Market Outlook

The real estate sector in India is a significant contributor to the country’s overall GDP as well as employment. Given the significant forward and backward linkages that the sector shares with the rest of the economy, investment in the sector has had a significant impact on the entire economy. Since the sector opened its doors for Foreign Direct Investment (FDI) in India in 2005…

The real estate sector in India is a significant contributor to the country’s overall GDP as well as employment. Given the significant forward and backward linkages that the sector shares with the rest of the economy, investment in the sector has had a significant impact on the entire economy. Since the sector opened its doors for Foreign Direct Investment (FDI) in India in 2005, several foreign private equity players, international developers and lately, long-term institutional capital providers such as sovereign wealth funds and pension funds have invested in this sector.

In May, office tenants were generally taking a cautious market view and were withholding their leasing decisions amid escalating Sino-US trade war and the recent local political tensions. With leasing momentum continuing to weaken, Grade-A office rents in Central fell slightly by 1.0% month on month to HK$160 per sq ft. Transaction volume in the area was also impacted, with most of the deals recorded in the small or mid-scale level of below 15,000 sq ft.

Colliers expects demand from flexible workspace operators to rise to 10% of total office space until 2022. However, relative to other major cities, Tokyo’s…

Tokyo’s flexible workspace market remains highly fragmented with the majority operating independently in smaller and underutilized space in non-office buildings. Colliers expects demand from flexible workspace operators to rise to 10% of total office space until 2022 . However, relative to other major cities, Tokyo’s flexible workspace stock remains small, less than 1.5% of total office space available in Tokyo’s central five wards (C5W).

Occupiers have shown concern against the backdrop of a slowing global economy and US-China trade tension. We expect more firms to wait and see over the next 12 months, while 41% of occupiers plan to expand over the next three years. This is the third consecutive year in which we have conducted our Colliers Hong Kong Occupier Survey. This year…

Occupiers have shown concern against the backdrop of a slowing global economy and US-China trade tension. We expect more firms to wait and see over the next 12 months, while 41% of occupiers plan to expand over the next three years. 

This is the third consecutive year in which we have conducted our Colliers Hong Kong Occupier Survey. This year, we have collected responses from 363 respondents between 30 April and 15 June 2019 –a period which captures the most recent shifts in occupier sentiment caused by escalating international trade tension and local political tension. The majority of the respondents are domiciled in Hong Kong (53%), followed by companies from Europe (18%) and Asia (11%). Key sectors of the respondents include the Finance, Insurance and Real Estate (FIRE) sector (36%), sourcing and logistics (21%), retail and wholesale (14%) and Technology, Media and Telecoms (TMT, 11%).

What’s next for Brisbane CBD?

Brisbane market on the rise. Click on the Download button for more information on the:

• Economic indicators
• Prime Gross Effective Rent 
• Supply Pipeline
• Key leasing transactions Q2 2018

What’s Next?

HIGHLIGHTS

Vacancy compression continued in H2 2018. Click on the Download to find out more on:

• Economic indicators
• Prime Gross Effective Rent, Overall Vacancy (6 monthly)
• Supply Pipeline: New Developoments & Major Refurbs
• Key leasing transactions Q1 2019

The Sydney CBD’s latest vacancy rate was recorded at just 4.6%, highlighting that landlord favourable conditions are still in full effect. Cushman & Wakefield’s office market forecast and responses from a survey of market professionals‡ both suggest that the vacancy rate will continue to tighten to around 4% over the year ahead. In the year to July limited space availability stymied net absorption to just 9,489sqm.

Hyderabad office market, in the short to medium term, is likely to see a continuation of the current low vacancy scenario which is being further exacerbated by most of the upcoming supply of 2019 already pre-committed.

Mall vacancies which spiked during the second half of 2018 have declined to 5% levels again. Tenants were quick to grab quality space options available in operational malls. Fashion & Apparel, F&B were dominant with more than half of the leasing share during the quarter. Brands such as Fila, Kompanero, Da Milano, Rare Rabbit, Tarun Tahiliani etc. have opened stores recently. Sephora, the international multi-brand personal care & beauty retailer has recently launched two stores in prime retail malls.