Beijing’s office rents for grade A office buildings have fallen by 30% between Q2 2019 and Q2 2024, with limited new supply and dwindling rental demand, reports Caixin.
Office rents in China’s capital fell 3.9% from the first quarter to RMB 279.2 ($38.4) per square meter, the fastest quarterly decline in nearly four years, data from Cushman & Wakefield and Colliers International show. The rent for grade A office buildings in 2019 was RMB 396.19 per square meter.
The second quarter of 2024 has seen increasing volume but decreasing prices. With what is now a buyer’s market, property owners are reducing rents to attract tenants and landlords are offering more attractive leasing strategies, such as longer rent-free periods and free renovation, Cushman & Wakefield said in a report.