Asia Pacific Office Outlook 2024

SHENZHEN

 The supply influx is forecast to buoy cumulative net absorption to surpass the 400,000 sqm mark in 2023, a big jump from 2022, largely supported by the pre-leasing activities of new projects. However, the new supply impact will push the estimated year-end citywide vacancy rate to about 27.3%, up 4.5 percentage points y o-y.  Soft demand is likely to remain in 2024. While completions will continue to enter the market, the vacancy rate for the overall market will face an upward trend. Therefore a tenant-favorable market pattern will persist.  The market is expected to gradually recover in 2025 and 2026, helped in part by the owner-occupation headquarter completions which will contribute to net absorption.

DEMAND & VACANCY

N E T A B S O R P T I O N ( S QM ) A N D VAC A N C Y R AT E ( % )

FORECAST

40.0%

800,000

35.0%

700,000

30.0%

600,000

25.0%

500,000

20.0%

400,000

15.0%

300,000

10.0%

200,000

5.0%

100,000

0.0%

0

2021

2022

2023F 2024F 2025F 2026F 2027F Net Absorption Vacancy Rate

Source: Cushman & Wakefield