Office space prices drop 4.3% in Q2

The island-wide vacancy rate has increased to 12.1% during the same period.

Office prices saw a 4.3% fall in Q2, extending the 4% decrease experienced in the previous quarter, data from the Urban Redevelopment Authority (URA) revealed.

By the end of Q2, 668,000 sqm gross floor area (GFA) of total supply is in the pipeline, compared with the 682,000 sqm pipelined GFA in the previous quarter.

The amount of occupied office space lessened by 55,000 sqm (nett) this quarter compared with the decrease of 7,000 sqm (nett) in the quarter before. The office space stock grew by 43,000 sqm (nett) in Q2, compared with the rise of 33,000 sqm (nett) in Q1.

Resultantly, the vacancy rate of such properties have spiraled to 12.1%, up from 11% at the end of Q1.