There are many types of office space in Singapore to choose from. The selection will be determined by factors such as cost, accessibility, and many more. The costs required to rent office space can also vary. Renting office space requires careful thoughts and planning, and this guide aims to help you to decide the right office space for your business. Here are some things to learn about when selecting an office space in Singapore.
What To Consider When Renting Office Space In Singapore
Finding the right office space will depend largely on the location, facilities and accessibility for employees and clients, as well as the size of your business. For start-ups and many tech companies, the Central Business District (CBD) is a popular choice as it’s home to many multinational corporations and landmark buildings. Raffles Place continues to be the most sought-after area to rent an office in Singapore.
In Singapore, any tenant with a lease agreement is expected to carry public liability insurance in case of property damage, death, or any other type of loss that might occur while conducting business. The rental cost will be a regular monthly payment made to maintain ownership of your office space, and it comprises base rent based on the space available, service fees, and 7% tax on goods and services.
Remember, there is a normal service charge if you rent out office spaces in Singapore. These fees cover things such as power, water, security and other important services.
Where To Rent An Office Spaces In Singapore
This area is the core of Singapore’s business district, which is made up of Cecil Street, Church Street, Collyer Quay and Marina Bay Area.
Raffles Place has access to both the East West MRT Line and the North South MRT Line. Stores, malls, cafés, bars, gyms, and banks are also in the area. Some office buildings available in this district are 137 Telok Ayer Street, 18 Cross Street, CapitaGreen, 6 Battery Road, among others.
The lowest rental rate in District 01 is $4.80 (per month), with an average rental rate of $9.00 (per month), and the highest rental rate of $14.00 (per month).
Tanjong Pagar is within the CBD and connected with the East West MRT Line and the major expressways AYE and MCE. Some office space buildings available in this district are Afro Asia Building, 80 Robinson Road, 79 Anson Road, Capital Tower, and many more.
Rent rate starts at as low as $4 per square foot. In newer buildings, it can go up to $14 per square foot. The average monthly rental rate in District 02 is $8.00.
Harbourfront is a water-front district in Singapore’s south. It is linked to major expressways (AYE, MCE, and CTE) and serves as an interchange for the Circle Line and North-east Line. Some office space buildings available in this district are Keppel Bay Tower, Harbourfront Centre, and Harbourfront Towers.
The lowest rental rate in District 04 is $6.30 (per month), with an average rental rate of $7.25 (per month), and the highest rental rate of $8.50 (per month).
District 05 comprises Business Parks and B1 industrial buildings. Some office space buildings in this district are Ayer Rajah Avenue, Fusionopolis Space, 9 Buona Vista Drive Singapore.
The lowest monthly rental rate starts at $4.00, the average monthly rental rate is $6.00, and the highest rental rate is $8.90.
District 06 is located in the area of the City Hall Building, museums and Supreme Court Building. A number of office towers are located here, including Raffles City Tower, Suntec City Towers, South Beach Tower, Millenia Tower, Centennial Tower.
The lowest rental rate in District 06 is $7.50 (per month), with an average rental rate of $9.00 (per month), and the highest rental rate of $14.20 (per month).
District 07 is connected by Bugis, Esplanade, Nicoll Highway and Promenade MRT stations and Rochor MRT station. Some office space buildings in this district include Ho Chi Minh City’s M Building, Phu My Hung Tower, Tran Suan Xoan Building.
The lowest monthly rental rate starts at $5.00, the average monthly rental rate is $8.50, and the highest rental rate is $12.00.
District 09 covers the areas of Orchard Road, River Valley and Killiney. Connected to Somerset MRT, Orchard MRT, Dhoby Ghaut MRT and the new Great World MRT. Some office space buildings in this district are Wisma Atria, UE Square, Haw Par Centre, and many more.
Rent rate starts at as low as $4 per square foot. In newer buildings, it can go up to $9.00 per square foot. The average monthly rental rate in District 09 is $10.50.
District 11 is connected to the North South Line via two stations, Novena MRT Station and Newton MRT Station. Some office space buildings in this district include Novena Square, United Square, 510 Thomson Road.
The lowest monthly rental rate starts at $5.00, the average monthly rental rate is $6.50, and the highest rental rate is $8.50.
District 16, 17, 18
District 16,17, and 18 located in Singapore’s East. For District 16, it comprises Bayshore, Bedok, and Chai Chee. For District 17, it comprises Changi, Loyang, and Pasir Ris. As for District 18, it comprises Pasir Ris, Simei, and Tampines.
Some office space buildings in this district are Changi Business Park Central, Tampines Plaza. The average monthly office rental rate is $4.50, while the lowest rental rate is $3.60 and the highest rental rate is $5.50.
District 22 consists of the areas of Boon Lay, Jurong and Tuas. The nearest MRT station in District 22 is Jurong East MRT Station.
Some office space buildings in this district are Venture Drive, Westgate Tower, International Business Park, and many more. The average monthly office rental rate is $3.70, while the lowest rental rate is $5.00 and the highest rental rate is $7.30.
How Much Does It Cost To Rent An Office In Singapore
Rents are usually higher in the CBD, and are expected to rise another 25% by 2026, while prices are generally cheaper outside this area. When you rent office space in Singapore, it is important that you receive a quote that is accurate. The rent you pay is determined by the square feet that you rent.
If the office is 5,000 square feet (0.05 ha), the rent will be S$11.00 per square foot per month rather than S$55,000 per month.
According to information provided by the authority, with 665 leases signed, the median rent for a standard office space in Singapore ranged from S$2.51 to S$7.95 per square foot per month.
The Process Of Renting An Office In Singapore
If you are planning to rent an office space in Singapore, follow the requirements below for negotiating and signing for the tenancy agreement.
- Letter of Intent : The LOI is a very brief letter that shows the terms that a tenant will accept in their office lease agreement.
- Letter of Offer: A Letter of Offer will be issued once all the rent terms specified in the letter are met. The tenant will be given 7-10 working days to sign the Letter of Offer and return it to the owner along with a non-returnable security deposit.
- Tenancy Agreement: Tenants are given 2-3 weeks to sign their agreement and pay the rent. The landlord’s solicitors normally draw tenancy arrangements up in Singapore.
- Taking Possession: You may move in and take ownership of the property, or make renovations.
There are many things to consider in finding the right office space in Singapore, such as cost, accessibility, and many more. It’s preferable to get professional guidance from a qualified property advisor or an authority in this area if you are unsure of what you are searching for.