Average rents for Marina Bay offices to breach $14 psf per month in 2015

Singapore to experience the lowest fall in the region.

Rents for prime and Grade A spaces in Singapore’s core commercial districts rose at an average of 1.6% in the last quarter of 2014 to seal a robust 10.9% rise for the full year – the highest rental growth amongst the core markets in the region, followed by markets in Tokyo and Hong Kong, as tightening vacancies continued to prevail in the island.

“Rental gains for prime and Grade A office spaces is expected to be sustained into 2015 albeit at a more moderate pace of 5.7% next year. Average rents for office spaces in the Marina Bay area will likely breach the $14 per sf per month, while those in Raffles Place will hit an average of $11 level per sf per month. Total take-up of office space in the core commercial districts is estimated to reach 1 million sq ft of space in 2015,” says Sigrid Zialcita, managing director for Asia and Pacific, Cushman and Wakefield.

Vacancies in the Singapore market will fall to be the lowest as compared to the rest of the developed countries in the region,” she elaborated.