New and recent premium supply dominates leasing activities

• Quarterly net absorption quadrupled to 49,000 sqm in Q3 2025, underpinned by the resumption of flight-to-quality and relocation activities to recent completions including Central Park Offices and One Bangkok.
• Whilst the market largely sustained stable occupancy, older prime buildings saw muted take-up despite rental concessions. New prime leases in the CBA totalled 14,000 sqm, with Central Park Offices securing half of the volume.

Premium assets boost CBA prime supply as vacancy stabilises and leasing momentum strengthens in Q3 2025

• Central Park Offices concluded its construction and added 62,000 sqm of Grade A space to the market. Strategically located opposite Bangkok’s central park and connected to transit stations, the project’s pre-commitment rate exceeded 70%.
• Prime vacancy rate remained high after consecutive waves of new supply, though eased slightly by 31 bps q-o-q to 28.3% in Q3. With no further completion expected in 2025, landlords are likely to benefit from improved leasing momentum and healthy absorption.

CBA prime office rents and values decline as new supply nears, while incentives hold and investors remain cautious

• Prime gross rents fell by 1.9% q-o-q and 2.2% y-o-y to THB 1,006/sqm/month as recent completions offered discounts to attract tenants ahead of 2026 supply. Rent-free period remained around 2 months, with net effective rents down 2.5% q-o-q to THB 763/sqm/month.
• Capital values decreased by 1.6% q-o-q to THB 164,900 per sqm amid weak demand and investor’s cautious sentiment. Market yields compressed slightly by 5 bps q-o-q to 5.55%.

Outlook: Vacancy under pressure from upcoming supply; rents and values expected to rise modestly over medium term.

• No new completions are expected by end-2025, keeping stock at 1.6M sqm as one project was delayed to 2026. Vacancy should compress to 27.4% due to pre-committed relocations, then hover 22–23% during 2027–2029 before spiking to 30% in 2030 with 300k sqm of new supply.
• Rents forecast to rebound to THB 1,018/sqm by end-2025, stabilizing near THB 1,025/sqm in 2029. Rent-free periods may tighten while capital values grow modestly ~2% y-o-y amid cautious investor demand as recent completions adjust rates.