Hong Kong Tops London as World's Most Expensive Office Market in 2019

According to a new report from CBRE, the rising cost of leasing prime office space accelerated across the globe in the year ended March 31 due to continued economic growth, job gains and limited availability of prime space in certain markets. Of the 122 markets tracked by CBRE, 85 registered cost increases. CBRE's annual Global Prime Office Occupancy Costs Report found that average costs for leasing the best office space in each market's best location increased by 3.6 percent globally in that 12-month period, outpacing the year-earlier gain of 2.4 percent. The 10 most expensive markets were the same markets as last year, though several have changed positions within the top category. Hong Kong Central ($322 per sq. ft. per year) and London's West End ($222.70) retained the top two spots, with the former widening the gap between itself and the field. The biggest gainer within the top 10 was Midtown Manhattan ($196.89) in New York City, which climbed to the fourth most expensive market this year from the sixth last year as companies sought prime space in Midtown corridors and the new Hudson Yards mixed-use development.