Brief
Asia Pacific Office Trends Q3 2026
October 13, 2026 5 Minute Read
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- Occupiers in Australia's major cities are accelerating decision-making to secure quality space amid tightening supply. Flight-to-quality remains a dominant theme, with occupiers favouring core CBD assets in particular. Financial and business services firms continue to drive expansion and relocation as previous corporate downsizing stabilises. Fit-out and construction costs remain key considerations influencing space selection.
- Leasing activity in Hong Kong SAR is strengthening in core markets, supported by large-sized requirements in premium new developments. Financial services and asset management firms are the major source of demand in Central, while global insurance occupiers are active in Tsim Sha Tsui West. Decentralised submarkets' performance is diverging further from core areas amid elevated vacancy and subdued demand.
- In Korea, Seoul citywide vacancy remains in the low single digits, supported by firm demand for well-located assets. Foreign tech firms are seeking space, with major AI companies establishing or relocating offices in the GBD. Developers are launching pre-leasing marketing up to three years before completion ahead of significant new supply due in 2029.
Related Insights
In Japan, the Bank of Japan has lifted its policy rate twice this year to 1.25%, taking funding costs to their highest level in years.
Leasing sentiment in Korea has strengthened over the past six months, with dry warehouse vacancy falling to single digits amid rising occupier demand.
In Japan, competition for space remains intense, prompting occupiers to pay above asking rents to secure flagship locations.
International and domestic visitor arrivals in mainland China both surpassed pre-pandemic levels in 2025 and set new record highs.
Research Contacts
Business Contacts
Richard Stevenson
Managing Director, Head of Office Leasing, Advisory Services, Asia Pacific
Victoria Choi
Executive Director, Office Occupier Leasing I Transaction Management I Advisory Services, Korea
Genna McCarthy
Regional Director, Head of Office Tenant Representation, Advisory Services, Pacific