New projects push office rents lower

Beijing's office space market is projected to see continuous downward pressure on rent prices in 2017, due to a glut of supply and high inventory, industry reports say.

Vacancy rate for Beijing offices is estimated to remain at a high level, according to a recent report published by Savills China.

"Despite more new supply, we have not yet seen a significant growth trend of demand (for offices in Beijing). It is predicted that, in 2017, the vacancy rate will likely increase, while the rent will decline slightly," said Xiong Zhikun, head of project & development consultancy at Savills China.