Singapore CBD office rents reach record in tenth quarter of growth
Savills reported a 1.4% quarterly rise in overall Grade A rents, with low vacancies giving landlords greater bargaining power.
Monthly rents for Grade A offices in Singapore’s central business district reached a record S$10.56 per sq ft in Q3 2026, Savills reported. The tenth successive quarterly increase took annual rental growth to 5.2%, the fastest since Q3 2019, when it stood at 6.4%.
The consultancy linked the increases to low vacancy levels that favour landlords in lease negotiations. It said tenants faced few alternatives for relocation, while the substantial cost of fitting out new premises and reinstating existing space had made them more likely to accept rents sought by landlords.
Across the three office sub-grades, rents set fresh records. Grade AAA rents climbed 1.7% from the preceding quarter to S$13.83 per sq ft, their quickest quarterly increase since Q1 2019. The segment recorded growth of 3.5% over the first three quarters of 2026.
Grade AA rents rose 2.3% quarter on quarter to S$11.64 per sq ft, slowing from 2.8% in Q2 2026. The Grade A sub-grade registered a 0.7% increase to S$9.35 per sq ft, compared with 3.4% in the preceding quarter. Annual growth was 6.1% for Grade AA, 5.1% for Grade A and 3.7% for Grade AAA.
Every CBD micro-market tracked by Savills posted quarterly gains, ranging from 0.2% to 2.5%. Beach Road/Middle Road led with a 2.5% rise to S$8.55 per sq ft. Marina Bay rents increased 2.0% to S$13.95 per sq ft, exceeding the previous peak of S$13.75 per sq ft recorded in Q1 2015.
