SUBSCRIBERS

Redevelopment may head off office market blues

Cushman & Wakefield figures show that the average CBD Grade A office rental value has eased 2.7% since last year

Kalpana Rashiwala

Published Thu, Jul 16, 2020 · 09:50 PM

Singapore property

Singapore

SINGAPORE office rents are easing amid a drop in demand as businesses go into cash-conservation mode amid a recession, prompting some to downsize their headcount.

However the limited completion of new CBD Grade A offices this year and next should mitigate the rental drop. Another silver lining may turn up in timely fashion - the redevelopment of ageing office blocks in the central business district (CBD), spurred by an incentive scheme unveiled by the Urban Redevelopment Authority last year to rejuvenate the old CBD.

So far, owners of at least two office assets - AXA Tower and Fuji Xerox …