Remote Work Reducing Office Space Occupancy Rates In Botswana, According to KnightFrank

According to real estate data firm KnightFrank, the prominence of remote work in Botswana is leading to more vacancy rates in office real estate as employers scale back on office space. This insight was featured in the firm's 2022/23 Africa Report.

"The office market in Gaborone has been hit by a triple whammy of factors that are driving a substantial slowdown in demand: post-Covid occupational plans continue to emerge, with many businesses still reducing their footprints to factor for greater remote working, while the pandemic-induced economic slowdown has dampened leasing activity; and an oversupply of office space means tenants are very much in the driving seat, with landlords undercutting one another to secure deals, driving down rents," KnightFrank said.

According to data, prime office rents in Gaborone are down as much as 14% compared to the end of 2020 as a result of an amalgamation of these factors. However, the report further states that the retail space sector is showing more resilience as demand remains strong, underpinned by retailers who have improved their margins by boosting their online presence.

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