Increased GDP growth in 2021 should support office leasing across the Asia Pacific region, but “Tokyo is at risk,” according to Colliers International’s latest report, Asia Pacific Office Markets: H1 2020 Review and Five-Year Outlook, which goes on to say tier 1 Chinese and leading Indian cities will drive demand for space in the long run. Take-up is also expected to recover in Singapore, Hong Kong, Tokyo and Australia, particularly Melbourne’s central business district.
Many risks remain, however, such as how long the COVID-19 crisis will last outside of China and Taiwan, which look fairly safe. In Tokyo, which has Asia Pacific’s largest office market, recovery in 2021 may be threatened by the fact that, unlike the rebound from the global financial crisis of 2008–2009, “leasing contracts with fixed terms now represent a rising proportion of t
