Suzhou is one of the economic pillars in Jiangsu Province, and its GDP volume always ranked the first in the province. Except for Hi-tech industries, Finance, Modern Logistics and Business Service industries also dedicated to the high-quality development in the past few years. From 2016 to 2017, Suzhou office market registered a substantial growth in quality office supply after a wave of high-quality office development had been delivered. In 2018, CBRE initiated a tenant survey adapting to the changing market landscape and latest trends of office tenants in Suzhou. We aim to shed light on the tenant structure and advance strategies for market stakeholders with data and analysis.
- Finance, Real estate and Business Service sectors ranked as top three demand drivers. The contribution was 35%, 16% and 10% respectively;
- Suzhou was active in attracting foreign investment, by the end of 2017, 151 Fortune 500 enterprises from overseas had invested in more than 400 projects in the city. Although domestic companies dominate the demand, MNCs still account for more than 15% of total occupied space of office space. The proportion of foreign companies in Suzhou is much higher than that in other Tier II cities in Eastern China region;
- Companies occupying 200 sq. m. and below space accounted for 38% of total office tenants, and 201-500 sq. m. accounted for 44%. 1,000 sq. m. and above accounted only 8% in terms of number of occupiers, among which over 39% were finance companies;
- Suzhou high quality office stock is expected to exceed 3 million sq. m., Coworking space, TMT as well as professional service industries are fitting to serve as new impetus to drive office demand.