Dr. Gleb Tsipursky – The Office Whisperer
Cat Johnson – Coworking Marketing Maven
Angela Howard – Culture Expert
Drew Jones – Design & Innovation
Andrea Pirrotti-Dranchak – Competitive Advantage
Jonathan Price – CRE & Flex Expert
Jeremy Fennema – Tech Innovation Alchemist
As trade tensions continue to rise between the United States and China, the fourth quarter of 2019 is looking bleak for Asia-Pacific economies.
The office, logistics and investment markets in particular are expected to see downward growth. For example, Hong Kong Central office vacancies have started rising due to ongoing protests in the area. This drop in vacancies is mainly due to Chinese companies who have been driving demand over the past few years.
Despite this, Singapore, Sydney and Melbourne office markets are expected to see rental growth as supply continues to be tight and demand climbs.
Along with this, coworking operators seems to have enough cushion to keep it safe from the slowdown as it continues to see major growth across major regional markets.
While the sector is anticipated to do relatively well, uncertainties and a wait-and-see attitude from corporations will likely lead to a hold in demand.
As the industry continues to mature, consolidation among operators will likely occur with only the most sustainable providers doing well in the long-term.
Technology advancements have also helped fuel demand for modern logistics in workspaces to offer automated services that help reduce costs and boost productivity among workers.
Regardless, the current global trade environment will likely hurt leasing demand and investment volumes. For example, investment volumes reached $33 billion in the U.S. during the second quarter of this year, a 19% dip from a year ago.
