The office market is experiencing a big challenge as a result of the current COVID-19 pandemic. The economy has yet to recover, making it difficult for some companies to survive and causing a slowdown of office absorption. Landlords have also striven to increase occupancy rates by maintaining rents.
The biggest challenge likely will occur in 2021. Landlords currently should focus on securing committed tenants. In addition, landlords should begin providing more compact and flexible workspaces, which are currently expected to be in great demand. Small and medium local enterprises and start-up companies are expected to become demand generators in Surabaya.