INVESTMENT SOLUTIONS & PRODUCTS Swiss Economics Swiss office property market 2018 December 2017 Fragile stabilization Market overview Major centers Mid-sized centers Tertiarization of industry Trends in the markets New horizons for real supports demand for anything but estate investors office space synchronous Page 4 Page 10 Page 20 Imprint Publisher Burkhard Varnholt Vice Chairman IS&P +41 44 333 67 63
[email protected] Fredy Hasenmaile Head Real Estate Economics +41 44 333 89 17 E-Mail:
[email protected] Copy deadline November 24, 2017 Publication series Swiss Issues Immobilien Visit our website at www.credit-suisse.com/immobilien Copyright The publication may be quoted providing the source is indicated. Copyright © 2017 Credit Suisse Group AG and/or affiliated companies. All rights reserved. Authors Fredy Hasenmaile +41 44 333 89 17
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[email protected] Contribution Fabian Hürzeler Slavisa Lazic Stephan Boppart 2 Swiss Economics Swiss office property market 2018: Management Summary A lengthy period of low interest rates has obliged the Swiss office property market to deal with an increasing stock of new office space during years of sluggish demand. This has created an oversupply and rising vacancies, particularly in the large office markets. Meanwhile, the market appears close to bottoming out. But what is the real state of the market? Market overview Fragile stabilization in the market for office space Page 4 Thanks to an acceleration in Swiss economic growth, we expect to see a revival in demand for office space in 2018.