Japan

This mild pullback could be the initial blow of a bearish multi-family leasing market, according to Savills.

Tokyo office rents rose both YoY and MoM but vacancy increased for the fifth straight month to 2.77%. By area, Minato saw the largest vacancy increase (to 3.52% from 2.33%) and Chiyoda saw the smallest increase (from 1.39% to 1.93%). Inside we provide additional details by area and comment on investment implications (for Tokyu Fudosan, Mitsubishi Estate, and Sumitomo Realty).