[Sendai Edition] Latest Office Market Report Announced: Office Vacancy Rate Remains Largely Flat

Sanko Estate Co., Ltd. (Headquarters: Chuo-ku, Tokyo; President: Shojiro Fukushima) announces the "Office Market April 2026 Sendai" report, which compiles market data on the Sendai city office rental situation for March 2026 (vacancy rate & current vacant area: all sizes, asking rent & asking area: all sizes, vacancy rate by size, vacancy rate in major areas*1: all sizes) and market data for large-scale buildings in Japan's six major cities (Tokyo, Sapporo, Sendai, Nagoya, Osaka, Fukuoka). *1: Major areas = Sendai Station West Area, Sendai Station East Area *Survey period: As of end of March 2026 and as of December 31st each year Branch Manager's Perspective The background to the decline in asking rents is that, while the number of samples is decreasing, new listings have begun for multiple buildings with lower rent levels in surrounding areas. Since asking rents are calculated as a simple average, they tend to fall when samples with lower rent levels are added. It is also necessary to note that in high-grade large-scale buildings directly connected to Sendai Station, which are highly rated for their location, asking rents are being raised to 30,000 yen/tsubo, and negotiations for contracts are progressing. (Yoichi Sekine, Sendai Branch Manager) Sendai City All-Size Buildings Vacancy Rate & Potential Vacancy Rate Vacancy Rate Remains Largely Flat, "Medium-sized" Sees a Significant 0.5 Point Decrease The vacancy rate was 5.38%, an increase of 0.03 percentage points from the previous month, remaining largely flat. While vacancies arose due to partial cancellations and consolidation relocations, vacancy absorption progressed due to in-building expansions, resulting in only slight movements. By size, "medium-sized" saw a significant decrease of 0.5 percentage points from the previous month. The potential vacancy rate was 6.74%, a decrease of 0.25 percentage points from the previous month. Office demand is primarily driven by positive movements such as expansion, but new buildings tend to take time to attract tenants.