Jakarta office supply hits 7.34m sqm as of Q3

Find out which projects are slated to be completed soon.

According to a Colliers report, the slow pace of construction continues in Jakarta’s office sector, resulting in the postponement of completion and operational dates for some projects. Nevertheless, some buildings remain on track to commence operations by the end of this year. 

Here’s more from Colliers:

In the CBD, the absence of new office supply in the last three months has maintained the cumulative supply figure at 7.34 million square metres as of Q3 2023. Despite the slower pace of ongoing construction, several buildings are expected to meet completion, as per their predetermined schedules. 

Notably, Luminary Tower within the Thamrin Nine complex is anticipated to be finalised by the end of 2023, contributing to a 4,9% growth in cumulative office supply in 2023 compared to 2022. Regarding other projects in the pipeline, prospects for future supply within the CBD appear relatively limited, with no recent further project announcements, leaving only the Indonesia-1 project to reach completion by the end of 2025.

Outside of the CBD, the cumulative supply has been maintained at 3.8 million square metres in Q3 2023, with no new office buildings reaching completion in the last three months. However, several projects, both new and refurbished, are being closely monitored as they progress. Geographically, the focus of office projects outside the CBD is shifting away from the South, with North and Central Jakarta emerging as potential areas for future office building developments.

In total, seven projects are currently under construction, poised to introduce around 270,000 square metres of new supply outside the CBD by 2025. Three of these seven projects are expected to be ready by the end of 2023, resulting in a cumulative supply in 2023 reflecting a 3.3% growth compared to 2022.