Office fit-out costs in Singapore rise to $188 psf, highest in Southeast Asia
The standard expense of fitting out an office space in Singapore climbed 4.4% from $180 psf in 2022 to $188 psf in 2023, according to a review by worldwide real estate consultancy Cushman & Wakefield (C&W).
The higher costs in Singapore come as common fit out expenses continued to ascend across the Asia Pacific (Apac) region, even if at a slower speed compared to in 2023.
This makes office spaces in Singapore some of the most expensive to fit out in Southeast Asia for the 2nd year operating. The fee estimates more than 50% of the place is allocated to specific workstations and that the tenant has actually embraced flexible running systems post-pandemic.
According to C&W, the surge in costs was underpinned by continual stress factors throughout the worldwide supply chain, causing boosted delivery fees. The recurring conflict in Europe has actually minimized business flows and re-routed freight vessels away from the Suez Canal, adding around 10-14 days in transit time.
” Designing for a curated place of work experience is on the rise, with an ongoing emphasis on producing a location that contributes to higher frequency, greater performance, and a total increase in user experience,” he includes
In relations to global positions, London has one of the most expensive fit out fees globally at $355 psf.
C&W accentuate that creating offices that market performance, wellness and sustainability continues to be a top priority for tenants and even as they come to grips with cost difficulties.
Inside Apac, Japanese metros had the highest fit out expenses. Tokyo ($ 268 psf) took the main area followed by Osaka ($ 263 psf) and Nagoya ($ 258 psf). Singapore placed 14th in regards to standard fit out expense in Apac capitals.
Grant Carter, head of project and development services for Singapore at C&W, observes that the trip to quality pattern continues to be prominent, with more business opting for better outstanding buildings in business-strategic locations.
Among Southeast Asian metropolitan areas, Manila had the 2nd highest standard workplace fit out cost at $129 psf, followed by Bangkok at $144 psf.
