Tokyo's office market continues to strengthen

In August, the office vacancy rate in Tokyo’s five central business districts (Chiyoda, Chuo, Minato, Shinjuku and Shibuya) was 4.72%, down 0.17 points from the previous month and down 1.30 points from last year. This is the lowest vacancy rate seen since December 2008. Shibuya had the lowest vacancy of 2.22%, down 0.05 points from July and down 1.79 points from last year.

With vacancy rates below the 5% level said to indicate a healthy balance between demand and supply, rents continue to increase. The average monthly office rent was 17,490 Yen per Tsubo (5,300 Yen/sqm), up 0.01% from the previous month and up 4.5% from last year. This is the 20th month in a row to see a month-on-month increase.Read more