Singapore office rents pegged to rise 6-10% in 2014
On back of improving demand outlook.
According to UOB KayHian, it expects office rents to rise 6-10% yoy in 2014, after bottoming in 3Q13, on the back of reduced supply and improving demand outlook
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Office segment is the bright spot with office REITs reporting revaluation gains of S$150m-390m in 2013, largely on improving rental outlook.
Ho Bee reported revaluation gains of S$490m upon TOP of The Metropolis project. Occupancies remained strong with office REITs reporting occupancies of 99-100%, while The Metropolis is over 92% pre-committed.