Office Rents Rise Amid Increased Demand from Service Sector
- The global economy continued to recover in Q2 2015 albeit inconsistently and subject to some degree of volatility.
- Nevertheless, there is sufficient impetus to create employment growth in the service sector, which is feeding through into solid office take-up figures in the global office market.
- Most U.S. office markets remained in the rental upcycle during Q2 2015. Demand was strongest in the leading tech markets. Gross average asking rents passed their pre-recession peaks.
- In Europe, the strongest rental growth was evident in parts of the U.K., Spain, Germany and the Nordics.
- In Asia Pacific, a number of factors point towards downward pressure on regional rental growth in H2 2015.