Unprecedented Boom on Global Office Markets

pic pixabay.com
pic pixabay.com
According to Global Office Forecast published by Cushman & Wakefield, the global office markets are experiencing a great boom. Are we building too many offices?

Europe – basic information

  • The second and the third place in the ranking of the cities with the lowest vacancy rate in 2019 will belong to Berlin (3.1%) and Munich (3.3%).
  • The number of newly commissioned investments in the next three years will significantly increase in Istanbul, London, Brussels, Vienna and Dublin.
  • The resources of office space will increase by less than 2.5% in subsequent years in Stockholm, Amsterdam and Helsinki. These cities can record an increase in rents and decrease in vacancy rates.
  • Budapest, Dublin, Copenhagen and Madrid will experience the highest increase of rent rates for office space due to numerous communication and information companies operating in these cities.
  • Insecurity related to Brexit can contribute to the inhibition of growth concerning the number of work places in the offices. What is more, the vacancy rate in London will be maintained below 5%.

Asia-Pacific – basic information

  • The year 2017 will be a record-breaking for the Asia-Pacific region, where new investments of the total space amounting to almost 14 million sq. m will be completed in 25 largest cities.
  • In the next three years, Beijing will record the fastest growth pace of supply and demand in the world.
  • In 2019, the lowest vacancy rate in the world will be recorded in Sydney at the level of 2.4%.
  • It is highly likely that Shenzhen and Guangzhou (Canton) will record a dynamic growth in number of work places thanks to the development of such sectors as fintech and e-commerce.
  • The introduction of the long awaited goods and services taxes and other reforms in India will contribute to the revival of investment climate.

North and South America – basic information

  • Five most dynamically developing markets in respect of the number of work places in the offices in USA in the next three years are: New York, Dallas, Los Angeles, Atlanta and Chicago. What is more, Washington and Phoenix will also move up the ranking of growth in employment.
  • The rise in the ranking of gross increase in work places is recorded by Rio de Janeiro and Sao Paulo thanks to the fact that Latin America recovers from the recession.
  • The five markets with the lowest vacancy rates in 2019 are mainly the cities in Canada: Toronto (3.9%), Vancouver (6.3%), Orlando (7.2%), Ottawa (7.3%) and Winnipeg (7.4%).
  • In USA, the leaders of growth in rent rates will be mainly the smallest cities with the undervalued demand: Seattle (+6.8%), Raleigh Durham (+4.8%), Oakland (+4.2%), Portland (+4.2%) and Chicago (+3.8%).


  • 1
  • 2

Add New Comment
Comments 2
K.j. :
2017, czy 2019?
July 27, 2017 7:55 AM
K.j. :
2017, czy 2019?
July 27, 2017 7:55 AM