Jakarta CBD office occupancy edges higher despite weak leasing demand

Occupancy slightly rose to 74.6% in the first quarter.

Jakarta's CBD office market recorded a modest improvement in the first quarter of 2026, with occupancy rising 0.14 percentage points to 74.6%, according to Savills.

The increase was supported by several leasing transactions, including a major flight-to-quality relocation by a digital bank that leased about 30,000 sq m of Grade A office space in the Sudirman corridor. The energy sector also expanded, taking around 3,000 sq m in the Thamrin area.

Despite these deals, net absorption totalled just 7,391 sq m, down 47% quarter-on-quarter and 71.4% year-on-year, highlighting the market's weak underlying demand.

Savills said new inquiries emerged from the apparel and waste management sectors, alongside ongoing interest from energy, education, technology and government occupiers. However, geopolitical tensions in the Middle East continue to delay expansion plans and leasing decisions.

The consultancy noted that elevated vacancy levels continue to favour tenants, prompting landlords to adopt more flexible leasing strategies to retain occupiers and maintain competitiveness.