Pre-commitments soar for Tokyo’s Grade A offices

As of Q3 2025, the pre-commitment levels for new Tokyo Grade A office supply reached more than 40% of total leasing volumes. More than half of the 390,000 sqm of new stock achieved over 90% pre-leasing.

Strong demand for office relocation among large tenants drive this trend in central Tokyo. Companies are benefiting from solid corporate earnings. At the same time, Companies need a new workspace solution that balances business expansion and increasing headcount with the demand for workstyle reform. For example, auto parts maker Astemo will relocate its corporate headquarters to TOFROM YAESU TOWER in Autumn 2026. Security device manufacturer Toa Corporation has announced plans to relocate to Takanawa Gateway City, The Linkpillar 2, anticipating increased headcount and business expansion. Both companies will lease several floors in their respective new buildings.

Osaka-based manufacturer Monotaro will also relocate its Tokyo branch to the recently completed Akasaka Trust Tower next spring. It expects the open design and layout of its new corporate headquarters to foster better communication among employees and enable more creative, efficient work. This move aims to increase corporate value and support sustainable growth.

Pre-leases have also secured space in the highly anticipated Mitsubishi Estate-developed Torch Tower, which will be the highest office building in Japan upon completion in three years. Additionally, Leasing activity is strong for projects under development in Dogenzaka, Akasaka/Roppongi and Shinagawa.

Leases now close faster than several years ago, as tenants struggle to find space due to limited availability in existing buildings. This is due to high fit-out and restoration costs, which are deterring many companies from relocating. While some sub-markets like Shibuya saw new supply easily fill up several years ago, some of the larger buildings did not lease as quickly, although almost all were ultimately fully occupied.

Comparatively, nearly 60% of the 600,000 sqm supply for 2026 is already pre-leased, indicating that momentum is strong.

Next-generation office buildings increasingly feature amenities and value-added facilities such as lounge spaces, conference rooms and other commercial services, like a spa and workers’ café. These facilities are enhancing the productivity and overall experience of workers.

According to Oxford Economics, GDP growth in Tokyo is expected to rise 1.5% in 2025, up from 0.7% recorded last year. This growth will be led particularly by the finance and IT sectors, with the latter expected to be active due to recent shifts in office re-entry mandates.

While domestic companies are dominating recent leasing activity, foreign companies are also expected to relocate to prime locations as the Tokyo office market offers an increasing amount of highly competitive properties

Figure 1: Projected new supply in 2026 for Tokyo Grade A office market