In this piece, we will take a look at the 20 countries with the most skyscrapers in 2023. For more countries, head on over to 5 Countries With the Most Skyscrapers.
Skyscrapers are one of the marvels of the modern world. These structures would easily leave humans of even the 19th century amazed at the pace of humanity’s progression.
At the same time, building these megastructures is neither cheap nor easy. It takes years to finish construction and costs billions of dollars. For instance, the One World Trade Center, which is the tallest building in America and the Western Hemisphere, was estimated to have a price tag of $3.8 billion in 2012, making it the most expensive skyscraper in the world. In today’s dollars, this equals $5 billion. But why so expensive? Well, the Trade Center is also one of the safest buildings in the world, with thick layers of concrete surrounding its elevator shafts and not to mention, the base of the building is a fifteen story tall concrete podium with 30 inch thick concrete walls designed to withstand truck bombs at the request of the New York Police Department. Other safety features include stairways enclosed in two feet thick concrete, wider stairs, independent air pressurization systems, and communications systems for first responders.
Naturally, all these amenities and features come at a cost, and not only is the One World Trade Center one of the costliest buildings in the world, but it is also part of an industry that ranks high in terms of lucrativeness. The global commercial real estate market is a prime industry that sees billions of dollars flow in every year to leverage business and economic growth. A research report from the real estate investment trust body NAREIT outlines that the U.S. commercial real estate market was worth $20.7 trillion as of the second quarter of 2021. In addition to skyscrapers, this segment is made of a variety of other properties such as multifamily residences, offices, hotels, restaurants, and data center properties. Property firm Sanders Real Estate adds to this and shares that the market is undergoing some change, as the growth of internet usage and crowdfunding has provided more investors an opportunity to gain a foothold in this sector, with other advancements such as machine learning and artificial intelligence providing investors and building owners with more tools to make informed decisions.
However, just as a variety of other industries have felt the pain from macroeconomic complications arising from the coronavirus and the Russian invasion of Ukraine, the commercial real estate sector is also facing the pinch. In the aftermath of the coronavirus pandemic, commercial real estate investment mirrored the drop in stock markets as it plummeted by 29% in the first half of 2020. Within the market, the Americas was the hardest hit region, as total investment in commercial real estate shrank by 37%. Yet, over the long term, overall transactions still grew, as the investment firm Schroders reports that between 2009 and 2021, global real estate grew by 4.9% annually and in the five years starting from 2016, transaction values continued to cross $1 trillion on average.
Adding to this, just as the market was recovering from the coronavirus, the inflationary spiral stimulated by the Russian invasion of Ukraine created the toughest environment that it has faced in decades. Globally, interest rates have remained nearly negligible for quite some time, leading to cash sloshing around in the market and funding costly and pricey projects. However, since 2022, central banks have been on an interest rate hike spree, tightening capital conditions and making it difficult to fund expensive construction projects. Data from the International Monetary Fund (IMF) shows that after rising until the end of 2021, global commercial real estate prices started to drop in 2022, with all major sectors such as industrial, office, retail, and residential experiencing significant drops in their growth rates. The credit spiral, which results from higher rates affecting both debt repayment and costs of funding, had led to the real estate market (both housing and commercial) sitting on a massive pile of $175 billion in distressed debt.
The credit crunch is already making its impact felt, with February 2023 showing the fragility of the sector. Brookfield Corporation (NYSE:BN), a Canadian REIT with properties in the U.S., chose to default on more than $700 million of loans for office properties in Los Angeles. The firm was followed by Columbia Property Trust, a division of Allianz SE (OTCMKTS:ALIZF) that defaulted on a whopping $1.7 billion of loans for office properties located in New York, San Francisco, Boston, and Jersey City. Brookfield then followed up by defaulting on $161 million of office mortgages in April, as its division Brookfield DTLA Fund Office Trust Investor Inc. (OTCMKTS:DTLAP), which has most of its mortgages as floating rate loans, might be facing more pain down the road as it struggles to pay its loans.
To navigate through these troubling times, commercial real estate firms are taking an active approach to their property portfolios and selling properties to remain cash flow healthy and expand in areas that are not struggling. One example of this comes from Empire State Realty Trust, Inc. (NYSE:ESRT), whose executives shed light on their strategies during the firm’s earnings call conference for the first quarter of 2023 as they outlined:
In our focus on capital recycling, we look hard at each and every one of our assets and pursued dispositions where we have executed on the business plan and or can recycle the proceeds into assets that align with our long-term portfolio cash flow growth objectives.
As mentioned in the first quarter, we completed the disposition of our retail assets in Westport, Connecticut for our purchase price of 40 million, and subsequent to quarter end, we closed on our previously announced disposition of 500 Mamaroneck Avenue in Harrison, New York for a purchase price of 53 million. The acquisition of 298 Mulberry Street in December 2022 was funded by proceeds from these dispositions.
With these details in mind, let’s take a look at the countries with the most skyscrapers in the world.
Pixabay/Public domain
Our Methodology
To compile our list of countries with the most skyscrapers, we used data from the Council on Tall Buildings and Urban Habitat (CTBUH) – a nonprofit that compiles data for the world’s cities. The top 20 countries with the most skyscrapers are listed below. If you’re interested in cities with the most skyscrapers, do check out 20 Cities with the Most Skyscrapers in the World. Finally, Britannica’s definition of a skyscraper has been used for the buildings.
Countries With the Most Skyscrapers
20. Kingdom of Saudi Arabia
Number of Buildings Taller Than 150 Meters: 41
Flush with oil fortunes, the Kingdom of Saudi Arabia has some of the highest skyscrapers in the world. Its tallest building is the Abraj Al Bait Royal Clock Tower.
19. State of Qatar
Number of Buildings Taller Than 150 Meters: 47
The State of Qatar is another country that rakes in money from the global energy market. Several of its tallest buildings, such as the Al Mana Tower were completed just this decade.
18. Russian Federation
Number of Buildings Taller Than 150 Meters: 51
The Russian Federation, or Russia, is Europe’s largest country. Its tallest building is the Lakhta Center, standing at 461 meters tall.
17. United Mexican States
Number of Buildings Taller Than 150 Meters: 51
While having a similar number of skyscrapers as Russia, Mexico has seven buildings taller than 300 meters – as opposed to just one in Russia.
16. Federative Republic of Brazil
Number of Buildings Taller Than 150 Meters: 61
The Federative Republic of Brazil, or Brazil, is the most prosperous country in South America. Its tallest building is the One Tower, standing 290 meters tall, and finished in 2022.
15. Republic of Panama
Number of Buildings Taller Than 150 Meters: 66
The Republic of Panama is a South American country with a $77 billion GDP. Most of its tallest buildings are located in its capital Panama City.
14. Republic of Türkiye
Number of Buildings Taller Than 150 Meters: 67
The Republic of Türkiye, or Turkey, is a European and Asian country. It has one building taller than 300 meters, which is the Metropol Istanbul Tower 1.
13. Republic of Singapore
Number of Buildings Taller Than 150 Meters: 95
The Republic of Singapore is a city and a country that is also one of the most prosperous regions on the planet. Its tallest building is the Guoco Tower, the only one in the country to stand higher than the regulated limit of 280 meters.
12. Republic of India
Number of Buildings Taller Than 150 Meters: 107
The Republic of India is one of the largest economies in the world, courtesy of its massive population. India’s tallest building is Palais Royale, a residential complex standing at 320 meters tall.
11. Kingdom of Thailand
Number of Buildings Taller Than 150 Meters: 126
The Kingdom of Thailand is a Southeast Asian country. It has 126 skyscrapers and two of these, Magnolias Waterfront Residences Iconsiam and King Power MahaNakhon vie for the title of the tallest building.
10. Republic of the Philippines
Number of Buildings Taller Than 150 Meters: 127
The Republic of the Philippines is a Southeast Asian country with thousands of islands. Its tallest building is the Grand Hyatt Manila.
9. Canada
Number of Buildings Taller Than 150 Meters: 134
Canada is a North American country bordering the U.S. It ranks lower than Indonesia because it doesn’t have a building taller than 300 meters.
8. Republic of Indonesia
Number of Buildings Taller Than 150 Meters: 134
The Republic of Indonesia is one of the most populous countries in the world. Its tallest building is the Autograph Tower, standing at a whopping 382 meters tall.
7. Commonwealth of Australia
Number of Buildings Taller Than 150 Meters: 144
The Commonwealth of Australia is an Oceanic country with 144 skyscrapers.
6. Malaysia
Number of Buildings Taller Than 150 Meters: 259
Malaysia has the honor of housing the second tallest building in the world, the Merdeka 118, which is 678 meters tall.
Click to continue reading and see 5 Countries With the Most Skyscrapers.
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Disclosure: None. 20 Countries With the Most Skyscrapers is originally published on Insider Monkey.