Singapore's CBD May See Office-Space Demand Outpace Supply -- Market Talk

Dow Jones
2025/12/10

0630 GMT - Singapore's central business district may see office-space demand outpace supply over the next three years, DBS Group Research analysts say in a note. A robust flight-to-quality trend, together with sustained employment growth in the financial-services and professional-services sectors, have driven occupancy in core CBD grade A offices to around 95% and boosted rents above S$12.00 a square foot, the analysts note. Given likely minimal new supply averaging only about 310,000-630,000 square feet annually until FY 2028, core CBD rents are expected to surpass FY 2025's roughly 3% increase, with competition for high-quality spaces poised to intensify. Keppel REIT, which has a buy rating and target price of S$1.10, is DBS's preferred pick among Singapore's office REITs. Units are last at S$1.02. (ronnie.harui@wsj.com)

 

(END) Dow Jones Newswires

December 10, 2025 01:30 ET (06:30 GMT)

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