Seoul office rents rise as investment hits record high

Office transaction volumes reached a record KRW 6.0 trillion.

Seoul’s office market recorded strong investment activity in 2025 while rents continued to rise, with future supply expected to shape leasing demand across the city, according to new research from JLL.

JLL reported that net effective office rents in Seoul reached KRW 147,882 per pyeong, rising 4.7 per cent year-on-year. The firm noted that the CBD recorded the strongest quarterly growth, with rents increasing 1.4 per cent quarter-on-quarter, largely driven by face rent increases.

JLL also highlighted that annual office transaction volumes reached a record KRW 6.0 trillion, led by major deals including the sale of Signature Tower in the CBD from IGIS Asset Management to KB Asset Management for around KRW 1.0 trillion through a share deal structure.

On the leasing side, JLL said Seoul’s office vacancy rate remained tight, falling slightly to 4.6 per cent and staying below 5 per cent throughout the year. While quarterly net absorption returned to positive territory due to scheduled tenant move-ins, the full-year figure remained negative as some large occupiers relocated from the CBD earlier in the year to reduce costs.

Looking ahead, JLL expects the future development pipeline to drive increasing polarisation across Seoul’s office submarkets. The firm noted that the CBD could face higher vacancy pressure as new supply enters the market, while Gangnam and Yeouido are likely to maintain stable occupancy due to their relatively limited supply pipelines.