Singapore’s office market at the cusp of a bull run: CBRE
Premium office space in city center locations such as Marina Bay and Raffles Place remains to be in high need. IOI Central Boulevard, that is the last significant Grade A completion in the Core CBD until 2028, has actually accomplished around 90% commitment as of 3Q2025, additional emphasizing market strength, CBRE says. The firm believes the Core CBD Grade A workplace vacancy price could fall below 5% by the end of the year.
Outside the CBD, need is also encouraging. “Paya Lebar Green, completed earlier this year, is now completely occupied complying with Visa’s relocation that taken in the remaining spot,” observes David McKellar, CBRE’s Singapore head of workplace companies. As a result, workplace vacancy rates in decentralised places have actually lowered from 7.9% in 2Q2025 to 6.5% in 3Q2025.
Meanwhile, Song anticipates rental development in the last quarter to be supported by continued occupier activity, bolstered by easing interest. CBRE has kept its full-year business office rental growth projection of about 3% for 2025.
Workplace rents have now increased 2.1% ever since the begin of the year, with net absorption of roughly 510,000 sq ft, leaving out supply eliminated for redevelopment.
The Singapore business office market is observing the start of a bull run, continuing a higher trajectory developed over the last three quarters, says CBRE. Study by the property consultancy found that gross effective leas for Grade An offices in the Core CBD expanded 0.8% q-o-q to $12.20 psf each month (psf pm) in 3Q2025, noting a third successive quarter of growth.
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Looking forward, McKellar expects occupants to increase decision-making to protect top-notch spot as stock remains to diminish, particularly for large adjoining spaces. “Beyond strata and smaller sized redevelopments, upcoming options are several, with Shaw Tower (2026 ), Skywaters (2027 ), Clifford Centre Redevelopment and Comcentre Redevelopment (2028) on the horizon to provide some alleviation down the line,” he claims.
The persistent development is underpinned by resilient occupier need and securing supply, with CBRE data presenting openings rates for Core CBD Grade A workplaces tightening up from 5.9% in 1Q2025 to 5.1% in 3Q2025. “Regardless of the prevailing international financial doubts, the market has actually shown remarkable durability,” says Tricia Song, CBRE’s head of research for Singapore and Southeast Asia.
