A Cushman & Wakefield Research Publication - 2017 Global Forecast

GLOBAL

AMERICAS

APAC

APPENDIX

EUROPE

SUPPLY & DEMAND Over the next three years, the number of development completions is expected to increase significantly in Istanbul, London, Brussels, Vienna and Dublin. In fact, over 2017- 18, Istanbul, Copenhagen and the City of London will see the highest level of completions so far this cycle. Paris completions also look high relative to net absorption, due to a number of larger schemes that are expected to complete in La Defense in 2019. Parts of the CEE region may also be at risk from oversupply in the near term as developers and investors back the positive long-term economic growth story, and the continued strength of office-occupying sectors such as business process outsourcing and IT. Warsaw, Sofia, Prague

and Budapest are expected to see high levels of completions which will push vacancy rates upwards and limit rental growth for all but the very best space. At the opposite end of the spectrum, the number of development completions will be low over the next few years in the key German and Italian office markets, Stockholm, Amsterdam and Helsinki. Less than 2.5% of stock is expected to be completed in the majority of these markets, offering the potential for reduced vacancy and rental growth.

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