The Greater Kuala Lumpur office market is expected to remain weak for at least another two years, according to Savills Malaysia.
“Back in the pre-pandemic period, the fundamentals of the Greater KL office market were already subdued. This is not anticipated to change before 2023, in light of the impending supply between now and then.” By 2023, Savills Malaysia expects the Greater KL office market to expand by another 10% , with 80% of the new supply located in Kuala Lumpur.
Savills Malaysia says the Greater KL Grade A office vacancy rate during the third quarter of 2020 stood at 25.9%, an increase from the 25% recorded in the fourth quarter of 2019.