OSAKA CITY | Supply of New Office Space 2017 & Office Stock Pyramid 2017
Xymax Real Estate Institute released a report on Supply of New Office Space 2017 and Office Stock Pyramid 2017 covering the Osaka city office area. The volume of new supply in the coming years indicates a direct impact on the market balance in the future. The Office Stock Pyramid is an aggregation of all the rentable areas of office buildings in the market and it shows the breakdown of the office building stock (rentable area and number of buildings) by size of the building (small/medium/large) and by age, and the balance and proportion of office buildings in the market.
From this report, these two studies were combined into one report.
1 tsubo = approx. 3.3 sq m
SUMMARY OF RESULTS
OSAKA CITY | Supply of New Office Space 2017
New supply in 2017 is 31,000 tsubo. This is roughly equivalent to the 10-year average.
Average new supply in 2017-2020 is 17,000 tsubo per annum based on rentable area. This is approx. 50% of the 10-year average of 30,000 tsubo.
Average new supply in 2017-2020 in Osaka city (17,000 tsubo per annum) is less than one-tenth of average new supply in Tokyo 23 Wards (181,000 tsubo per annum).
New supply rate (new supply in 2017-2020 versus office stock at year-end 2016) is expected to be approx. 2.4% (0.6% per annum on average).
OSAKA CITY | Office Stock Pyramid 2017
Office stock at year-end 2017 is 2.84 million tsubo based on the rentable area: 1.41 million tsubo in small and medium buildings and 1.43 million tsubo in large buildings; the volume is roughly the same.
Office stock in Osaka city (2.84 million tsubo) is less than a quarter of office stock in Tokyo 23 Wards (12.26 million tsubo).
In the number basis, the office stock is 1,712 buildings. Of them, small and medium buildings account for nearly 90% (1,522 buildings).
Buildings' average age is 30.3 years for all the stock, 30.7 years for small and medium buildings and 26.6 years for large buildings. Aging of stock is prominent in small and medium buildings.