Singapore’s office market at the cusp of a bull run: CBRE
The persistent development is underpinned by resilient occupier demand and securing supply, with CBRE data presenting vacancy rates for Core CBD Grade A workplaces tightening up from 5.9% in 1Q2025 to 5.1% in 3Q2025. “Regardless of the prevailing global economic uncertainties, the market has actually demonstrated amazing durability,” mentions Tricia Song, CBRE’s head of research study for Singapore and Southeast Asia.
Norwood Grand City Developments Limited
Outside the CBD, interest is also encouraging. “Paya Lebar Green, finished earlier this year, is now fully occupied following Visa’s relocation that absorbed the remaining spot,” notes David McKellar, CBRE’s Singapore head of workplace services. Therefore, workplace vacancy prices in decentralised places have lowered from 7.9% in 2Q2025 to 6.5% in 3Q2025.
Meanwhile, Song anticipates rental growth in the last quarter to be assisted by continued occupant activity, bolstered by easing interest. CBRE has actually preserved its full-year office rental growth forecast of approximately 3% for 2025.
Workplace rents have now expanded 2.1% ever since the beginning of the year, with net absorption of roughly 510,000 sq ft, omitting stock eliminated for redevelopment.
Looking in advance, McKellar anticipates occupants to increase decision-making to secure top-notch spot as stock remains to decrease, especially for big contiguous areas. “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 relief down the line,” he says.
Premium workplace in city centre locations such as Marina Bay and Raffles Place remains to be in higher need. IOI Central Blvd, which is the last significant Grade A completion in the Core CBD up until 2028, has achieved approximately 90% commitment since 3Q2025, additional underscoring market sturdiness, CBRE states. The firm thinks the Core CBD Grade An office openings rate can fall lower 5% by the end of the year.
The Singapore business office industry is observing the start of a bull run, continuing an upward trajectory developed over the last 3 quarters, claims CBRE. Research study by the realty consultancy discovered that gross effective rents for Grade An office spaces in the Core CBD grew 0.8% q-o-q to $12.20 psf each month (psf pm) in 3Q2025, marking a third consecutive quarter of growth.
