Singapore office rental growth starts to taper off | Real Estate Asia

Singapore office rental growth starts to taper off

Overall CBD Grade A rents inched up 0.2% to S$9.59 psf in Q1.

The average monthly rents of CBD Grade A offices in Savills basket continued its upward trend, edging up 0.2% QoQ to S$9.59 psf in Q1/2023. 

Nonetheless, after a 2.2% growth for the whole of last year, rental growth has started to taper off in view of higher vacancy levels, the Savills report added.

Here’s more from Savills:

Global economic uncertainties and influx of shadow space caused by tech-sector meltdown and business restructuring have formed obstacles for further rental increases. 

By grade, the Grade AAA office sector had the highest rental growth at 0.4% QoQ, followed by both Grade AA and Grade A with a 0.1% quarterly increase. 

By location, positive QoQ rental increases were observed in Raffles Place (1.1%), Beach Road/Middle Road (0.5%), Shenton Way (0.3%) and Marina Bay (0.1%). Office rents in City Hall, Tanjong Pagar and Orchard Road remained unchanged from a quarter ago.


Join Real Estate Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!