The latest market insight about all property market sectors, including office building, retail, and industrial space
Following the conclusion of the presidential election, some companies have initiated office space expansions or renewals. Despite the increasing demand this quarter, landlords have refrained from raising base rents due to the imminent completion of new buildings in this market. In the meantime, high-quality office spaces near public transportation are becoming scarce, prompting some companies to explore office options in other locations to meet their needs.
Download PDF PDF | 3.11MB
The positive sentiment towards recovery in 2022 has been high as the projected economic growth of 2022 by the government ranges 4.7%-5.5%. Some factors including vaccination rollout, the resume of business activities, and government stimulus would boost market confidence. The third dose of vaccination has been planned by the government and will be starting in the first quarter of 2022. A positive economic outlook driven by ongoing global economic improvement is expected to drive next year’s property demand growth.
The lockdown (PPKM) entering the Q3 2021 seemed to lengthen the delay of tenant activities. However, the vaccination program and such lockdown had been successful in suppressing the pandemic spread.
Despite the vaccination, as the pandemic case tends to increase by end of this quarter, there is the possibility that government would impose another restriction, especially on the red zone like Jakarta. Shall such restriction take place, business activities would undergo further slowdown that could trigger the government to revise their economic growth target to below 4.0% for 2021
Pertaining to the ongoing vaccination program, the year 2021 is expected to be the period where occupiers should gain more confidence in having their operational back, despite not in full yet.
Description