CBD office rents break 15-month stagnation as new supply hits zero

Economic resilience and business recovery terminate five quarters of sub-1% movement.

Singapore’s Central Business District (CBD) investment-grade office rents rose by more than 1% quarter-on-quarter in Q4 2025, marking the second consecutive quarter of growth after five quarters of sub-1% increases between Q2 2024 and Q2 2025, according to a report from JLL.

The rental uplift was supported by falling vacancy rates, whilst no major office completions or withdrawals were recorded during the quarter.

Office demand in the CBD strengthened in Q4 2025, underpinned by economic resilience and a broad-based business recovery.

Leasing activity during the quarter included BNY taking space at Marina One and Pandora securing offices at Asia Square Tower 1.

New market entrants also contributed to demand, with software firm monday.com and digital marketing company Global One Media Group opening their first Singapore offices in flexible workspace facilities at 21 Collyer Quay and Marina Bay Financial Centre Tower 1, respectively.

Near-term supply remains constrained, with Shaw Tower slated for completion in 2026, followed by Solitaire on Cecil and Newport Tower in 2027. The refurbished 39 Robinson is expected to return to the market in late 2026.

Capital values also increased during the quarter, supported by lower interest rates and improving economic conditions.

Despite lingering concerns over global growth and potential impacts from US tariffs, business conditions have improved since mid-2025.

Looking ahead to 2026, continued vacancy compression and limited new supply are expected to tilt market conditions further in favour of landlords, supporting ongoing rental growth and firmer asset pricing.