Core Insights - The Shanghai office leasing market entered a deep adjustment phase in May 2025, with key decision factors shifting towards industrial ecology, cost-effectiveness, and flexible office solutions [1][3] - The demand logic for corporate space has transitioned from "location premium" to "industrial empowerment," indicating a significant market shift [1][3] Market Dynamics - Xuhui District emerged as a standout performer with a market share of 21.66%, driven by technology industry clustering and favorable rental pricing [5] - Pudong District maintained the highest market share at 35.71% but showed signs of slowing growth, reflecting saturation in mature business areas [3][6] - Qingpu District benefited from the Yangtze River Delta integration strategy, achieving a market share of 7.14% as a new benchmark for emerging business districts [3] Office Space Demand Characteristics - Demand for office space is characterized by three main trends: 1. Technology-driven companies are relocating to industrial clusters like Xuhui for enhanced collaboration [1] 2. Cost-sensitive demand is spreading to peripheral areas like Qingpu, balancing transportation convenience [1] 3. Brand-oriented companies continue to target core locations such as Lujiazui and Nanjing West Road, but with a trend towards more compact leasing [1] Rental Market Segmentation - The rental market displayed a "pyramid" structure, with strong demand in the 2-6 RMB/m²·day range, particularly for startups seeking cost-effective solutions [11] - The demand for small office spaces (under 200 m²) continued to rise, becoming a staple in the market, while larger spaces (over 1000 m²) showed signs of recovery, particularly in Xuhui [8][11] - The mid-range segment (300-500 m²) experienced a decline, indicating a shift in corporate leasing strategies towards more conservative approaches [9] Future Outlook - The high-end rental market (above 8 RMB/m²·day) faced a downturn as multinational companies reassess their space efficiency, leading to potential adjustments in leasing strategies [12] - A possible "price-for-volume" window may emerge in the coming months as landlords begin to adjust their strategies in response to market dynamics [12]