New supply continued to enter the market during Q3 2020, resulting in the total amount of office space in Bangkok to increase to 9.036 million sq.m. This was from the launch of 4 office buildings with a total area of 61,441 sq.m. and it is expected that there will be approximately 96,810 sq.m. of office building space completed in Q4 2020.
The rental rates and the offering prices are tending to drop at all grades and in all areas as many tenants look to reduce their rental space in order to save on operating costs. At present much of the new demand arises from tenants relocating their space to a new office building to lower their overall operating costs by taking more efficient space or downsizing.
The short term downwards pressure on rents has been relatively mild compared to other sectors such as hospitality, which was directly and affected by the COVID-19 outbreak. However the long term credentials of the Bangkok office sector remain more positive, with the city’s regional positioning, improved transport links and new high grade buildings. Full Report in Thai >> DOWNLOAD