Commercial Office

One company will invest US$10b in Japan, 70% of which will be invested in office buildings.

Rents in Tokyo dropped 6.5% while Osaka and Nagoya recorded only 2.2% and 0.6% declines, respectively.

Occupancy rate in the Raffles Place / Marina Bay precinct reached 94.3% in Q2.

One of the demand drivers were tenants seeking small spaces of less than 1,000sqm.

The APAC Prime Office Rental Index declined by just 0.8% despite Delta variant outbreaks.

Quarterly net-take up in the CBD rebounded to 6,350 sqm in Q2, the first positive quarter since Q2 2018.

51% also expect to move headquarters in the same time frame.

The area attracts tech giants such as Microsoft, Samsung, and Amazon.

There have been very few fresh leasing and some spaces are being vacated.

Demand from big firms declined as more employees work remotely.

The Malad-Goregaon submarket accounted for 22.5% of the overall leasing activity.

Between 2010 and 2015 rents in Jakarta more than doubled and then subsequently tumbled by 30% over the next five years.

Rents are forecast to decline by an average of 1.7% across the region. 

Vacancies reached 4.6% in Q2 2021, the highest since the 4.9% rate recorded in Q1 2018.

An increase in COVID-19 cases led to more than 70% decreases in prime office and retail occupancy in Cambodia.

Several big-ticket deals signal investor confidence in the sector.