CBRE: AI Expected to Reshape Asia-Pacific Work Models; Hong Kong Office Market Accelerates "Premiumization of Office" Trend

CBRE said that according to its latest research, AI is expected to reshape work models in Asia-Pacific, but office demand is believed to remain resilient. Even under a moderate AI substitution scenario, occupied office space is still projected to grow by 13% between 2026 and 2030, only slightly below the 18% increase forecast under the baseline scenario. The firm's analysis shows that across Asia-Pacific's overall employed population, only 1.8% of jobs face a significant risk of being replaced by AI; another approximately 8% of the workforce may be affected by AI, but many employees are expected to adapt through upskilling and career transitions. Under the baseline scenario, Asia-Pacific's overall office vacancy rate is forecast to edge down slightly from 16% in the second quarter of 2026 to 15% in 2030; under the moderate AI substitution scenario, the vacancy rate would be only about 3 percentage points higher than the baseline forecast. Ada Fung, Chief Operating Officer of CBRE Hong Kong Advisory Services, said that in Hong Kong, AI is expected to assist rather than replace workplace and office demand, and to further elevate the importance of high-quality office space, especially work environments that foster team collaboration, productivity, innovation and client interaction. As AI becomes more deeply embedded in corporate operations, tenants will place greater emphasis on office space quality rather than simply pursuing scale in area. Demand is expected to further concentrate in premium offices with modern specifications, strong sustainability performance, and amenities that enhance productivity and attract talent, further consolidating and accelerating the "premiumization of office" trend that has already emerged in Hong Kong's office market. CBRE believes AI will influence corporate site selection strategies, with future demand concentrating in premium office projects conducive to collaboration, innovation and technology-driven work models, accelerating the market's concentration toward high-quality assets and widening the performance gap between premium and secondary properties; owners of lower-quality properties will face greater pressure and will need to enhance competitiveness through upgrades, repositioning or conversion to other uses.