Grade-A office rentals increasing in Guangzhou

Guangzhou's Grade-A office rentals will increase steadily and the vacancy rate will maintain stable growth by the end of 2018, according to a report from real estate consultancy Colliers International.

Due to the limited supply of new units, the average monthly rental price of Grade-A office rentals in Guangzhou grew 6.5 percent year-on-year to 169 yuan ($26.88) per square meter in 2017, according to the report.

The vacancy rate of Grade-A offices in the city was 8.3 percent, 8 percent lower than that of 2016.

Transactions in the booming Pazhou area, a new business center in downtown Guangzhou, increased sharply in 2017 according to the report.

"The Pazhou area will see an increase in demand of Grade-A offices, as there will be a rising number of Internet-related businesses coming to the area in the near future," said Feng Wenguang, general manager of Colliers Internationall (Guangzhou).

About 500,000 square meters of new Grade-A offices will be available in Guangzhou in 2018.

Zheng Zhuo'en contributed to this story.