Singapore’s office market at the cusp of a bull run: CBRE
Premium office space in city center locations like Marina Bay and Raffles Place continues to be in higher need. IOI Central Boulevard, that is the last significant Grade A completion in the Core CBD until 2028, has actually achieved roughly 90% commitment as of 3Q2025, further emphasizing market stability, CBRE states. The company believes the Core CBD Grade A workplace openings price might drop below 5% by the end of the year.
The Singapore workplace industry is observing the start of a bull run, continuing an upward trajectory established over the last three quarters, states CBRE. Research study by the property consultancy found that gross effective rents for Grade An offices in the Core CBD expanded 0.8% q-o-q to $12.20 psf monthly (psf pm) in 3Q2025, noting a third successive quarter of growth.
Outside the CBD, demand is also encouraging. “Paya Lebar Green, finished earlier this year, is now completely taken up following Visa’s relocation that taken in the remaining spot,” notes David McKellar, CBRE’s Singapore head of workplace companies. Therefore, office vacancy rates in decentralised places have actually decreased from 7.9% in 2Q2025 to 6.5% in 3Q2025.
Looking ahead, McKellar anticipates occupants to speed up decision-making to safeguard premium space as stock continues to dwindle, specifically for big contiguous areas. “Beyond strata and smaller redevelopments, upcoming alternatives are several, with Shaw Tower (2026 ), Skywaters (2027 ), Clifford Centre Redevelopment and Comcentre Redevelopment (2028) on the horizon to provide some relief down the line,” he states.
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Workplace leas have today increased 2.1% because the beginning of the year, with net absorption of about 510,000 sq ft, omitting stock got rid of for redevelopment.
The persistent development is underpinned by resilient occupier need and securing supply, with CBRE data presenting vacancy prices for Core CBD Grade A workplaces tightening from 5.9% in 1Q2025 to 5.1% in 3Q2025. “Regardless of the prevailing worldwide economic uncertainties, the marketplace has actually shown remarkable durability,” remarks Tricia Song, CBRE’s head of research for Singapore and Southeast Asia.
On the other hand, Song expects rental development in the last quarter to be sustained by continued occupant activity, bolstered by easing interest. CBRE has actually preserved its full-year office rental development projection of approximately 3% for 2025.
