- The global expansion of the service sector is providing an environment for companies to hire new staff and driving steady demand for office space. This helped drive a 0.3% quarter-over-quarter increase in the Global Office Rent Index. Year-over-year, global rents were up 2.7%.
- In the U.S., tightening market conditions fueled rent growth of 4.0% in 2015, a slight deceleration from the 4.5% growth registered in 2014, but still well above inflation.
- Rents in Latin America were negatively affected by economic weakness, especially in Brazil, Argentina and Colombia, but strong demand from multinationals supported prime rents in Mexico.
- Economic improvement and stronger leasing demand contributed to positive but still highly uneven rental growth in EMEA. The EMEA Office Rent Index was up 0.4% quarter-over-quarter, a slight decline on the 0.6% quarter-over-quarter growth recorded in Q3 2015.
- The Asia Pacific Office Rental Index edged up 0.3% quarter-over-quarter, an almost identical growth pattern as in Q3 2015. Rents in North Asia and India posted solid growth.
Global Office Rent Cycle, Q4 2015