Renting Commercial Office Space In Singapore: What Are Your Options?
While demand for leasable workspace in Singapore has been heavily impacted by the COVID-19 pandemic, market watchers and property experts are bullish that take-up of rental office space in Singapore would positively rebound as working in a brick-and-mortar workspace is more conducive for collaboration and innovation, while some tech executives even admitted getting “Zoom fatigue” while telecommuting.
In Singapore, you will be spoilt for choice when it comes to traditionally leased office space from budget-friendly small office space rental to large office space for rent. There’s Grade B, Grade A and Premium office space for rent, the last of which comes with superb specifications.
Many multinational corporations (MNC), particularly tech giants, lease a considerable amount of floor space or even an entire office building in Singapore for their Asia Pacific (APAC) headquarters or have established a Southeast Asia hub here.
Which Are The Best Places To Rent Office Space In Singapore?
Like house-hunting, leasing office space in Singapore can be an exciting but taxing affair as there’s many excellent places to rent office space. To lessen your mental exertion and make the search for your ideal rental office hassle-free and more enjoyable, we at OfficeFinder SG listed the best places for Singapore office space rentals. We also included prevailing office rental rates to help you pinpoint which areas are more suited to your budget.
1. Orchard Road
At the city-state’s iconic shopping belt, one can find prime office space for rent to different occupants, like trading firms, entertainment companies, and retailers. Office spaces in Orchard Road are highly coveted given the area’s status as a distinguished corporate address, in addition to being near residential communities of wealthy Singaporeans.
Monthly average office rents in the vicinity before negotiation ranges from S$8 - $11 per square foot (psf). While the minimum psf rate is slightly higher than those in Raffles Place in Singapore’s central business district (CBD), the top-end rental rate in Orchard Road is lower.
2. Raffles Place
Located at the city-state’s main CBD, Raffles Place is touted as Singapore’s premier commercial hub. Housing a multitude of towering skyscrapers, the area is widely-regarded as a prestigious business address.
Consequently, many companies, particularly multinational firms, have established a presence in Raffles Place, including law firms, financial institutions, accounting companies, and new media enterprises. As such, there’s brisk demand for Raffles Place office rentals, with office spaces in Raffles Place commanding monthly average rental rates of at least S$7 psf, while the top-end price is higher at $13 psf.
3. Marina Bay
Another prestigious corporate address within Singapore’s CBD is Marina Bay, which is hailed as the 360ha waterfront extension of the city-state’s bustling downtown. It is a key focus area of the government, which envisions it as an exciting and convenient place, where people can work, live, and play round-the-clock, in addition to strengthening Singapore’s status as a major global financial hub.
With a reputation similar to London’s 2nd CBD, the famed Canary Wharf, office properties in Singapore’s Marina Bay don’t come cheap, with average rental rates at S$11.88 psf per month due to the huge amount of premium office space for rent there. Despite the high rates, Singapore Marina Bay office rentals remain a top choice among multinational firms thanks to the plethora of amenities and landmarks in the area. The latter includes tourist-magnet Gardens by the Bay and the Marina Bay Sands, which offers luxurious accommodations to guests.
4. Tanjong Pagar
If you’re looking for affordable rental office space that is still within Singapore’s CBD, then we suggest Tanjong Pagar, where the minimum rent for office spaces stands at S$4.50 per month.
But if you can spend more on workspaces with better specs, there are some office spaces there where the rent falls at the area’s maximum rate of S$13.00 psf, including but not limited to grade A plus Guoco Tower. Situated at Tanjong Pagar’s heart, the 290m-tall skyscraper is currently the record-holder for Singapore’s highest building. If you prefer a trip down memory lane, you can also rent an office inside heritage shophouses, which showcases Singapore’s rich history.
5. Bugis & Beach Road
Another preferred location for those looking for an office lease that won’t empty their bank account are workspaces in the vicinity of Bugis and Beach Road, where you can be a tenant for as little as S$4.80 psf per month.
However, renting office space there means being situated on the edge of the city-state’s CBD. Nevertheless, these places are near Marina Centre, a massive mixed-use project on reclaimed land that comes with grade a offices and hotels, as well as facilities for meetings, incentives, conferences, and exhibitions (MICE). Another selling point is that the vicinity is within proximity to Bras Basah and Bugis, which are known for their flourishing arts, cultural, and entertainment scene, on top of being educational hubs.
If you can splurge more in renting offices in Singapore, but can’t really afford the entry-level rates in Singapore’s CBD, then we recommend the HarbourFront. At this popular business district, you can lease premium office space that offers breath-taking views of the sea, at a budget-friendly starting rate of S$6.30 psf per month.
More importantly, the office crowd in the vicinity have convenient access to a myriad of amenities at the nearby VivoCity and HarbourFront Centre. Apart from the high-quality office space there, there are many entertainment options as well. HarbourFront also has excellent transport connectivity and is just a few minutes by car from the CBD.
7. Other Good Areas
Besides the above listed places, another top place to rent SG office spaces is at the up-and-coming Jurong Lake District (JLD), which is envisioned as the city-state’s 2nd CBD. Another is Paya Lebar, which was identified by the government as a key growth area in Singapore. We also recommend Marina Centre’s Suntec City, a large-scale waterfront integrated project.
For tech firms and startups, we suggest mega tech hub Mapletree Business City in Alexandra Precinct, likewise for Queenstown’s one-north, which is touted as Singapore’s biggest business park. Other good areas worth considering by would-be office tenants include City Hall, Bouna Vista, and the vicinity of Alexandra Road. Kindly note that asking rental rates at these locations vary.
What Is The Cost To Rent Office Space In Singapore?
According to publicly available statistics published by the authority, the average monthly office rental cost throughout Singapore hovers at S$9.58 psf. In particular, Grade A office space costs slightly under S$11 psf per month, making them the domain of thriving global firms.
But for would-be tenants who are price-conscious, we suggest taking up space in Grade B office buildings, where office space cost per square foot is more affordable at roughly S$6.50 per month.
Click here to find out more about the rent for office space in different districts and areas in Singapore.
Why Are Global Firms Leasing Office Space Here?
Renting commercial office space in Singapore is deemed as a strategic move by many multinational companies due to the city-state’s many positive attributes. Apart from being a major global financial hub, experts said Singapore has low corporate taxes, it’s easy doing business here, and the city-state enjoys political stability, unlike rival Hong Kong.
Global firms who establish a presence here also have access to a deep pool of highly-skilled workers. They also benefit from Singapore’s high-developed infrastructure, including superb transport connectivity, as well as stable and fast internet connection.
Singapore is also regarded as a neutral haven, in which companies that established a presence here are unlikely to face government policies contrary to their business interest, unlike what happened to Bytedance in the US and India.
Furthermore, US and Chinese tech giants consider Singapore as a gateway to Southeast Asia’s lucrative market, given the region’s 587 million population, many of whom are smartphone users. Thanks to the aforementioned selling points of Singapore’s office market, leasing a workspace here is deemed as a wise move.
Frequently Asked Questions
Some of the common questions about office space rentals in Singapore include the following:
What are the office space rental rates in Singapore?
The Singapore Office rental rates in the central region are ranging between $4.50 and $13.00 PSF/PM. The median rental rate for a top spot like Marina Bay is $11.88 PSF/PM, and for less desired buildings, the monthly rental rates could fall between $4.50 and $7.00 per square foot.
Do office rents include maintenance fee?
In general, office rents published on officefinder.com.sg are inclusive of maintenance fee, but subject to GST if the landlord is GST registered. Maintenance fee also known as service charges are the costs for maintaining the common areas of the commercial building that comprises building cleanliness, repairs, building security etc.
What office property types are available for rent in Singapore?
Commercial real estate listings published on our platform are predominantly used as an office. Apart from the traditional office space, a shophouse office with rich historical value is also ideal for office use. Business park, science park and high-tech industrial offices are best for businesses that engage in R&D, core media, data processing and E-Business. Medical offices are a specialised commercial space approved for healthcare practitioners.
What is the Length of an Office Lease in Singapore?
In general, office landlords are expecting at least 3 years lease term with some landlords accepting not less than 2 years lease. If you need a longer lease term, a 5 years lease is available in most grade A office buildings
How to rent office space in Singapore?
Finding an office space that both meets your needs and your budget is a stressful task. We recommend that you use a Tenant Representation service available on our platform. There is no service fee payable by you as a tenant.