Office markets are transitioning from contraction to recovery. Of the 133 global office markets tracked for this report, office occupancy costs increased in 80 markets during the first quarter of 2012 year-over-year. Only 24 markets reported declines during the same period.
Office occupancy costs increased by an average 3.6% globally, led by Asia Pacific (7.8%) and Americas (5.0%). The EMEA region reported a muted 0.4% increase in occupancy costs, with eurozone concerns clearly affecting market fundamentals across the region.
Asia Pacific markets have also taken the lead from EMEA, with six of the 10 most expensive markets now located in the region. The most expensive market is Hong Kong (Central).
The most expensive markets and those that reported the largest occupancy cost gains share common characteristics, including stronger growth dynamics, resurgent Central Business District locations, diversified economic bases and shortage of quality space.
Source : CBRE