Sentiment for Asia-Pacific commercial property 'stable to strengthening': CBRE

FLEXIBLE space demand across Asia-Pacific continued its downward trend even as requirements for traditional office space increased, according to CBRE's Asia Pacific Market Sentiment Survey for September 2021.

According to the survey of 158 professionals, sentiment in most markets strengthened or remained stable, with mainland China and India among the strongest performers.

Indeed, tenant enquiries were unchanged even as site visits fell following the introduction of Covid-19 controls particularly in Australia, South-east Asia and Japan.

About 38 per cent of respondents indicated that there was appetite for more space based on the nature of the five largest enquiries received over the month of August. Some 52 per cent received "neutral enquiries" such as relocation, renewal, and renewal vs relocation analysis and lease restructure. Only one in 10 were looking at downsizing and subleasing space.

Rents also improved this month, mainly driven by mainland China, Singapore and India. The period saw stronger pressure to increase incentives, particularly in mainland China and India.