Global prime occupancy costs increased by 2.4% over the past year amid healthy demand for space in top-quality properties, including from the service sector, which entered its fourth year of worldwide expansion.
In the Americas, prime occupancy costs increased by 3.1% year-over-year, largely thanks to U.S. markets, where rising office-using employment growth stimulated demand for commercial real estate nationwide.
Prime occupancy costs in EMEA rose 2.2% from their year-ago mark as the European economic recovery gained momentum. While costs in Asia Pacific increased by 1.9% year-over-year, several key markets in the region were impacted by the China slowdown.
London (West End) retained its position as the world’s most expensive office market, followed by Hong Kong (Central) and Beijing (Finance Street). Moscow dropped out of the top 10, replaced by Shanghai (Pudong), which moved up two spots to ninth place.