New office development projects in Bangkok slated to open later this year are experiencing strong pre-commitment levels, continuing a trend that began in 2013.

According to JLL’s Thailand Property Intelligence Centre, the Bangkok office market has enjoyed a single-digit average vacancy rate for the second consecutive year in 2015 and is currently standing at 9%.

Prime office buildings enjoy lower vacancies, averaging 7%

Healthy demand for space in new projects is being driven by large domestic and multi-national firms seeking to expand their office footprint, but being faced with limited options in existing buildings as vacancy rates in existing prime office buildings are near all-time lows, according to JLL, a professional services firm specializing in real estate.

One prime example is G Tower on Rama IX Road, the latest addition to The Grand Rama 9 New CBD project, an iconic mixed-use development by Grand Canal Land PCL.

gbuliding
Planned for completion in the third quarter this year, more than 65% of the office space in G Tower has already been pre-leased.

Krungthai-AXA Life Insurance PCL is G Tower’s first major anchor tenant and will occupy nearly 15,000 sqm when the project completes later this year.

Secured by JLL, Krungthai-AXA Life Insurance’s relocation represents the largest office leasing transaction recorded in Bangkok in 2015. With several other major occupiers presently finalizing negotiations, G Tower should be nearly 100% pre-leased on opening.

Source: Strong Demand for Office Space in New Projects

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like

Stock Exchange of Thailand welcomes property developer PEACE

PEACE is a real estate developer focusing on low-rise residential properties for sales, consisting of single-detached houses and townhomes, mainly in Greater Bangkok.

Thailand’s liveability ranking sinks amidst Covid-19 restrictions and environmental concerns

Thai cities have fallen out of the global top 100 most liveable locations for expatriate workers from East Asia, with Bangkok and Chiang Mai placed at 115th and 118th in the latest Location Ratings survey respectively

Hotels Market Insights: Signs of reopening but domestic demand leading the way

Thailand also welcomed foreign tourists in November, but Omicron has pushed authorities to remain cautious and suspend the ‘Test & Go’ scheme.