion-Dollar Investment Opportunities for Property Owners; First Project ‘One Pace 117’ with Rents Starting from Over HK$6,000

Centaline Investment announced today the establishment of a new student housing operating platform branded, CampusOne Communities, which will be operated by Centaline OpCo Ltd., a subsidiary of Centaline Investment. CampusOne Communities aims to provide high-quality and safe accommodation and living experiences for students studying at Hong Kong’s higher education institutions, while also assisting property owners in transforming suitable properties into student housing to seize new market opportunities and achieve stable returns.

Student Housing Market Potential: Educational Demand Drives Leasing

Mr. Shih Wing-ching, Chairman of Centaline Group, stated that education is a top priority for parents, who pay special attention to all matters related to their children’s academic pursuits. High-quality accommodation enables students to focus on their studies in a safe and comfortable environment—an area many parents are willing to invest in. Demand for premium student housing is steadily rising. As an educational hub in Asia, Hong Kong is expected to see a continuous increase in the number of students coming to study, further driving accommodation demand and energizing the rental market.

Premium Residences Cater to Student Needs and Help Property Owners Explore Business Opportunities

Ms. Shih Wai-kan, Chairlady of Centaline Group subsidiaries, highlighted that university students have a strong demand for accommodation. CampusOne Communities seeks to address this need with high-quality housing and a professional operation model, creating an unforgettable and comfortable study-abroad experience for students. At the same time, the brand offers services to property owners interested in converting their properties into student housing, helping them capitalize on this emerging trend.

Assisting Property Owners in Transformation: Market Size Expected to Reach Hundreds of Billions

Ms. Kavis Ip, CEO of Centaline Investment, explained that CampusOne Communities will assist property owners in assessing the feasibility of converting hotels, entire residential buildings, office buildings, industrial buildings, and even land plots into student housing. Transformations involving hotels and residential properties are relatively straightforward and quick, aligning well with current market needs. She also noted that Hong Kong’s higher education institutions are facing a shortage of dormitory spaces, and Centaline is actively collaborating with various institutions to explore solutions. The company plans to launch diverse student housing projects in the future to offer students more options. It is expected that the student housing investment market in Hong Kong will grow to between HK$75 billion and nearly HK$100 billion over the next five years, underscoring its immense potential.

One-Stop Service: Professional and Efficient

Mr. Matthew Chow, Director of Investment and Asset Management of Centaline Investment, explains that CampusOne Communities will provide property owners with professional analysis to evaluate the feasibility of converting properties into student housing. If deemed suitable, the company will offer comprehensive technical analysis, develop business plans, and deliver one-stop services—covering renovation execution and supervision, leasing, and operations—providing property owners or investors with an additional investment avenue.

Introducing International Experience to Meet Student Needs and Balance Cost-Effectiveness

Ms. Josephine Kong, Managing Director and CIO of Centaline Investment, stated that student housing under CampusOne Communities is designed as student-centric, featuring high-end security systems, recreational facilities, and public spaces. Activities tailored to students’ preferences and lifestyle needs will also be organized to create an ideal learning and living environment. Additionally, CampusOne Communities will leverage operational expertise from mature markets like the United States and the United Kingdom, bringing cost-effective solutions to Hong Kong to make projects more appealing to institutional investors.

Case Study: One Pace 117 to be Launched Soon

Brand Case Study: One Pace 117, the first project under CampusOne Communities, is located in Tsim Sha Tsui. Previously a hotel, it is just a 5-minute walk from the Hong Kong Polytechnic University, offering a prime location. Renovation is expected to take approximately 5 months, with the first batch of students able to move in by August this year. One Pace 117 provides single, double, and triple rooms, along with spacious public areas for student use. The project boasts Hong Kong’s first student housing with a rooftop offering fireworks and sea views, as well as the fastest broadband service, aiming to deliver a premium living experience.

One Pace 117 is now accepting leasing applications, with monthly rents for beds in triple rooms starting from over HK$6,000.

Acquisition of Champions Club Student Housing in Arkansas

2025-04-29

Centaline Investment is pleased to announce its recent acquisition of Champions Club, a premier 232-bed student housing community ideally located within walking distance of the University of Arkansas campus in Fayetteville. This strategic acquisition, valued at approximately USD 25 million, expands Centaline Investment’s portfolio of high-quality student accommodations.

About Champions Club

Constructed in 2016, Champions Club offers University of Arkansas students modern living with exceptional amenities:

  • Spacious bedrooms featuring private bathrooms and walk-in closets
  • Convenient in-unit laundry facilities
  • Resort-style swimming pool
  • 24/7 state-of-the-art fitness center
  • Engaging game lounge and computer lab
  • Outdoor grill and fire pit area
  • Pet-friendly environment complete with a dedicated dog park

Strategic Investment & Future Enhancements

“We are excited to add Champions Club to our portfolio,” stated Kavis Ip, CEO of Centaline Investment. “This acquisition aligns with our commitment to providing quality student housing in vibrant university communities. With the University of Arkansas experiencing enrollment growth, we see tremendous opportunity to enhance the living experience for residents at Champions Club”

Centaline Investment plans significant value-add initiatives, committing approximately USD 1.5 million towards capital improvements. “Our team is committed to elevating Champions Club to new heights,” said Josephine Kong, Chief Investment Officer. “Planned upgrades include enhancements to common areas, technology infrastructure, and the addition of sought-after student amenities to foster a stronger sense of community.”

Market Confidence

This acquisition underscores Centaline Investment’s confidence in the U.S. student housing market, built on nearly a decade of experience in the sector. “We have witnessed the steady growth of tertiary education students and the long-term commitment by global institutional investors.” added Josephine Kong. “We foresee the U.S. student housing market will grow steadily, making this acquisition a strategic move to capitalize on strong market fundamentals.”

She added, “We spotted the trend that people more tend to diversify their investment into various asset classes and currencies with the growing dynamics of the international scene. And student housing is surely one of their picks.”

Centaline Investment Confirms First Student Housing Investment in Hong Kong

2024-09-09

Centaline Investment has confirmed its first student housing project in Hong Kong with the acquisition of the Popway Hotel in Tsim Sha Tsui for HKD 180 million. The company plans to transform the hotel into a student housing project offering approximately 150 beds. An additional HKD 20 million will be invested in renovations to create a modern, comfortable, and secure living environment for students. The facility will feature 24-hour security, high-speed internet, leisure spaces, study areas, and other amenities to meet the needs of student residents. Located just a 3-4 minute walk from the Polytechnic University, this project is positioned as a prime choice for student housing investments due to its ideal location.

Centaline Investment President, Kavis Ip, stated that the company has built a solid track record by investing in student housing in the United States and the United Kingdom. Recognizing the opportunity, they have decided to expand into Hong Kong and are optimistic about the market’s long-term prospects. In addition to its overseas investment experience, Centaline Investment benefits from its parent company, Centaline Group, which owns the largest real estate agency network in Hong Kong, including Centaline Property Agency and Ricacorp Property Agency, providing strong support for student housing rentals. Furthermore, Centaline’s access to extensive, real-time market data helps capture market trends and demands effectively.

Centaline Investment Managing Director, Josephine Kong, highlighted that the student housing market has consistently been a focus for global investors. With the increasing number of non-local students coming to Hong Kong, the demand for student housing continues to rise. This investment not only opens new opportunities for investors but also injects fresh momentum into the development of Hong Kong’s student housing market. Kong expressed that Centaline Investment is eager to leverage its experience in the student housing sector, alongside the support of the group’s research department and agency network, to collaborate with both local and overseas investors in entering the Hong Kong student housing market. Furthermore, Centaline is dedicated to establishing a long-term and sustainable investment market, creating value for all stakeholders involved.

Ip added that this investment marks their first step into the Hong Kong market, with plans to further increase their investments and development in the city. Their goal is to invest in 2,000 to 3,000 beds over the next 2-3 years, positioning Hong Kong as one of the largest student housing investment markets in Asia, and attracting more global funds and capital. They conservatively estimate that the market value of the student housing sector will exceed HKD 45.8 billion in the coming years. Centaline Investment believes that these projects will not only provide quality accommodations for students but also deliver stable returns for investors. With Hong Kong’s student population continuously growing, the demand for student housing will remain strong, offering even more opportunities for investors.

Expanding into Hong Kong’s Student Housing Investment Sector

2024-06-01

Centaline Investment plans to invest in approximately 2,000 student dormitory beds in Hong Kong over the next two to three years. This investment targets the new policy of the Hong Kong government to increase the subsidised UGC-funded quota for non-local students, anticipating a substantial rise in accommodation demand. With the local property market adjusting downwards, Centaline believes this is an opportune time to introduce the plan. Since 2016, Centaline has invested in student housing in the US and the UK, providing substantial returns for investors and hopes to bring this successful overseas experience to Hong Kong. Currently, Centaline has negotiated with several landlords, aiming to implement the plan in the short term.

By the 2027/28 academic year, the number of non-local students is expected to reach 67,800. After accounting for on-campus dormitory quotas, about 50,000 students will need off-campus accommodation. Referencing the infiltration rates in the US and UK, the value of the local student housing market could reach HKD 45.8 billion within five years. Investing in student housing provides stable returns and effectively diversifies risk. Centaline’s investment strategy includes purchasing target properties, refurbishing them, and renting them out as student apartments. Before acquiring a property, market fundamentals, geographical location, student population, and project potential will be considered. Partnerships with other investment institutions are welcomed to initiate this new project.

If you are interested in more details, please email info@centacbi.com or call (852) 2533 3848 to contact our investment advisor .

The Founder of Centaline Group, Shih Wing Ching, highlighted that the shortage of student dormitory beds in Hong Kong, combined with the government’s recent increase in the cap for non-local student admissions to 40% in subsidized higher education institutions, has created a significant demand. In response, Centaline Investment is actively seeking suitable projects to leverage their successful experience in overseas student housing investments.

The Chairlady of Centaline Subsidiaries, Janet Shih, noted that the current property market in Hong Kong is not promising, and advised investors to diversify their portfolios. Investing in real estate funds can help spread risks and reduce the hassle of property management.

The CEO of Centaline Investment, Kavis Yip, stated that the company has student housing projects in both the US and the UK. She highlighted that projects in Texas and Georgia have achieved considerable returns. Yip attributed this success to rigorous property analysis and careful site selection, ensuring the properties have renovation potential and are located near universities.

Josephine Kong, Managing Director of Centaline Investment, noted that the government’s plan to increase the UGC-funded quota for non-local students to 40% will result in about 67,800 non-local students by 2027/28, with around 50,000 needing to rent accommodation. She highlighted that if Hong Kong’s student housing market reaches a similar infiltration rate to the UK and US, its market value could reach HKD 45.8 billion.

(Press briefings) Centaline enters UK Student Housing Market

(In Chinese Only)

2020-05-26

於本月24日中原集團創辦人及主席施永青先生、中原集團子公司董事施慧勤小姐、中原投資管理有限公司總裁葉明慧小姐以及中原投資管理有限公司董事總經理江若雯小姐舉行記者招待會，跟到場各媒體朋友分享房地產投資業務開展消息，以及介紹英國學生公寓這種房地產類別的特性。

施永青表示中原看中學生公寓的穩定性，特別於疫情期間表現仍非常理想。中原投資了的美國學生公寓於疫情最嚴重時出租率仍達95%，收租率亦達95%以上，成績斐然。施永青表示一般家長就算面對經濟困難，花在子女身上的教育經費很少有影響。而全球就讀大學的人數有加無減，變相對學生公寓需求提供龐大支持，這亦確立了學生公寓市場的穩健性。施永青表示這類型投資特別適合高淨值人士，因為他們一般也擁有高風險高回報投資如股票，生意，而投資部分資金到學生公寓有助分散投資，達到資產配置效果。例如碰上突如其來市況，也總有一些投資提供穩健回報。就如中原美國學生公寓的投資，於疫情嚴重時仍能獲得4%租金收益。

葉明慧續解釋投資英國學生公寓原因之一為其長期處於供不應求狀況。英國就讀高等教育人數接近200萬，而全英國大學所提供的宿位只佔大學生人數 16.9%，這使得 83.1% 學生必須於大學附近尋找居所，從而造就一個龐大學生租務市場。這反映在私營學生宿舍的平均出租率長期高達98%。而英國學生公寓投資回報於2020年疫情嚴重期間還達到4.9%，抗跌力可見一斑。  

施慧勤從用家角度為到場嘉賓作切身分享。 她表示自己和身邊很多朋友也於英國留學。 大家的首選一般是大學提供的宿位，因為既便利，又可享受大學氣氛。可惜大學宿位不足，所以他們很多都要在學生附近找地方居住，而他們一般也喜歡租住私人營運的學生公寓，因為一來還是會有大學氣氛，因為大家都是大學生。二來一般也相對自行租屋安全，因為私人營運的學生宿舍很多會提供拍咭安全系統、閉路電視，甚或乎一些比較大型的更有保安人員在場。 這讓入住學生及其家長甚為安心。 另外，由於私營學生宿舍以床位 / 房間為出租單位，學生無需以夾租形式承租，免卻夾租學生突然退租時讓承租學生承擔整份租金的風險。當然這類型宿舍一般不會再額外收取水電煤上網費用，支出有預算，亦避免自行申請以上服務的麻煩。一些具規模的宿舍甚至有閱讀室、遊戲室、健身室等設施，非常受學生歡迎。而由於私營學生宿舍能符合大部分用家需要，所以這些宿舍的出租率經常居高不下。而夾租住宅通常也淪為最後選擇，因為既沒有大學氣氛，沒有為學生而設的設施，同時還要承擔分租失敗風險等等。

江若雯進一步講解倫敦學生公寓市場情況。她表示倫敦是供求失衡最嚴重的城市，雖擁近30萬大學生，大學宿位卻只有44,033，即有85%學生需自己找尋居所。而倫敦很多大學也位於市中心，所以中原會收購的數個學生公寓項目也位處市中心Zone 1地區，10分鐘可步行到 Imperial College，騎單車或坐公共交通15分鐘亦能達 London School of Economics and Political Science (LSE), King`s College等大學。閒餘時步行到海德公園也只需5到7分鐘，各種生活配套也很充足，學生非常喜愛。

總結︰中原希望透過這次記者會讓香港市場了解更多不同投資類別，有助投資者分散風險，進行有效資產配置。