\u2022 While there were still companies such as those from the technology sector looking to expand their operations, other tenants are in the process of contemplating \u2018rightsizing\u2019 as they adopt remote working practices.<\/p>\n\n\n\n
\u2022 Leasing activity also came from tenants looking for replacement space as they are being forced to move from older buildings slated for redevelopment later this year. Moreover, due to the construction delays in upcoming new buildings, tenants with expiring leases in the near term may renew their leases or look for alternative space now.<\/p>\n\n\n\n
\u2022 Sentiment amongst landlords of Grade A offi ces has been bolstered by delays in new supply, more workers returning to offi ces as limits on remote working measures get lifted and a healthy offi ce investment market.<\/p>\n\n\n\n
\u2022 The overall vacancy rate in Savills basket of CBD Grade A offi ce buildings continued to increase for a fourth straight quarter by 0.3 of a percentage point (ppt) to 7.3% in Q1\/2021.<\/p>\n\n\n\n
\u2022 In Q1\/2021, although the URA\u2019s offi ce rental index for the Central Region showed a 3.3% quarter-on-quarter (QoQ) increase, the average monthly rent in Savills basket of CBD Grade A offi ces fell for a fi fth consecutive quarter, albeit at a moderated pace of 1.2% QoQ, to S$9.41 per sq ft. We maintain our -5% YoY rental forecast.<\/p>","protected":false},"featured_media":0,"template":"","meta":{"_acf_changed":true},"kh_category":[16],"class_list":["post-4319","knowledge-hub","type-knowledge-hub","status-publish","hentry","kh_category-market-outlook"],"acf":[],"yoast_head":"\n