Asia to lead the world in office construction

Asia will lead the world in constructing new office space, according to a recently released report by CB Richard Ellis. As firms shift away from Europe and North America, Asia will be the only region in the world to develop “significant” new office space in 2010 and 2011 before slowing in 2012.

The Asia region – which includes Hong Kong, mainland China, and Singapore – will contribute two thirds of world office completions by 2012, far more than Western Europe, North America, and the Pacific, which includes Australia and Japan.

“Asian office development has by now fully resumed after slowing down briefly in the wake of the global economic downturn,” said the report. “Other regions, in contrast, are experiencing either slightly below normal completions, such as the Pacific, or relatively scant completions, such as Western Europe and North America.”

The report said that Asia will account for about 65 per cent of the 26.4 million sq m completed in leading global office markets between 2010 and 2012. Europe will account for roughly 23.6 per cent while North America will account for 7.9 per cent and the Pacific 3.6 per cent.