The main problems in the office real estate market in 2022 are that many companies are in no hurry to return their employees to the office and continue to support the «work from home» policy. The second problem is an oversupply of offers.
In 2019, the demand for office space increased, which led to the planning of new large projects, JRK Tower was built – Class A offices with a height of 46 floors with a total area of 118,000 m2, The Unicorn Phayathai multifunctional project, a 51-storey building combining hotels, offices and shopping areas, Siam Pathumwan House project – 33-storey office building and others.
In 2022, office buildings continue to be built, three new office building projects are planned, namely S Oasis Building, 111 Praditmanutham Building and 140 Wireless Building, with a total rental area of 89,488 m2.
At the same time, occupancy decreased by 0.67% compared to last year (which is approximately 8.578 million m2).
Many renters decided to extend the lease for the new year, but asked to reduce the rent or the rented area.
The office building market is recovering more slowly than the residential real estate market.