Grade A office rents rise by 1.4% in Q3: report

This is the highest yearly growth in a quarter since end-2019, Savills noted.

Grace A office rents went up by 1.4% year-on-year in the third quarter, which Savills noted as the highest growth recorded since the last quarter of 2019.

The third quarter performance of office rents in the central business district (CBD) also reflected an increase of 0.3% quarter-on-quarter.

“Whilst global economic conditions are souring, Grade A landlords may still be able to pass on higher conservancy charges by raising rents as new supply of Grade A CBS office supply in 2022 and 2023 is limited,” Alan Cheong, Executive Director of Research at Savills Singapore, said.

The net demand for CBD Grade A offices rose to 417,000 square feet in the quarter, leading to a total net take-up of 612,000 sq. ft. year-to-date.

Meanwhile, the vacancy rate contracted for the second consecutive quarter by 1.2 points to 5.6% in the third quarter. This is higher than the 0.4-point decline in the previous quarter.

For 2022, Savills maintained its rental projection at 3%YoY with rents expected to climb by 2%YoY in 2023.

Follow the link for more news on

Savills

CBD Grade A Office Rents Growth

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia