<End of March 2026> Tokyo Office Market Trends: Vacancy Rate and Average Asking Rent. Potential Vacancy Rate 2.62% (Month-on-month: +0.15pt), Average Asking Rent 30,946 yen/tsubo (Month-on-month: +1,615 yen/tsubo)

Mitsubishi Jisho Real Estate Services Co., Ltd. (Head office: 1-9-2 Otemachi, Chiyoda-ku, Tokyo; President and CEO: Shuichi Shimizu) has conducted a market trend survey on the Tokyo office vacancy rate and average asking rent as of the end of March 2026, and we are pleased to announce the survey results.

【Potential Vacancy Rate】

The potential vacancy rate in the five major wards is 2.29%, a month-on-month increase of +0.21pt.

The potential vacancy rate in the seven major wards is 2.62%, a month-on-month increase of +0.15pt.

【Average Asking Rent】

The average asking rent in the five major wards is 35,405 yen/tsubo, a month-on-month increase of +1,280 yen/tsubo.

The average asking rent in the seven major wards is 30,946 yen/tsubo, a month-on-month increase of +1,615 yen/tsubo.

【Trends in Major Areas】

In the Yaesu, Kyobashi, and Nihonbashi areas, due to a large new offering, the potential vacancy rate increased to 2.08% (month-on-month: +1.24pt), and the average asking rent also increased to 47,189 yen/tsubo (month-on-month: +6,288 yen/tsubo).

In the Minato and Shinagawa areas, no new large-scale supply is expected for a while, until the completion of a property in the Osaki area scheduled for February 2027, so it is anticipated that the absorption of vacancies in existing properties will further proceed.

【Reasons for Office Relocation/Consideration】

According to the "Real Estate Policy Questionnaire Survey" conducted by our company at the end of last year, "improvement of office environment (up +3.9pt from previous)" was the most common reason for relocation or consideration of relocation, followed by "increase in personnel/business expansion (down -4.6pt from previous)", and the proportion of "strengthening brand/recruiting (up +8.4pt from previous)" recorded the highest value since the start of the survey.

The reasons for relocation, such as improving the office environment and strengthening brand/recruiting, with a view to talent acquisition, are increasing, indicating a proactive stance to update their own offices into more attractive "strategic bases" to attract excellent talent and enhance employee engagement.

■Aggregation Target

【Target Buildings for Survey】

・995 buildings (month-on-month: +3 buildings) as of the end of March 2026.

・The target buildings for the survey are tenant buildings registered in our company's database, with a total floor area of 3,000 tsubo or more, completed at the time of the survey in Chiyoda Ward, Chuo Ward, Minato Ward, Shinjuku Ward, Shibuya Ward, Shinagawa Ward, and Koto Ward.

※However, buildings judged to have special circumstances in the ordinary office leasing market are excluded from the target.

【Potential Vacancy Rate】

・From the data as of the end of April 2025, the conventional "vacancy rate," which indicates the medium- to long-term supply situation of the market targeting all available floors, has been redefined as "potential vacancy rate." As a new perspective for market analysis, a "vacancy rate" focusing only on floors available for immediate occupancy has been introduced.

・The available area in target buildings is divided by the effective lending area.

・The available area for the potential vacancy rate targets sections available at the end of the survey month.

・The available area for the vacancy rate targets only sections available for immediate occupancy at the end of the survey month.

・The effective lending area is based on information disclosed by the landlord and actual figures from our company's survey.

※However, if the effective lending area is unknown, the rentable ratio (effective lending area / total floor area) is set at 50% for buildings with a total floor area of 10,000 sqm or more, and 60% for buildings less than 10,000 sqm for aggregation. (Before March 2023, if the effective lending area was unknown, the rentable ratio obtained from actual values of buildings of the same scale was applied for aggregation).

【Average Asking Rent】

・The calculation of asking rent is a weighted average of the conditions of sections available at the end of the relevant month.

・Since there are differences in the adoption or non-adoption of the common service fee method depending on the target building, the average asking rent will include common service fees (excluding consumption tax, etc.).

【Notes】

・This document is based on our current views on the real estate market. Our views are opinions or forecasts based on information sources that we deem reliable and our unique analysis of the current market environment, and the content described herein may become invalid due to market or economic conditions after the date of description.

■About Mitsubishi Jisho Real Estate Services Co., Ltd.