MYANMAR'S OFFICE MARKET

The office market in Yangon was slow to react to the economic reformation of Myanmar and the subsequent increased levels of demand from both national and international occupiers. As a result, office rents are higher than most major established locations around the world, with 2014 rents sitting higher than anywhere other than Beijing and Shanghai. Rents have, however, begun to drop in recent months, and those Downtown properties formerly considered to be prime office locations have had to reduce their rents to retain their tenants in the face of an influx of newer, better-quality, stock across the city and the growing popularity of mid-town and outer-town locations for businesses (thanks to the constant traffic gridlock of Downtown). New projects such as the Vantage Tower on Pyay Road are leading the charge of international-standard Grade A office space in the city, whilst a number of refurbished existing buildings are providing occupiers with viable mid-range alternatives.

The office market in Yangon was slow to react to the economic reformation of Myanmar and the subsequent increased levels of demand from both national and international occupiers. As a result, office rents are higher than most major established locations around the world, with 2014 rents sitting higher than anywhere other than Beijing and Shanghai. Rents have, however, begun to drop in recent months, and those Downtown properties formerly considered to be prime office locations have had to reduce their rents to retain their tenants in the face of an influx of newer, better-quality, stock across the city and the growing popularity of mid-town and outer-town locations for businesses (thanks to the constant traffic gridlock of Downtown). New projects such as the Vantage Tower on Pyay Road are leading the charge of international-standard Grade A office space in the city, whilst a number of refurbished existing buildings are providing occupiers with viable mid-range alternatives.