Demand for office units in Singapore hits 527,400m sq ft

Slightly below analysts' expectations.

According to Credit Suisse, 2Q13 marked the 15th straight quarter of positive private office net demand, coming in as a positive surprise given the continued weak macro-economic conditions.

Here's more from Credit Suisse:

Net demand of 118,400 sq ft brings YTD net demand to 527,400 mn sq ft (slightly below our full-year estimate of 1.28 mn sq ft, which is based on the 2004-08 mid-cycle average demand).

However, we expect the coming quarters to remain relatively lacklustre due to slow leasing demand and the 'musical chair' effect; the relocation of tenants offsetting any incremental demand by inadvertently creating vacancies.

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