Search
 

Demand Outstrips Supply in Asia-Pacific

TOKYO-Demand is outstripping supply in parts of Asia-Pacific cities with the result that some cities are witnessing 20 years of growth.

By Anita Howarth | Updated on August 25, 2006

TOKYO-Strong tenant demand driven by robust economic growth is outstripping supply, driving up commercial property rents and prices across Asia-Pacific, according to new research by Jones Lang LaSalle.

The firm’s latest Asia Pacific Property Digest reported that office rents in some markets are reaching all-time highs. “Regional office markets have shown resilience during a time of volatility in the equity market,” says Jane Murray, head of research, Asia Pacific. She says the financial centers of Hong Kong, Singapore, Shanghai, Sydney and Tokyo had all registered gains, while the developing markets of Bangkok, Kuala Lumpur, Manila and Jakarta are now trading a shade off their previous peaks in 1997.

Demand is being led by the banking and finance sectors, followed by professional services such as accounting and law firms. Demand from consumer business and IT companies is equally strong and they are willing to pay a premium to state in core locations even if the properties are not necessarily grade A.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.