, Singapore
112 views

Singapore business park space vacancies at a record low of 14.4% in Q1

This is the lowest vacancy rate since Q4 2020.

The vacancy rate for business park spaces in Singapore fell by 1.1 ppt QoQ to 14.4% in Q1/2022, the lowest since Q4/2020. 

According to Savills, owing to the healthy take-up rate of prime business park developments such as Mapletree Business City and one-north, the vacancy rate in the Central Planning Region eased further by 2.3 ppts QoQ to a record low at 6.2% in Q1/2022. Coupled with the scarcity and steady demand in Mapletree Business City and one-north regions, Savills’ prime business park monthly rents rose by 0.6% QoQ to S$5.89 per sq ft. 

Here’s more from Savills:

While the vacancy rate in the West Planning Region fell by 1.8 ppt QoQ to 28.1% in Q1/2022, that in the East Planning Region continued to worsen to 24.2% (+2.3 ppts QoQ) due to softer demand from ESR Bizpark @ Chai Chee and Changi Business Park. To attract tenants to fill up the vacancy, some landlords of non-prime business park developments generally maintained their rental expectations. Hence, Savills’ standard business park properties monthly rents slipped by 0.1% QoQ to S$4.00 per sq ft in Q1/2022. 

What was interesting was that some firms upgraded from flatted factories to more prime and accessible high-spec industrial developments and yet managed to achieve rental savings by rightsizing and consolidating operations from various locations. 

Particularly, new highspec industrial projects such as UBIX and other well-located developments continue to experience good take-up rates. These market movements could have helped generate rental growth, resulting in an increase of 1.4% QoQ in the average monthly rent for Savills’ high-spec industrial basket to S$3.61 per sq ft in Q1/2022.

Follow the link for more news on

Join Real Estate Asia community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!