Over the last few years, the office space stock in Manama has become favoured towards tenants. A tepid economic backdrop resulted in the subdued demand and the decrease in rental fees for premises in the city. This tendency has been observed in the area for at least eight years, starting from 2010. In 2018, the market stabilised, which is a positive sign for the landlords, that promises better times for the commercial real estate industry in the area. Experts state that the supply-demand imbalance that took place in the city over almost a decade is going to disappear gradually. Nowadays, the demand for commercial office space in Manama is primarily centred on small and fitted out units, as tenants prefer to avoid the cap expenditures. Such a trend is going to be prevalent for the nearest future too. The vacancy rates across the office space market in Manama continue to hover around the 40% mark. It means that regardless of your requirements, it won’t be much difficult to find a suitable business property. Better occupancy levels are observed in the best in class assets. Conversely, the older buildings with inefficient floor plates and poor parking facilities are set to suffer from low interest and higher falls in rental rates. Nowadays, the target audience tries to absorb the existing offices for rent in Manama, benefitting from the advantages the location offers.
