Shanghai ($122/sqft, 19.8% vacancy) and Sydney ($96/sqft, 12.6% vacancy) compete on different axes: Shanghai on rent and tax and Sydney on talent depth.
Shanghai ($122/sqft, 19.8% vacancy) and Sydney ($96/sqft, 12.6% vacancy) compete on different axes: Shanghai on rent and tax and Sydney on talent depth.
| Metric | Shanghai | Sydney |
|---|---|---|
| Region | APAC | APAC |
| Country | China | Australia |
| Class A rent (USD/sqft/yr) | $122 | $96 |
| Class A rent (local) | 880 CNY | 1480 AUD |
| Vacancy | 19.8% | 12.6% |
| Trend | softening | flat |
| Prime yield | 4.4% | 5.5% |
| Premium flex / seat / month (USD) | $740 | $990 |
| Submarkets covered | 5 | 6 |
| Corporate tax | 25% | 30% |
| Metric | Shanghai | Sydney |
|---|---|---|
| Typical term | 3 yrs | 7 yrs |
| Typical rent-free | 8 mos | 30 mos |
| Lease norms | Standard 3-year lease with renewal option. Rent gross of management fees but exclusive of utilities. Bank guarantee or rent deposit of 3-6 months standard. Reinstatement at lease-end is contractual. | Standard 5-10 year lease. Gross or net structure (both common). Australian leases distinguish 'face rent' (headline) from 'effective rent' (face minus incentive). Incentives of 30-40% are now standard — typically structured as rent abatement, fit-out contribution, or both. |
| Tax note | Headline corporate tax 25% (15% for High and New Technology Enterprises). Free Trade Zone advantages exist. | Federal corporate tax 30%. NSW payroll tax applies. No state corporate income tax. |
| Metric | Shanghai | Sydney |
|---|---|---|
| Talent index (0–100) | 76 | 85 |
| Talent note | Mainland China's deepest financial-services and tech talent pool. Average all-in compensation indexes 76. | Australia's deepest financial-services, technology, and professional-services talent pool. Average all-in compensation indexes 85. |
Shanghai: Shanghai Metro covers every Class A address. Hongqiao TGV / Maglev connectivity to Beijing and the Yangtze Delta.
Sydney: Sydney Metro and Sydney Trains converge at Wynyard, Town Hall, and Central. The new Sydney Metro City & Southwest line transformed core CBD commute capacity.
Sydney is the cheaper Class A market on a USD basis.
Sydney has the deeper talent index (85/100 vs 76/100).
Shanghai has the lower headline corporate tax (25% vs 30%). Local incentives can change the effective rate materially.
Shanghai typical term is 3 years with 8 months free; Sydney runs 7 years with 30 months free.
Shanghai: Shanghai Metro covers every Class A address. Hongqiao TGV / Maglev connectivity to Beijing and the Yangtze Delta. Sydney: Sydney Metro and Sydney Trains converge at Wynyard, Town Hall, and Central. The new Sydney Metro City & Southwest line transformed core CBD commute capacity.
Score Shanghai, Sydney and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.
Reviewed by Kenji Watanabe — APAC contributing editor. Last updated 2026-04-15. See our methodology and editorial standards.