Seoul office rents rise 4.3% in 2025 as growth moderates

YBD leads the city’s rental growth as office rents outpace inflation.

Seoul’s prime office rents continued to rise in 2025, increasing by an average of 4.3% year-on-year, according to Savills. While growth has moderated from the peaks seen in 2022–2023, Savills noted that rental gains still outpaced consumer price inflation by 2–3 percentage points.

By district, the Yeouido Business District (YBD) recorded the strongest rental growth at 5.0%, followed by the Gangnam Business District (GBD) at 4.7% and the Central Business District (CBD) at 3.7%. Savills attributed YBD’s outperformance to rent reversions at newly completed and refurbished prime assets, including TP Tower and One Centinel.

The report highlighted that YBD’s effective net operating cost (NOC) has steadily improved, rising from 89% of CBD levels in 2020 to 94% in 2025, reflecting sustained leasing momentum in the district.

However, Savills noted an increasing divergence in effective rents across buildings, as landlords of properties with prolonged vacancies offered more aggressive incentives to attract tenants.

Meanwhile, average maintenance fees rose by 2.7% year-on-year in 2025, slightly above the 2.6% increase recorded in 2024. Savills said the growth in operating costs has exceeded inflation, which stood at 2.3% as of December 2025, marking more than two consecutive years of above-inflation increases.

Overall, Savills said the rental market remains resilient, supported by steady demand and continued upward pressure on both rents and occupancy costs.