The Asia-Pacific region, with Beijing at the forefront, is witnessing a commercial real estate office market boom during 2011, furthering the region as a force in the industry, according to Cushman & Wakefield.
Prime office rents in Beijing alone increased by 75 percent in 2011 when compared with 2010 figures. This is much improved from the still strong 48 percent growth witnessed in 2010, according to the report. Overall, 2011's figure is the highest rise by any world city that year. In addition, Hong Kong was the most expensive office market in the world during 2011, and this was the second straight year where this occurred.
"Despite economic difficulties, office rental performance across the globe was largely positive with most countries showing growth over the last year. However, the picture was mixed and, given the increased caution and uncertainty as the year progressed," said Barrie David, member of Cushman & Wakefield's Global Research Group.
David added that the 2012 projection is more cautious, while those already renting may have the upper hand.
According to a report from Jones Lang LaSalle, rental volumes are increasing in many places across the world. Specifically, Asian rental demand increased by 0.9 percent during the fourth quarter, while North and South America witnessed 1.2 percent increase and Europe rose 0.4 percent.