---
title: "Q2 2026 — Tier 1 Class A rent cycle is mid-correction"
description: "Asking rents across nine of twenty Tier 1 cities have stopped softening but concession packages remain elevated."
canonical: https://classa.info/research/dispatch/2026-04-tier1-rent-cycle
pageType: dispatch-issue
lastUpdated: 2026-04-15T00:00:00.000Z
license: "CC BY 4.0 with attribution to Class A Atlas (https://classa.info)."
---

> Asking rents across nine of twenty Tier 1 cities have stopped softening but concession packages remain elevated.

## TL;DR

- Headline asking rents stabilised in 9 of 20 Tier 1 cities tracked.
- Rent-free concessions still 2–4 months above pre-2024 norms in EMEA gateway markets.
- APAC core CBDs (Singapore, Tokyo, Hong Kong) are tightening fastest on trophy stock.
- Class A vs Class B spread has widened in 14 of 20 markets year-on-year.

# Q2 2026 — Tier 1 Class A rent cycle is mid-correction

**Asking rents across nine of twenty Tier 1 cities have stopped softening but concession packages remain elevated.**

## TL;DR

- Headline asking rents stabilised in 9 of 20 Tier 1 cities tracked.
- Rent-free concessions still 2–4 months above pre-2024 norms in EMEA gateway markets.
- APAC core CBDs (Singapore, Tokyo, Hong Kong) are tightening fastest on trophy stock.
- [Class A](/glossary/class-a) vs [Class B](/glossary/class-b) spread has widened in 14 of 20 markets year-on-year.

## What changed this quarter

Class A Atlas tracks asking rent and concession data across the twenty Tier 1 cities in our editorial coverage. As of the Q2 2026 cut, asking rents have stabilised in 9 of those 20 markets — including London City, New York Midtown, San Francisco SoMa, and Sydney CBD — but concession packages remain elevated. The narrative has shifted from price discovery to landlord-funded incentives.

## Where the cycle is tightest

Singapore Marina Bay, Tokyo Marunouchi, and Hong Kong Central are leading the next leg of the cycle, with vacancy on trophy floors below 4% and rent-free durations contracting back toward pre-2023 norms. Occupiers targeting these submarkets should expect single-digit-month rent-free packages and minimal landlord contribution to [fit-out](/topics/fit-out-capex)">fit-out beyond [Cat A](/glossary/cat-a).

## What occupiers should do

Run the Class A Atlas Office Index against your shortlist before re-opening [renewal](/topics/lease-renewal-strategy) negotiations. [Effective rent](/glossary/effective-rent) — not headline asking rent — remains the right benchmark for any deal closing in the next two quarters.

## Cities discussed

- [singapore](/cities/singapore)
- [tokyo](/cities/tokyo)
- [hong kong](/cities/hong-kong)
- [london](/cities/london)
- [new york](/cities/new-york)
- [san francisco](/cities/san-francisco)
- [sydney](/cities/sydney)

---

Citation: Source: Class A Atlas (https://classa.info/research/dispatch/2026-04-tier1-rent-cycle), updated 2026-04-15T00:00:00.000Z.