Seoul Grade A Office Vacancy Rises to 4.5% in Third Quarter of 2026
Commercial real estate firm Newmark Group, Inc. (NASDAQ:NMRK) released its office market report for the third quarter of 2026, showing Seoul Grade A office vacancy rose 0.2 percentage points quarter-on-quarter to 4.5%. Meanwhile, face rents across the city increased 4.9% year-on-year as corporate relocations reshaped regional leasing demand.
Leasing conditions varied considerably across key business districts. The Central Business District vacancy rate climbed 0.5 percentage points to 7.0%, influenced by past supply additions and tenant moves. In the Gangnam Business District, vacancy rose 0.6 percentage points to 2.7% as space became available from corporate moves, though tech and pharmaceutical firms sustained prime office demand. Conversely, vacancy in the Yeouido Business District fell 0.8 percentage points to 2.3% due to strong expansion and relocation demand from financial institutions.
Looking ahead, market developments could alter supply dynamics in upcoming quarters. The scheduled completion of Eul Tower in the fourth quarter of 2026 will bring new space to the Central Business District, while a potential move by shipping firm HMM could free up nine floors in Yeouido. Growing sublease availability and additional supply expected in future years will give tenants wider choices and greater bargaining power.
Key points
- Seoul Grade A office vacancy rose 0.2 percentage points quarter-on-quarter to 4.5% in Q3 2026, while face rents grew 4.9% year-on-year.
- Central Business District vacancy reached 7.0% despite lease signups from public institutions and corporate headquarters.
- Gangnam Business District vacancy increased to 2.7%, supported by prime office demand from technology and healthcare companies.
- Yeouido Business District vacancy fell to 2.3%, driven by relocation and space expansion among financial institutions.
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How we writeDisclaimerQuestions and answers
What was the Seoul Grade A office vacancy rate in Q3 2026?
Seoul Grade A office vacancy reached 4.5% in the third quarter of 2026, representing a 0.2 percentage point increase from the previous quarter.
How did office rent prices change in Seoul during Q3 2026?
Face rents for Grade A office space in Seoul increased by 4.9% year-on-year in the third quarter of 2026.
Which Seoul business district recorded a drop in office vacancy in Q3 2026?
The Yeouido Business District recorded a 0.8 percentage point drop in office vacancy to 2.3%, supported by relocations and expansions from financial sector firms.