Supply crunch seen for Singapore Core CBD Grade A office market
CBRE, JLL and C&W project rents to rise 2-3 per cent in 2025, outpacing increases this year; Knight Frank and Savills predict flat rents
DESPITE a seven-year high in islandwide new office completions in 2024 amid tempered leasing demand, the Singapore office market may be heading for a severe supply crunch in the Core Central Business District (CBD) Grade A segment.
No new supply in this segment is slated for completion in the next three years, from 2025 to 2027, noted CBRE’s head of office services for Singapore, David McKellar.
“More new sites in the CBD can be considered to ensure competitiveness of Singapore’s commercial scene. ”
DAVID MCKELLAR OF CBRE
“In the longer term, the CBD will remain relevant as a focal point of activity due to its centralised location and extensive access (to) infrastructure,” he said.
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