Office Rental Market Braces for Change After Ministry’s Exemption Announcement – Arab Times Kuwait News

Office Rental Market Braces for Change After Ministry’s Exemption Announcement – Arab Times Kuwait News

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KUWAIT CITY, June 13: There is no doubt that the office rental sector is part of the real estate activity that is considered one of the most important pillars of the economy, as it represents a locomotive for many vital sectors. However, it seems that the decision of the Ministry of Commerce and Industry to exempt 54 activities from having the lease contract to issue a commercial license and from renting a headquarters will cast a shadow over the office sector occupancy rates, in the event that some businesses dispense with their rented locations and opt to work from home or remotely, reports Al-Qabas daily.

According to real estate agents, the decision will directly affect offices with areas that do not exceed 30 or 40 square meters, most of which are located outside the borders of Kuwait City. Large offices, especially those in commercial towers, will remain far from the repercussions of the decision and will generally maintain their occupancy rates.