TH Real Estate: rental growth to slow in Beijing office market

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A report by TH Real Estate, ‘THINK: China’, notes that total Grade A office stock in Beijing amounts to around 8.5 million square metres, or 60% of the total office stock of central London.  New stock has been coming available in the Wangjing sub-market, where rents are at a 40% discount to those of the Central Business District. Across Beijing, the vacancy rate is low at around 4.5%. However there are seven new schemes, each exceeding 100,000 square metres and one exceeding 245,000 square metres. Higher supply and slowing economic growth should curtail growth in rents, which are expensive relative to those of Shanghai.

Source : August 2015/THRE/Beijing/OFF