Singapore’s office market at the cusp of a bull run: CBRE
Premium workplace in city centre locations such as Marina Bay and Raffles Place continues to be in high demand. IOI Central Blvd, which is the last significant Grade A completion in the Core CBD up until 2028, has actually achieved about 90% commitment as of 3Q2025, more underscoring market sturdiness, CBRE states. The company believes the Core CBD Grade An office openings rate might drop below 5% by the end of the year.
The persistent growth is underpinned by resilient occupier need and tightening supply, with CBRE data presenting openings prices for Core CBD Grade An offices tightening from 5.9% in 1Q2025 to 5.1% in 3Q2025. “Regardless of the dominating global economic uncertainties, the marketplace has actually demonstrated exceptional durability,” remarks Tricia Song, CBRE’s head of research study for Singapore and Southeast Asia.
Looking forward, McKellar expects occupants to accelerate decision-making to protect premium spot as stock remains to dwindle, especially for huge adjoining areas. “Beyond strata and smaller sized redevelopments, upcoming choices are few, with Shaw Tower (2026 ), Skywaters (2027 ), Clifford Centre Redevelopment and Comcentre Redevelopment (2028) on the horizon to offer some relief down the line,” he says.
Meanwhile, Song anticipates rental growth in the last quarter to be sustained by continued occupant activity, bolstered by easing interest. CBRE has preserved its full-year workplace rental expansion forecast of approximately 3% for 2025.
Outside the CBD, need is even motivating. “Paya Lebar Green, completed earlier this year, is now completely filled following Visa’s relocation that taken in the remaining slot,” notices David McKellar, CBRE’s Singapore head of workplace services. Therefore, office vacancy prices in decentralised locations have reduced from 7.9% in 2Q2025 to 6.5% in 3Q2025.
Office rentals have today increased 2.1% since the start of the year, with net absorption of about 510,000 sq ft, leaving out stock got rid of for redevelopment.
The Singapore business office industry is seeing the start of a bull run, continuing an upward trajectory established over the last three quarters, claims CBRE. Research study by the property consultancy found that gross effective leas for Grade An office spaces in the Core CBD expanded 0.8% q-o-q to $12.20 psf per month (psf pm) in 3Q2025, marking a 3rd consecutive quarter of growth.
