China Office Rents Seen Plunging to 10-Year Lows in 2024 Amid Economic Woes and Oversupply
• China's office market will remain renter-friendly in 2024 due to economic downturn and incoming supply, forcing landlords to cut rents to stimulate demand • Office rents expected to hit 10-year lows in Beijing in 2024, with other major cities seeing 2-4% rental declines • Peak office supply hitting major Chinese cities over next 2 years, exacerbating downward rent pressure • Some multinationals adopting more bullish China strategies in 2024 after conservative 2023 approach • Consultancies predict China's grade A office yields becoming increasingly attractive to domestic and foreign institutional investors