158 views

Chart of the day: CBD Grade A rents rises by 1.6% in Q2

Vacancy rates to tighten to 4%, an analyst said.

This chart from Cushman & Wakefield shows the fluctuation of the price of rents in the central business district’s Grade A office market, which saw a slight uptick of 1.6% in the second quarter (Q2) of 2022.

It also shows the vacancy rate rising to 5.1% from 4.6% in the first quarter (Q1) of 2022. This was due to a lag between relocations and lease negotiations, but this is expected to come down in the third quarter, according to Mark Lampard, Head of Regional Tenant Representation at Cushman & Wakefield. Decentralised offices also rose by 0.4% quarter-on-quarter growth in Q2 2022 as vacancy rates tightened to 5.3% from 5.6% in Q1 2022.

ALSO READ: SG is the most sustainable place for real estate in APAC

“We expect CBD Grade A office vacancy rates to tighten towards 4% and rents to grow 5.4% for the whole of 2022 due to new demand from wealth and management firms, coupled with continued demand to return to the office. Decentralised offices are also expected to see higher demand as cost-conscious tenants move towards lower-cost options outside of the CBD, and rents are expected to increase by 3.2% YoY,” Lampard said.

Follow the link for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!