Q1 2021 Beijing Market Report

Although Q1 is the traditional off season, the increasingly active market led to the completion of several significant leasing transactions. The net absorption of this quarter outnumbered the total amount of that of 2020. Thus, despite the launch of two new buildings, the vacancy rate of Beijing Grade A office market was pulled down by the rapidly recovering demand. Considering the intense competition and the upcoming supply peak, some landlords under pressure further lowered rents in Q1, resulting in the decline of the city’s average rent.