Prime retail rents to rise up to 4% in 2024: Knight Frank

Improving tourist arrivals and tight occupancy in prime locations will support the sector.

Continued improvement of tourist arrivals in Singapore will be a positive for the city’s retail property sector, reports Knight Frank.

Prime retail rents are expected to increase between 2% to 4% in 2024, supported by  ongoing normalisation of travel patterns, return-to-office momentum, and other post-pandemic recreational activities.

Tight occupancy levels continue to prevail in popular malls both in Orchard Road as well as suburban areas, the property firm said. These healthy levels are expeted to be maintained throughout 2024.

Many existing retailers are als oreportedly scouting new locations for expansion, Knight Frank added.

“At the same time, international brands look to set up new presence in Singapore to tap into the growing affluence and consumer strength of middle-class societies in Southeast Asia,” Knight Frank wrote in its latest commentary report.