1Q 2013 developers’ sales in the residential market remained buoyant despite the seventh round of cooling measures with 5,412 units sold. Private home price increase decelerated to 0.6 per cent quarter-on-quarter while rent increased 0.8 per cent quarter-on-quarter.
URA Shop Space Rental Index for the Central Region declined 0.6 per cent quarter-on-quarter as retailers showed growing resistance to further rental increases. Many are adjusting their business expectations amidst uncertainties in the global and local economies. Cost management has been a major focus as stiff labour supply conditions preside.
Though leasing interest and demand has picked up in the first 3 months this year after a quiet rental market in 4Q 2012, office rents in 1Q 2013 remained soft across most micro-markets.
Industrial market showed signs of cooling as prices and rentals of factory space moderate. Demand for strata-titled factories is unlikely to hit peak level last seen in 2012. Going forth, with pending supply of 6.41 million sq ft of business parks, downward pressure on business park rents is expected.
Source : Knight Frank