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      Competition to Win Talent Drives Prime Occupancy Costs to New Heights

      2019 Global Prime Office Occupancy Costs Report

      Report Summary

       

       

      Occupiers continue to seek higher-quality space in markets with robust infrastructure and social amenities, despite weaker global economic growth in Q1 2019 and worries about a U.S./China trade war. The race to attract talent by securing the most desirable work environments remains intense. Combined with limited supply and moderate construction pipelines in most cities, prime office occupancy costs have risen to new heights.

      Prime office occupancy costs increased by 3.6% globally for the year ending Q1 2019, significantly higher than the 2.4% rate of a year ago and CBRE’s forecast growth rate of 2.0%. All regions had increased growth rates in prime office occupancy costs from the prior year. APAC’s growth rate nearly doubled to 3.3%, while EMEA had a healthy increase to 3.5% and the Americas increased to 3.7%. Occupancy costs across the world are seemingly moving in unison, with only a few markets seeing slight falls.

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      Interested in bringing more flexibility to your real estate strategy? Visit CBRE’s Agile Real Estate Hub.

      For More Information, Please Contact

      Richard Barkham, Ph.D.
      Global Chief Economist & Head of Americas Research
      +1 617 912 5215
      Henry Chin, Ph.D.
      Head of Research
      Asia Pacific/EMEA
      Research
      +852 2820 8160
      +852 2810 0830
      Spencer Levy
      Chairman, Americas Research & Senior Economic Advisor
      +1 617 9125236
      Jos Tromp
      Head of Research, Continental Europe; Head of Thought Leadership and Data Strategy, EMEA
      +31 (0)20 626 26 91
      +31 631 96 94 38
      Cynthia Chan
      Associate Director
      Asia Pacific
      Research
      +852 2820 2839
      +852 2810 0830
      Ada Choi, CFA
      Head of Occupier Research, APAC / Head of Research, Greater China
      +852 2820 2871
      +852 2810 0830
      Richard Holberton
      Head of Occupier Research, EMEA
      +44 20 7182 3348
      Julie Whelan
      Head of Occupier Research, Americas
      +1 617 912 5229
      Travis Deese
      Associate Director, Occupier Research
      +1 404 812 5012
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