Average rental rates for the first half of this year were USD32.10 per sqm.

This is a small increase of 0.3 per cent quarter on quarter (QOQ), and 5 per cent year on year (YOY).

Rental rates have steadily been on the uptick since 2015, and Colliers International Myanmar predicts rates are likely to continue increasing in the medium to long-term, albeit at more reasonable levels.

Forecast at a glance:

• Rental rates: USD32.10 per sqm, an increase of 0.3 per cent QOQ and 5 per cent YOY
• Demand: Colliers expects this figure to rise, with new projects coming into the market
• Competition: Colliers advises developers to become more innovative, and integrate more diverse tenants

"We expect the further introduction of higher quality projects to support premium rents in the near to medium term," the Colliers report says.

If you're looking for a retail space, check out Junction Square here.

"However, we forecast rental increases to moderate in the next two to three years as competition among landlords may start to increase."

Source: Colliers International Myanmar

As more international quality supply comes into the picture, Colliers advises developers to target new and more innovative concepts into the market.

If you're looking for a retail space, check out Kantharyar Centre here.

Besides introducing destination retail developments, Colliers says developers should also integrate a more diverse mix of tenants with a focus on entertainment facilities.

Click here to view Colliers International Myanmar Quarterly Review Yangon Retail Q2 2018.

For more information or to discuss the report, phone or email Karlo Pobre Deputy Managing Director or The Htet Oo, Manager for Research and Advisory for Colliers International Myanmar via the contact details listed below. 

Source: Colliers International.

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