Xymax Real Estate Institute is releasing the Supply of New Office Space 2016 of Tokyo 23 Wards and Osaka City. The volume of new supply makes a direct impact on market balance. Xymax compiled the data of the rentable office space in major buildings (over 3,000 tsubo* = approx. 9,900 sqm) expected to be constructed in Tokyo 23 Wards and Osaka City in the coming years. *1 tsubo = 3.3 sqm
The new supply in Tokyo 23 Wards in 2016-2019 is 186,000 tsubo per year on average (Figure 1), slightly exceed 180,000 tsubo in the previous survey*1 covering 2015-2018. Considering the possibility of additional projects, the average new supply per year for the next four years is expected to increase even further from the average in 2006-2015.
The new supply of large buildings with over 10,000 tsubo in gross floor area is expected to see an increase from 139,000 tsubo per year on average in the past to 168,000 tsubo in 2016-2019. The years 2018 and 2019, in particular, are expected to have a large volume of new supply: over 200,000 tsubo each year.