Serviced office Market Reports //EMEA 2014



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EMEA Serviced office Market Reports //EMEA In this edition Cape Town //Copenhagen //Doha //Dublin // Edinburgh Hamburg //Istanbul //Kiev //Nairobi // Zurich

T: + () 798 Cape town Cape Town is the provincial capital and primate city of the Western Cape. Western Cape is one of the nine provinces that make up South Africa and contributes circa % of the national GDP for South Africa. re Growth o The serviced office market across South Africa including Cape Town, remains highly transactional with a lower than normal average workstation rate. o Current market conditions indicate office rents are still under pressure and remain lower due to the high vacancy rate throughout the city. The CBD however, is still relatively active. o All operators offer Grade A space, with particular emphasis on security measures. o The average workstation rate in Cape Town has seen a % increase in the past two years. o We can confidently assume there is in excess of, sqm of serviced office space throughout Cape Town that can accommodate circa, workstations in total. 9 8 7 Local Currency - SGD Cape Town Serviced Office centre Growth Y-o-Y Average monthly workstation rate R,9 Average annual cost per head R,88 Total number of available business 9 $ zar (R)=.88.97.89 Singapore Average Workstation Rate Changes Average workstation rate changes Monthly bundled R - 8 CBD Century City Bellville/Tyger Valley Claremont (Southern Suburbs) 8 Linear () 8 7 Q Q Q Q Q Yearly Quarter Q Q Q Q Q Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this report is for general information purposes only. Local Currency - ZAR Quarter

T: + () 798 Copenhagen o Nearly half of the serviced offices in Copenhagen are located within the Indre By district with a small number of scattered throughout the other administrative districts. o The market has remained flat with no new major serviced offices opening in the area since. o Copenhagen desk rates typically range between - DKK per desk per month. Higher rates for premium grade space are being achieved by some providers. o Over the past months, average workstation rates have remained largely the same with fluctuations mainly driven by variations in quality and location of the space within the demise. Central Copenhagen Average monthly workstation rate Average annual cost per head kr, kr, Total number of available business kr799 - kr999 Indre By Østerbro Amager Vest Søborg Frederiksberg Valby $ DKK (kr) =..7. WASHINGTON serviced DC SERVICED office centre OFFICE growth CENTRE y-o-y GROWTH Y-O-Y AVERAGE WORKSTATION RATE CHANGES centers Linear (Number of of of ) centers) LOCAL CURRENCY - DKK,,,,,, Q Q Q Q Q YEARLY QUARTER Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Doha o Located on the coast of the Persian Gulf, Doha is the largest city in Qatar with nearly two thirds of the country s population residing in the vicinity. o The West Bay sub-market has the largest concentration of serviced offices. West Bay is regarded as the new CBD where most multinational companies typically locate. o The remaining serviced offices are located in secondary sub-markets including the C&D Ring Roads and in areas surrounding the airport. Most local businesses are located in these areas. o Workstation rates in Doha have fluctuated from -, QAR across the past year. One - two workstation offices typically command a much high rate of 8 -, QAR. o Demand for office space is expected to rise steadily given the scheduled World Cup in and subsequent investment in infrastructure. Qatar is emerging as one of the prominent economic hubs in the Middle East. Doha ریال,99 Average monthly workstation rate ریال 7,88 Average annual cost per head Total number of available business 7 ریال, - ریال 8 West Bay Al Muntazah Old Airport Ghuwailina $ =..7. (ریال) QAR DOHA SERVICED OFFICE CENTRE GROWTH Y-O-Y Serviced office centre Growth Y-o-Y AVERAGE WORKSTATION RATE CHANGES Linear () 8 LOCAL CURRENCY - QAR 7,,,,,,, Q Q Q Q Q YEARLY QUARTER Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Dublin o % of Dublin serviced office space is located in Dublin. o IT and recruitment companies are the main sectors that have driven serviced office demand in the past year. o The level of stock in Dublin has fluctuated by +/-% in the past two years. Similarly, rents have remained stable throughout the year ranging between 7 and EUR overall. o Serviced office transactions throughout have remained strong - consistent with the conventional property market. o The majority of serviced office requirements have been for CBD area (Dublin and ). Average monthly workstation rate 7 Average annual cost per head,887 Total number of available business centre spread Central Business District (Dublin, ) 9 West Dublin (Citywest) Average bundled IT/Telco monthly cost City Fringe/Suburbs South Dublin (Sandyford) City Centre (Dublin and IFSC) North Dublin (Airport) $ EUR ( ) =.8.78 re Growth **The above list of sub-markets is not exclusive, but where Instant have a presence** Serviced Office centre Growth Y-o-Y Local Currency - SGD Serviced Office Centre Growth Y-o-Y Singapore Average Workstation Rate Changes 8 Linear () Q Q Q Q Q Local Currency Yearly Quarter Linear () Average workstation rate changes Average Workstation Rate Changes Q Q Q Q Q Yearly Quarter A L Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Edinburgh o The average workstation rate in the Edinburgh market has remained stable throughout the past year with the rate not fluctuating beyond +/-9%. o The Edinburgh market has remained buoyant and transactional throughout. This mirrors the positive conditions reported in the conventional Edinburgh office market. o Demand for office space is mainly concentrated in the Central Core of the New Town area. o The quality of serviced office space available ranges significantly, however this is coupled with a very large choice of providers with a total of 8 in the area. o will see the launch of the Edinburgh tram service which is expected to have a positive effect on the appeal of the city to potential occupiers by improving access to greater Edinburgh. Edinburgh Average monthly workstation rate 8 Average annual cost per head,8 Total number of available business Separate Guide Telco monthly cost - Guide IT monthly cost - re Growth 8 Serviced Office centre Growth Y-o-Y Local Currency - SGD Serviced Office Centre Growth $ Singapore Average Workstation Rate Changes GBP ( ) =.799.8 7.9 Average workstation rate changes New Town (Central Core) West End (Central Core) 9 Leith Leith Walk Haymarket & Dalry Old Town (Central Core) 8 Average Workstation Desk Rate Rate Changes Y-o-YLinear () 9 9 8 Q Q Q Q 8 Q Yearly Quarter Number 7 of 7 Linear () Q Q Q Q Yearly Quarter Local Currency S L Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Hamburg o The average workstation rate for Hamburg fluctuated throughout / but remained largely stable, within the boundaries of and EUR per workstation per month. o The supply of serviced office stock in Hamburg has remained fairly flat over the past two years with no indications of growth. This mirrors the Hamburg conventional market where there has been limited new supply delivered. o Workstation rates vary dependent on the district, with Neustadt/Alstadt central city and Hafencity commanding a higher rate than Altona and Hamburg-Nord. o The key industries driving demand for serviced office space in Hamburg include Media, IT and Financial Services. Hamburg Average monthly workstation rate 9 Average annual cost per head,8 Total number of available business - Neustadt 8 Alstadt 7 Hafencity Hamburg-Nord Altona $ EUR ( ) =.798.8 8.88 HAMBURG SERVICED OFFICE CENTRE GROWTH Y-O-Y Serviced office centre Growth Y-o-Y AVERAGE WORKSTATION RATE CHANGES Linear () LOCAL CURRENCY - EUR Q Q Q Q Q YEARLY QUARTER Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Istanbul re Growth o In two years the number of business in Istanbul has more than doubled, indicating confidence in the significance of Istanbul as a key city and business hub. o The increased supply has resulted in a slight decrease in average workstation rates when compared to. o Istanbul is now one of the largest Eastern European/Middle Eastern markets in terms of centre volume. o The main concentration of can be found in Levent and Maslak - the current CBDs. o There has been particular growth on the Asian side of Istanbul in the last months with four new opening in Kadikoy (close to the new Financial District). o Istanbul is an expensive market and has consistently maintained rates above the global average. Serviced Office centre Growth Y-o-Y Local Currency - SGD Istanbul Serviced Office Centre Growth Average monthly workstation rate $97 Average annual cost per head $,78 Total number of available business Singapore Average Workstation Rate Changes USD ($) =.99.7.9 8 Y-o-Y Linear () Q Q Q Q 8 Q 7 Yearly Quarter Linear () Average workstation rate changes $ - $ centre spread Levent (CBD) Maslak (CBD) 7 Kadikoy Sisli Istanbul Airport Atasehir Taksim Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this Local Currency 7 Average Workstation Rate Changes Q Q Q Q Q Yearly Quarter

T: + () 798 Kiev o The political and economic fragility of the Ukraine has impacted the serviced office market. Subsequently workstation rates have declined, and there is no forecasted growth in the volume of serviced office entering the market. The impact has been far greater in the traditional property market. o All serviced offices are located in the central business district in Pechersk or Podil where Kiev s stock exchange is centred. o The continuing uncertainty faced by the country has significantly contributed to a low demand for office space. Workstation rates are expected to remain flat and could see additional decline if conflict in the region continues. Kiev Average monthly workstation rate $888 Average annual cost per head $, Total number of available business $ - $ centre spread Pechersk Podil USD ($) =..7.7 KIEV SERVICED OFFICE CENTRE GROWTH Y-O-Y Serviced office centre growth y-o-y AVERAGE WORKSTATION RATE CHANGES Linear (), LOCAL CURRENCY - USD, Q Q Q Q Q YEARLY QUARTER Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Nairobi o Nairobi is the capital and largest city of Kenya, with a population of circa million. o Nairobi is a key city for international corporations and hub in Africa for politics and finance. o The serviced office market has benefited from Nairobi s international reputation and transacts a substantial number of requirements from global corporate companies. o Africa commands a cross-section of workstation rates depending on the location. Nairobi is mid-range in terms of workstation rates typically ranging from - 7, KES. o The workstation rate has slowly decreased in the past months, which has been attributed to an increase in supply. Central Nairobi Average monthly workstation rate Average annual cost per head KSh, KSh79, Total number of available business Average bundled IT/Telco monthly cost KSh, -, 7 Westlands Kilimani Nairobi Central Nairobi West Upper Hill Kileleshwa 7 Kitsuru $ KES (Ksh) =.7..88 WASHINGTON serviced DC SERVICED office centre OFFICE growth CENTRE y-o-y GROWTH Y-O-Y AVERAGE WORKSTATION RATE CHANGES centers Linear (Number of of of ) centers), LOCAL CURRENCY - KES 8,,,, Q Q Q Q Q YEARLY QUARTER Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

T: + () 798 Zurich o Zurich is the largest city in Switzerland and is one of the world s largest financial hubs. o The central business district (District ) commands the highest workstation rates due to high property costs and limited supply. o Over the past year, serviced office requirements have been driven by the financial, government and IT sectors. o There has been no centre growth in the serviced office market in the past year. This has put pressure on supply and slowly driven rents upwards. o The traditional office market has also noted a rise in demand for smaller office units in the central business district, indicating demand for additional supply of serviced office space in the market. Zurich Average monthly workstation rate Average annual cost per head SFr, SFr,8 Total number of available business SFr - SFr District Zurich Airport District District 8 District 9 District $ CHF (SFr) =...88 ZURICH Serviced SERVICED office OFFICE centre CENTRE Growth GROWTH Y-o-YY-O-Y AVERAGE WORKSTATION RATE CHANGES Linear (), LOCAL CURRENCY - CHF, Q Q Q Q Q YEARLY QUARTER Note: The figures in this report were collated using Instant s proprietary data combined with data supplied by our partners for centre numbers and quoted workstation rates. Copyright Instant Offices Limited. The information contained in this

EMEA Serviced office Market Reports //EMEA In this edition Cape Town //Copenhagen //Doha //Dublin // Edinburgh Hamburg //Istanbul //Kiev //Nairobi // Zurich