Commercial real estate in Asia Pacific continues to offer attractive returns to investors, led by office properties. This is according to the latest all-property DTZ fair value index for the third quarter. The index measures the attractiveness of commercial real-estate markets around the world. While the overall index score for Asia Pacific has dipped only slightly, suggesting a small drop in...
Singapore Office
Office rents in Singapore posted their biggest jump in the third quarter since the end of 2007, led by increasing demand from financial institutions, insurance firms and professional business-services companies. According to property consultancy CB Richard Ellis, prime rents in Singapore climbed 7.2 per cent from the previous three-month period, to $7.40 per sq ft per month. Major leasing deals in...
Office rents in Singapore posted their biggest jump since the end of 2007 in the third quarter, led by increasing demand from financial institutions, insurance firms and professional business services companies. According to property consultants CB Richard Ellis (CBRE), prime rents in Singapore climbed 7.2 per cent from the previous three-month period, to S$7.40 per square foot per month. Major leasing...
Germany’s Deka Immobilien has bought a Singapore office tower for about US$420 million ($545.5 million), broker Savills said on Tuesday, in a deal that crystallises a hefty loss on the price paid by owner Goldman Sachs in 2007. “The transaction reflects a 30% discount from the peak pricing of 2007 and prime rental levels remain approximately 50% below their peak in 2007,” said Craig Ward, a director...
Foreign investors are streaming into the local office market, attracted by the prospect of increasing values and returns that might be sweetened by a stronger Singdollar. Investors - many from China - are keen on high-quality strata-titled offices, which allow them to buy, say, one office storey rather than a far more expensive entire building. The office segment has turned a corner since the financial...
Singapore was the third-most expensive office location in the Asia-Pacific region in the third quarter of this year. According to property consultant Colliers International, it is the fifth straight quarter that Singapore has held that rank, with an annual gross rent of US$67 per square foot. That is a 15.6 per cent increase from the previous quarter. Topping the list is Tokyo, which remained in first...
Singapore Pools is understood to have purchased IOI Plaza, a landmark 12-storey granite office block at the corner of Middle Road and Prinsep Street, for $139 million. The seller is a unit of Malaysia's IOI Properties Bhd. This works out to about $1,381 per square foot (psf) based on a net lettable area (NLA) of about 100,640 sq ft. The site has about 85 years' remaining lease. Singapore Pools, whose...
Hong Leong Group have sold freehold Prime Centre on Middle Road for $103 million or $1,415 per square foot based on existing net lettable area of about 72,800 sq ft. Buyer ERC Holdings group, a private commercial school operator is said to be planning to renovate the property for use as an educational hub and hotel. DTZ brokered the sale of Prime Centre through a private treaty deal. Market watchers say...
The intersection of Choa Chu Kang and Woodlands Road looks set for a facelift as Far East Organization unveils a new mixed-development project that includes a shopping complex and a residential tower at the Ten Mile Junction site. Far East unveiled the commercial component of the development yesterday, eight months after the company won the tender for the site. The developer is investing $28 million in...
The office sector in the Asia Pacific continued to expand in the third quarter, with occupier demand increasing as a result of sustained economic growth, according to a report by DTZ Research on Thursday. The property researcher found that aggregate net absorption across the region has now reached pre-financial crisis levels, totalling 1.9 million square metres, compared with a low of 200,000 square...