Since Shenzhen issued the "Guide Price for Second-hand Housing" in February, it has lasted for nearly half a year. Overall, the second-hand housing market continues to be in a downturn. In June, the number of second-hand housing online signings was only 3,216, showing a "five consecutive decline" trend. It can be seen that the power of the "guide price" policy and its effect on the property market are also obvious.

Recently, another real estate in Shenzhen has also ushered in the "guide price", that is, office buildings. On July 14, Shenzhen Guangming District issued the "Several Measures to Promote the Efficient and Intensive Utilization of Office Buildings in Shenzhen Guangming District (Draft for Solicitation of Comments)". The biggest highlight of this measure is to support office building operators to form alliances and accept government rent guidance. price. This means that in addition to houses, Shenzhen has begun to explore the "rental guidance price" system for industrial housing. So, what is the role of the "Rental Guidance Price" for the development of Shenzhen's office buildings and industries?

Guangming District releases "Rent Guidance Price" for office buildingsIn fact, as early as 2020, in order to improve the business environment of Guangming District, Guangming District has formulated and implemented a guiding price system for the rent of 5713 industrial houses in 729 industrial parks in Guangming District. This time, Guangming District issued the "Several Measures to Promote the Efficient and Intensive Utilization of Office Buildings in Guangming District, Shenzhen (Draft for Comment)" and pointed out: According to preliminary surveys and statistics, the total vacancy rate of office buildings in 29 stock parks in Guangming District is relatively high. high. At the same time, the willingness of enterprises inside and outside the zone to settle in the above-mentioned parks is weak, and supply and demand have failed to achieve dynamic balance. In order to guide the operators of the park to make appropriate profits, it is proposed to support the operators of office buildings to rely on industry associations to form a high-quality industrial space alliance in Guangming District. The main body of the space alliance needs to be reviewed and filed by the district industry authority, and accept the government rent guidance price. Among them, for office building operators that have signed an industrial development supervision agreement with the district industry authority but have not yet fulfilled the contract (including situations that do not meet the industry access conditions), they need to report to the district before signing a lease contract with the lessee The industry competent authority reviews, and the rental price should be 10% or more lower than the government rent guide price. In recent years, Shenzhen’s corporate offices have faced problems such as chaos from second-hand landlords, rapid rent increases, and insufficient market standards, which not only hinders the development of Shenzhen’s office buildings, but also aggravates the difficulty of corporate office work. Putting the "Rent Guidance Price" on the agenda again this time shows Shenzhen's original intention and determination to optimize and upgrade the business environment, promote industrial development, and solve corporate office problems.

To solve the pain points of Shenzhen office leasing, the guide price is a "good medicine"?

In recent years, the high vacancy rate of office buildings in Shenzhen has always been a hot topic. In addition to the unstable economic environment, some small and medium-sized enterprises are difficult to support and cannot maintain stable leases. There is also the continuous increase in Shenzhen's supply volume and the long-term imbalance of supply and demand. Recently, a number of agencies released the second quarter office report. Although the market situation continues to improve, there is still a lot of pressure on the overall stock. According to data from DTZ, Shenzhen's new supply of Grade A office buildings was about 160,000 square meters in the second quarter, and the city's total stock rose to 6,610,700 square meters. In the second quarter, the city's absorption reached 335,600 square meters, a new high since the second quarter of 2017. The vacancy rate also fell by 3.27 percentage points to 22.27%. In the second quarter, the average rent of Grade A office buildings rose by 0.7% from the previous quarter to RMB 211.14 per square meter per month, ending the downward trend in rents that started in the first quarter of 2019.

The release of the “Rental Guidance Price” for office buildings shows that the idea of “stabilizing rents” for office buildings in Shenzhen has been implemented. This is also an important exploration for reducing corporate housing costs, stabilizing the office leasing market, and supporting the development of the real economy.

In addition, in order to solve the problems of office buildings and corporate offices in Shenzhen, adjustments need to be made from two aspects. One is the owner, who must actively attract investment, improve services, and actively adjust the leasing strategy; The strength of the policy to support the office of SMEs, such as rent subsidies or other support. The "Rent Guidance Price" is an important means to regulate the leasing of office properties by enterprises.