Keppel REIT clinches full occupancy for nine out of 11 office towers

Media and telco tenants grab the spotlight.

Keppel REIT yesterday reported that nine of its 11 completed office towers in Singapore and Australia have achieved full committed occupancy.

In Singapore, these buildings include Bugis Junction Towers, Marina Bay Financial Centre (MBFC) Towers 1 and 2, the North and South Towers at One Raffles Quay as well as Ocean Financial Centre in Singapore.

Occupancy at the newly-acquired MBFC Tower 3 has also increased to 97% from 94% when Keppel REIT first announced the proposed acquisition in mid-September 2014.

In 2014, rental rates for new leases and renewals at Keppel REIT's properties in the Raffles Place and Marina Bay precincts in Singapore averaged $12 psf per month, with a number of leases committed at $15 psf per month.

Meanwhile, leases that were reviewed during the year registered an approximate 17% positive rental reversion on average.

New tenants signed on in 2014 range from diverse sectors including banking, insurance and financial services, technology, media and telecommunications (TMT) sector, energy and natural resources, as well as real estate and property services.

In 2014, Keppel REIT saw an increase in demand from firms in the TMT sector for its properties in Singapore's central business district. The amount of space taken up by new TMT tenants was more than double that of 2013 as these companies locate to prime business addresses.

Over in Australia, the properties that have achieved full committed occupancies are 8 Chifley Square in Sydney, 8 Exhibition Street in Melbourne and 275 George Street in Brisbane.