Xymax Real Estate Institute

RESEARCH REPORTOSAKA CITY | Supply of New Office Space 2019
December 12, 2018

Xymax Real Estate Institute (hereinafter, “Xymax REI”) hereby releases a report on the Supply of New Office
Space 2019 covering Osaka City. The volume of new office supply, which is an aggregation of rentable areasof offices that will be newly constructed in the coming years (hereinafter, “new supply”), indicates the future
direct impact of supply on the market balance. Xymax REI aggregates the rentable areas of office space inbuildings that are mainly for office-use with a gross floor area of more than 3,000 tsubo completed in the Tokyo
23 Wards and Osaka City each year. The Tokyo 23 Wards version*1 has been released on the same day.
*1 “TOKYO 23 WARDS | Supply of New Office Space 2019” December 12, 2018https://www.xymax.co.jp/english/news_research/?type=research

1 tsubo = approx. 3.3 sqm
SUMMARY OF RESULTS

No supply is scheduled in 2019 or 2021 (Figure 1).
The average annual new supply in 2019–2022 is 9,000 tsubo. This is less than a third of 29,000 tsubo, theaverage annual volume of the past 10 years.
The average annual new supply in 2019–2022 in Osaka City (9,000 tsubo) is one-fifteenth of that in theTokyo 23 Wards (138,000 tsubo).
The new supply rate (new supply in 2019–2022 versus office stock at year-end 2018) is expected to beapprox. 1.3% (annual average: 0.3%) in Osaka City.
Figure 1: Osaka City’s Supply of New Office Space (Net Rentable Area)

OSAKA CITY | Supply of New Office Space 2019
The contents of this report are as of the time of writing. Xymax Real Estate Institute does not guarantee their accuracy or completeness.
This report may not be reproduced, cited, transmitted, distributed, or reprinted without prior permission of Xymax Real Estate Institute.
Copyright © 2019 Xymax Real Estate Institute Corporation. All rights reserved.

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1. OSAKA CITY | Supply of New Office Space
New supply of office buildings with a gross floor area of more than 3,000 tsubo is expected to be 34,000
tsubo in Osaka City in 2019–2022, an average of 9,000 tsubo per year. Since no supply is scheduled in 2019 or2021, this is less than a third of 29,000 tsubo, the average annual volume in 2009–2018. However, since 28,000
tsubo will be supplied in 2022, the average annual volume in 2019–2022 will increase from our previous study
in 2017*2 for 2018–2021 (4,000 tsubo).
In comparison to the new supply in the Tokyo 23 Wards, Osaka City’s average annual new supply of 9,000
tsubo for 2019–2022 is one-fifteenth of that of the Tokyo 23 Wards (138,000 tsubo). The new supply rate, whichis the percentage of new supply in 2019–2022 to the office stock at year-end 2018, is 1.3% (annual average:0.3%) in Osaka City. This is a third of 4.4% (annual average: 1.1%) of the Tokyo 23 Wards.
*2 ” OSAKA CITY | Supply of New Office Space 2018 & Office Stock Pyramid 2018” December 7, 2017https://www.xymax.co.jp/english/news_research/?type=research

2. New Supply by Area
By area, new office space will be supplied in the Umeda and Yodoyabashi areas (Figure 2).
Figure 2: New Supply by Area (2019–2022)

OSAKA CITY | Supply of New Office Space 2019
The contents of this report are as of the time of writing. Xymax Real Estate Institute does not guarantee their accuracy or completeness.
This report may not be reproduced, cited, transmitted, distributed, or reprinted without prior permission of Xymax Real Estate Institute.
Copyright © 2019 Xymax Real Estate Institute Corporation. All rights reserved.

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Survey Overview
Survey dateNovember 2018

Area

Osaka City

Targetproperties

Properties with a gross floor area of 3,000 or more that are used mainly as office space(excluding owner-occupied buildings)

Target data

Rentable office area (tsubo)

MethodPrimarily through publicly available information such as newspaper articles, in addition toon-site surveys and interviews with developers* The target of this survey is the floor area of buildings to be newly supplied. Note that this is not a complete survey.
* Published rentable areas are used in the study, wherever they are available. Where not, the study uses the area estimated fromgross floor area based on a formula derived from the joint development with Naoki Kato Lab, Architecture and ArchitecturalEngineering, Kyoto University Graduate School of Engineering.
* The new supply estimated in this survey is the estimated amount as of the date of the survey. The figures of new supply change as
information is added and updated on a daily basis.

Contact for inquiries on this reportXymax Real Estate Institutehttps://soken.xymax.co.jp
TELEPHONE: +81 3 3596 1477 | FAX: +81 3 3596 1478 | E-MAIL: info-rei@xymax.co.jp

OSAKA CITY | Supply of New Office Space 2019
The contents of this report are as of the time of writing. Xymax Real Estate Institute does not guarantee their accuracy or completeness.
This report may not be reproduced, cited, transmitted, distributed, or reprinted without prior permission of Xymax Real Estate Institute.
Copyright © 2019 Xymax Real Estate Institute Corporation. All rights reserved.

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