“Shenzhen’s office leasing market logged a sound increase in the volume of site visits and inquiries on project availability and pricing during Q3/2025 and we expect that the momentum will lead to a significant increase in transaction volume in Q4/2025.”

CARLBY XIE, SAVILLS RESEARCH



Market warms up

• Four new projects, with a total leasable office space of 263,443 sqm, were completed in Q3/2025. The citywide stock expanded by 2.2% QoQ and 5.4% YoY to approximately 12.0 million sqm.

• Leasing demand in the third quarter outperformed that in 1H/2025 with a significant increase in inquiries for project letting availability and pricing.

• Technology firms remained the primary driver of market demand growth; demand from trade enterprises, which primarily target overseas sales markets, and financial institutions also remained relatively active.

• Due to the continued influx of substantial new supply over the last few quarters, the average vacancy rate increased to 31.6% by end-Q3/2025, up 1.0 ppt QoQ and 1.7 ppts YoY.

• Shenzhen’s Grade A office rental index decreased by 1.9% QoQ and 12.0% YoY. The average rent slid to RMB136.7 psm per month by quarter end.

• The annual new supply of 2025 will exceed one million sqm again, after its record years of 2019, 2020 and 2021. The total stock is expected to further expand by more than 10% YoY by end-2025, translating to continued and inevitable destocking pressure and needs for landlords in the short term.