Premium grade office rents surge 6.1% in Q3: Colliers
The quarter-on-quarter increase was the highest in three years, and comes amid a continued shortage of office space in the central business district, the real estate services firm says.
SINGAPORE: Premium grade office rents in the Raffles Place/New Downtown area surged 6.1 per cent in the third quarter to S$11.67 psf per month amid a continued shortage of office space in the central business district, real estate services firm Colliers International said on Monday (Oct 13).
The 6.1 per cent quarter-on-quarter increase was the highest in three years, and was nearly double the 3.1 percent pace recorded in the second quarter.
Grade A office space in the Raffles Place/New Downtown area rose 2.9 per cent quarter on quarter to S$10.25 psf in July-September, while Grade A rents in the Shenton Way and Tanjong Pagar area gained 2.9 per cent to S$8.83 psf.
Colliers defines premium-grade offices as those found in relatively new buildings with large floor plates of more than 20,000sqft as well as intelligent features. Examples of such buildings include Marina Bay Financial Centre and Asia Square.
Grade A offices, on the other hand, refer to those in good quality buildings in strategic locations that are well served by amenities and transport nodes, for example 6 Battery Road and Republic Plaza Tower 1.
Colliers said the rise in office rents comes amid a supply squeeze, with the average occupancy rates of most micro-markets having breached the technical full occupancy rate of 95 per cent.
For instance, as of September 2014, the average occupancy rate for Grade A space in Raffles Place/New Downtown and Shenton Way/Tanjong Pagar stood at 97.2 per cent and 99.4 per cent, respectively.
- CNA/cy
- wong chee tat :)
Showing posts with label Raffles City Tower. Show all posts
Showing posts with label Raffles City Tower. Show all posts
Wednesday, October 15, 2014
Thursday, January 24, 2013
CapitaCommercial Trust reports 6.8% rise in DPU
CapitaCommercial Trust reports 6.8% rise in DPU
By Kristie Neo | Posted: 23 January 2013 1908 hrs
SINGAPORE: Singapore's CapitaCommercial Trust reported a 6.8 per cent increase on-year in its distribution to unit-holders for Q4 2012. This was mainly due to higher income from some of its buildings, as well as contributions from a newly acquired asset, Twenty Anson.
CCT, which includes buildings like Raffles City Tower, Capital Tower, Six Battery Road in its portfolio, reported a fourth quarter distribution per unit of 2.05 cents
For the full year, the REIT's distribution per unit rose 6.9 per cent to 8.04 cents. Its distributable income for the fourth quarter climbed seven per cent to 58.3 million.
The REIT said its occupancy rate increased to 97.2 per cent during Q4 2012 from 97.1 per cent in Q3, while Singapore's CBD average occupancy rate declined from 93.2 per cent in Q3 2012 to 92.2 per cent in Q4 2012.
Looking ahead, the REIT's manager pointed out that there is little risk of an oversupply in the Singapore office market -- just one new office building will be added to the supply in Singapore this year -- and the office rental market is showing signs of bottoming out.
Lynette Leong, CEO of CapitaCommercial Trust Management, said: "This year's supply is going to be quite low, at 0.8 million square feet. The average for the next three years is also going to be 0.8 million square feet. In the last three years, the demand was about 1.5 to 1.8 million square feet per annum.
"If you examine the rental trend, the rate of decline has also eased, so that is also another signal that the rent is reaching a trough. So we think that this year is a year that is poised for rental growth."
-CNA/ac
- wong chee tat :)
By Kristie Neo | Posted: 23 January 2013 1908 hrs
SINGAPORE: Singapore's CapitaCommercial Trust reported a 6.8 per cent increase on-year in its distribution to unit-holders for Q4 2012. This was mainly due to higher income from some of its buildings, as well as contributions from a newly acquired asset, Twenty Anson.
CCT, which includes buildings like Raffles City Tower, Capital Tower, Six Battery Road in its portfolio, reported a fourth quarter distribution per unit of 2.05 cents
For the full year, the REIT's distribution per unit rose 6.9 per cent to 8.04 cents. Its distributable income for the fourth quarter climbed seven per cent to 58.3 million.
The REIT said its occupancy rate increased to 97.2 per cent during Q4 2012 from 97.1 per cent in Q3, while Singapore's CBD average occupancy rate declined from 93.2 per cent in Q3 2012 to 92.2 per cent in Q4 2012.
Looking ahead, the REIT's manager pointed out that there is little risk of an oversupply in the Singapore office market -- just one new office building will be added to the supply in Singapore this year -- and the office rental market is showing signs of bottoming out.
Lynette Leong, CEO of CapitaCommercial Trust Management, said: "This year's supply is going to be quite low, at 0.8 million square feet. The average for the next three years is also going to be 0.8 million square feet. In the last three years, the demand was about 1.5 to 1.8 million square feet per annum.
"If you examine the rental trend, the rate of decline has also eased, so that is also another signal that the rent is reaching a trough. So we think that this year is a year that is poised for rental growth."
-CNA/ac
- wong chee tat :)
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