Tokyo office rents climb in 2014

Tokyo office rents climbed at the end of 2014, according to figures from Knight Frank, as the Japanese city topped the agency's ranking of prime office rental growth.

Grade-A office space in central Tokyo saw rents increase by 6.4 per cent in Q3 2014, according to Knight Frank, as vacancy rates fell to 5 per cent. With occupancy rates particularly high in Marunouchi and Otemachi, the growth is expected to continue in 2015.

In neighbouring South Korea, prime office vacancy rates saw a slight decrease, which led to overall prime rental growth in Seoul. In Southeast Asia, Singapore continued to see solid rental growth of 1.2 per cent over Q3 2014 – the fifth consecutive quarter of positive growth.

In Jakarta, meanwhile, the market had slowed from the stellar growth rates of previous years, with growing supply in the pipeline expected to moderate rental growth prospects this year.