Office vacancy rates in selected cities 2021

In 2018, 3.4 percent of available office space in San Francisco were unoccupied and it was forecast to decrease to 3.2 percent by 2021. Berlin, Paris and Hong Kong had the lowest vacancy rates in both years, whereas Mumbai, Kuala Lumpur and Jakarta had the highest rates out of the markets examined.

Why are vacancy rates falling in Berlin?

By 2021, only two percent of office space in Berlin is forecast to be unoccupied, which is a trend which began as early as 2013. The vacancy rate for office real estate has been falling in the city ever since. Prime rents have been climbing during the same period, which suggests that demand is outstripping supply of office space in the German capital.

Where will rental growth be strongest?

Office rents in Berlin are set to increase by over 15 percent between 2018 and 2021. The rental growth in this market is only surpassed by Sydney and Melbourne. However, rents in Paris are only forecast to grow by 2.4 percent and office rents in Hong Kong are due to fall by 1.2 percent.