Singapore commercial space prices, rentals fall further in Q2

PRICES and rentals of commercial space in Singapore fell further in the second quarter of this year, statistics from the Urban Redevelopment Authority on Friday showed.

Prices of office space decreased by 1.5 per cent in Q2, compared to a 0.3 per cent decline in the previous quarter.

Rentals of office space fell by 3.5 per cent in the second quarter, compared to a decline of 2.1 per cent in the previous quarter.

Island-wide vacancy rate of office space at the end of Q2 dipped to 9.1 per cent, from 9.2 per cent at the end of Q1.

As at the end of Q2, there was a total supply of about 1.022 million square metres (sq m) of gross floor area (GFA) of office space in the pipeline.

On the retail front, prices of retail space decreased by 3.1 per cent compared to a 1.9 per cent fall in the previous quarter.

Rentals of retail space decreased by 3.9 per cent, compared to a decrease of 1.9 per cent in the previous quarter.

Island-wide vacancy rate of retail space rose to 7.8 per cent at the end of Q2, from 7.3 per cent at the end of the previous quarter.

As at end-June, there was a total supply of 734,000 sq m of GFA of retail space from projects in the pipeline.