City fringe office space are getting in demand due to relatively and reflecting a better propositions to potential tenants. While the monthly rate of grade A office in the city fringe location has gone upward by 18.4% in two years, it’s actually getting more affordable by 22% comparing to CBD Office.
Tenants are generally interested in Alexandra, Habourfront and Paya Lebar to maintain the accessibility while cutting monthly expenses. The redevelopment of various facilities such as Mapletree Business City, Alexandra Technopark etc has provided options to potential tenants.
With upcoming Greater Southern Waterfront transformation and the final phase of Circle Line MRT in progress, the real estate horizon in the city fringe is looking promising. Analyst encourage investors to consider city fringe properties such as those at Queenstown and Redhill, for better rental return as well as capital potential.
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