Taipei 101 is expected to break even in 2010

Bank of China Ltd., Bank of Communications Co. and China Merchants Bank Co. are among lenders from across the Strait that have looked at space in the landmark building, said Michael Liu, a spokesman for owner Taipei Financial Center Corp. The property may be 90 percent full in 2010, from 80 percent this year.

“Our profitability will improve with more Chinese businesses renting our office space,” Liu said at a briefing in Taipei today. “When demand increases, we hope our rental prices will rise.”

Taiwan and China are negotiating an agreement to allow more cross-investment in the banking, insurance and securities industries. The two have sought closer ties since Taiwan President Ma Ying Jeou took office in May 2008 and dropped the pro-independence stance of his predecessor, lifting a six-decade-long ban on Chinese investments and direct flights.

Bank of Communications spokeswoman He Jie-rong, Bank of China spokesman Wang Zhao-wen and China Merchants spokeswoman Guo Xiao-li couldn't be reached in their offices.

Rents may increase to an average NT$4,000 per ping (US$123), or $3.63 per square foot, from $100 per ping now, Liu added.

Taipei 101's losses may narrow to NT$100 million this year from NT$1 billion in 2008, Liu said. The 508-meter (1,667-foot) structure will be overtaken as the world's tallest upon completion of Dubai's Burj Dubai.

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