Singapore has ranked ninth on the list of the world’s most expensive office locations as of December 2010, jumping from 15th place in June 2010 and 24th position in December 2009.
This is in line with the increasing rents for Grade A Central Business District (CBD) offices in the country, according to Colliers International’s Global Office Real Estate Review.
As such, Singapore has returned to the top 10 most expensive office locations globally, after being excluded from the top 20 list in 2009, when office rents were down and more competitive due to the global financial crisis.
Released twice a year, Colliers International’s rankings in June 2008 saw Singapore in sixth place, with an average annual gross rental of US$125.06 psf. The December 2010 survey revealed that the country has an annual rental value of US$73.51 psf.
The December 2010 survey results also revealed that Hong Kong had the world’s most expensive office market, with an annual gross rent of US$191.97 psf. London’s West End ranked second with an annual rental of US$133.02 psf in December 2010, while Tokyo placed third with an annual rental of US$105 psf.
Commenting on the implications for Singapore’s competitiveness as an office location after the country’s climb to ninth position, Calvin Yeo, Colliers Executive Director, Office Services, said, “Demand for office space in Singapore continues to be strong despite the healthy supply.”
“This further endorses Singapore as a prime regional financial hub. In addition, our pro-business governmental policies will continue to ensure our city-state's overall competitiveness.”
Source: Commercial Guru
