Business park vacancy rate in Singapore hits 23% in Q3

Find out what drove the slight improvement from the previous quarter.

Compared to the 23.3% registered in Q2, Savills revealed in a report that Singapore’s islandwide vacancy rate for business park space remained relatively stable at 23.0% in Q3.

“The slight improvement was attributed to the improved take-up in the East Planning Region, particularly in Changi Business Park.”

Here’s more from Savills:

While demand remained steady, business park rents softened after three quarters of growth. JTC rental index for business park fell by 0.2% QoQ in Q3, a reversal from the 1.2% QoQ growth in Q2.

Savills’ business park rents also showed a similar trend, with prime business park monthly rents ending a three-quarter growth run with a 1.6% QoQ decline to S$6.29 per sq ft in Q3. Savills’ standard business parks rental growth continues to moderate, remaining constant at S$4.13 per sq ft in Q3.

Following a short-lived improvement (+2.1% QoQ in Q2), the high-spec industrial rents also dropped in Q3, down by 1.0% to S$3.94 per sq ft from the previous quarter.