Osaka’s 2025 new office supply to underperform 2024 levels

This year’s supply is expected to only be a third of last year’s volumes.

In a recent report, Savills revealed that Osaka’s record level of new office supply of about 90,000 tsubo NRA in 2024 has been well received, with the market steadily absorbing the new additions, as reflected in the consistent tightening of vacancy over the past half year.

“In 2025, new supply is expected to fall to one-third of 2024’s volume, which should provide further capacity for healthy absorption, driven by strong interest in offices offering premium amenities,” the report added.

Here’s more from Savills:

The 35,000 tsubo of NRA delivered by GRAND GREEN OSAKA at the end of last year was met with strong tenant interest despite its high rental level, raising the top rent further. With approximately half of the site area dedicated to green space, the project enhances livability and public access, contributing to the creation of vibrant, multifunctional spaces in central Osaka. 

Only two major additions are scheduled in Yodoyabashi-Honmachi for 2025. While rental pricing may be on the higher side, overall market momentum remains strong.

Looking ahead, total combined new supply in 2026 and 2027 is projected to be around 10,000 tsubo, suggesting that the strong market conditions should remain over the coming years.