Mudon group predicts high average
rent of administrative offices in Capital, Hawalli and Jahraa governorates in
the coming year, ranging from 1.3% and 2% compared to the current year.
The group mentions in a specialized
report on the performance of administrative properties and its expectations
during the coming period that the average monthly rental rate per square meter
for the offices reaches between 6 dinars per sq m in Jahraa Governorate as a
minimum and 14 dinars per sq m in Capital Governorate as a maximum.
The report also shows that the
average rental rate per square meter of offices in Capital Governorate
increased by 300 Fils per square meter in 2023 to be 8.11 dinars per sq m, with
the expectations of the rental rate will continue to rise by 3.1% to be 9.11
dinars per sq m in 2024.
The report states that it’s expected
that Hawalli Governorate will have the highest average rental rate per sq m in
2024 by 2%, to be increased from 3.10 dinars to 5.10 dinars per sqm, Capital
Governorate has been listed in the second place with an average rate of 3.1%
and Jahraa Governorate has been listed in third place with an average rate of
8.0%, with an average rent rate of 2.9 dinars per sqm in 2024.
The CEO of the group, Engineer / Omar
Najm, demonstrated that the growth in demand for renting offices and
administrative real estate in Kuwait depends on some factors, notably the
following:
·Efforts to diversify sources of income along side the oil sector
and encourage non-oil sectors to grow and expand.
·Efforts to encourage private investment, Domestic and foreign, and enhance
the investment and business environment generally, which accordingly promotes
the establishment of more companies.