Chongqing - Chongqing’s commercial property sector is entering a new phase of transformation. After years of rapid growth, the focus is shifting from building more projects to maximizing the value of existing assets.
According to the Q2 2025 Chongqing Grade A Office and Retail Market Overview released by Cushman & Wakefield on August 14, Chongqing's competitive edge now lies in operational innovation and creating experiences that keep people coming back.
This reflects a broader trend across China's urban markets: in a climate of global economic uncertainty and changing consumer behaviour, sustainable growth is increasingly being built on long-term value rather than short-term price competition.
The office market data underscores this transition. In the second quarter, Grade A office stock in Chongqing's core business districts held steady at 2.68 million square meters, with no new projects coming on stream.
Leasing activity was driven by professional services, which accounted for 39.2% of transactions, and the technology, media and telecommunications (TMT) sector, which contributed 21.8%. Law firms, in particular, were in expansion mode, taking up more than three-quarters of the professional services space leased during the quarter.
Mars Wei, General Manager at Cushman & Wakefield Chongqing, delivered the report of the Q2 2025 Chongqing Grade A Office and Retail Market Overview. (Photo/Cushman & Wakefield)
Mars Wei, General Manager at Cushman & Wakefield Chongqing, described the current climate as the "stock era," in which competition hinges not on building more space but on activating what already exists.
"It's easy to focus on short-term rent cuts to fill vacancies," he said. "But the real challenge is creating multi-sensory, high-engagement environments that people actively want to return to. That's where lasting value is built."
The retail sector is following a similar trajectory. From January to April, Chongqing's total retail sales of consumer goods reached 538.543 billion yuan (about 75.3 billion USD), up 4.4% year-on-year. During the May Day holiday, sales rose 6.5% and inbound travel bookings surged 138% — the fastest growth rate in western China.
Meanwhile, strong consumer activity and major store openings — such as MUJI's largest outlet in the city and MINISO LAND's first local branch — signal continued appetite for brand-led, experience-focused retail.
Wei highlighted several trends shaping Chongqing's commercial landscape. Developers and landlords are increasingly experimenting with non-standard formats that draw on the city's distinctive topography and cultural heritage, as well as integrating tech elements such as augmented reality and immersive installations.
Pop-up markets are being transformed into semi-permanent fixtures, while retail spaces are blending shopping with live performances, dining, and events to turn casual visitors into repeat customers.
Another growing concept is the "urban micro-getaway," offering residents a sense of escape without leaving the city. In Wei's view, these innovations are no longer optional flourishes but critical tools for survival in a competitive market.
Testing ground for future urban commerce
Chongqing's role within the Chengdu–Chongqing economic circle adds another dimension to its appeal. The city combines the scale of a megacity with the agility of a market that constantly reinvents itself, acting both as a manufacturing hub and as a retail gateway to central and western China.
Its international reach is expanding: in the first half of 2025, international transfer passengers at Chongqing Jiangbei International Airport rose to 27% of total traffic, enlarging the pool of potential high-value consumers.
For international brands, this means opportunity — but also the need for precision. "Global brands come here for the market potential, but they stay because they adapt," Wei said.
He pointed to MINISO LAND's Chongqing flagship as an example, noting that it features more interactive and social spaces than its coastal counterparts, tailored to the leisure habits of the city's younger demographic.
The report suggests that the next stage of growth will hinge on reimagining physical space to encourage higher-value spending, using data-driven marketing to fine-tune offerings in real time, and embracing sustainable, health-focused design that meets Chongqing's increasingly stringent green building standards. All new urban buildings are now required to meet green benchmarks, with more than 30% expected to achieve a star rating.
The analysis concludes that Chongqing is moving decisively from price-driven competition to value-driven transformation. For companies looking to gain a foothold in China's interior, the city offers not just scale and economic strength but a proving ground for adaptive strategies that could define the next decade of urban commercial development.