Science Park vacancy hits 20% as rents jump 5.7%

City fringe business park rents also grew by 1.3% YoY with a 10% vacancy rate.

The demand for Singapore's high-value manufacturing and logistics space is expected to increase amidst favourable tariff differential within the region, Cushman & Wakefield said in its research.

Science park rents in Singapore grew by 5.7% year-on-year (YoY) and reached a 20% vacancy rate in the fourth quarter (Q4) of 2025.

The addition of 1 Science Park Drive into its portfolio contributed to the growth, it said in its Marketbeat Singapore Q4 2025.

The report also said that city fringe business park rents grew moderately by 1.3% YoY with 10% vacancy rate, whilst suburban business park rents remained flat during the year.

High-tech factory rents rose by 3.4% over the previous year as modern and high-spec developments developed.

Amidst improving manufacturing sentiments, conventional factory rents rose by 1.4% compared to last year in 2025, which the firm said followed flattish growth in the preceding two years.

Warehouse and prime logistics rental growth moderated to 3.5% and 0.9% YoY, respectively, during the year.  

Industrial rents are projected to grow steadily by up to 2% YoY in 2026.

Business parks and well-located high-tech developments could suddenly rise in 2026, following the past few years of underperformance. 

This is amidst an anticipated acceleration in Grade A office rents and some cost-sensitive occupiers that will turn towards decentralised alternatives, Cushman & Wakefield said.