Prime office rents in the capital city grew by 3.6% in the first quarter of the year, making it second only to Bangkok, Thailand in a list of Southeast Asian countries that have seen positive growth in this period.
According to Knight Frank Asia Pacific’s recently released Asia-Pacific Prime Office Rental Index Q1 2015 report, rent for prime office space in Thailand saw a 3.8% improvement, which puts it just ahead of KL.
“Throughout Southeast Asia, markets remained fairly robust. Bangkok topped rental growth across the region, with a 3.8% increase quarter-on-quarter, as the market continues to defy the political uncertainty still hanging over the country,” said Knight Frank’s Asia Pacific head of research Nicholas Holt.
He added that Singapore and KL both saw their upward momentums continue, while rents in Jakarta remain steady.
Overall, regional markets saw a 1.3% increase in the first quarter, and now sit 5.3% above its pre-crisis peak in Q2 2008.
Over the next 12 months, Holt expects rents in 14 out of the 19 cities tracked to remain steady or even increase.