Maybank Kim Eng said it expects office rents in
Singapore to slide by 10 percent in 2013, after falling 12-15
percent over the past four quarters, as demand in the near term
is set to remain weak.
Marina One and DUO, two mixed use developments that will
come onstream five years down the road, are seen adding nearly
2.5 million square feet of prime Grade A office space, Maybank
"However, office players are in for a tough time as they
face stiff competition from other Grade A developments
completing from now till 2017, which may exert more downward
pressure on rents in the near term," Maybank said.
The broker added that the Singapore economy experienced a
contraction in the third quarter from the previous quarter, and
the government is guiding for subdued growth of 1-3 percent next
Maybank maintained its 'hold' rating on Keppel REIT
and Singapore Land Ltd. It has a 'sell' call
on CapitaCommercial Trust.
1048 (0248 GMT)