Higher strata office and retail transacted values in 1H2025: Knight Frank
According to Knight Frank, the Downtown Core and the Rochor planning areas saw the greatest number of transactions. Caveats lodged show 44 units in the Downtown Core shifting hands for $471.1 million, though the company includes that the variety of real offers might be greater, as some purchasers selected not to lodge caveats.
Nevertheless, strata retail sales worth totalled $292.3 million in 1H2025, 35.5% more than the $215.8 million in 2H2024. The rise was underpinned by a somewhat higher number of bigger deals, claims Knight Frank. While most deals in 2H2024 were smaller deals of under $4 million, there were ten in 1H2025 that were above $5 million, consisting of four negotiated at above $15 million.
The biggest strata office deal by absolute price in 1H2025 was the sale of numerous units at 20 Collyer Quay for $91.8 million in March, followed by the sale of 3 units at Tokio Marine Centre in January for $67.5 million.
Therefore, total strata office space sales volume was partially higher than the second half of last year, inching up just 0.6% to $699.6 million in 1H2025.
In the strata office market, a total of 189 purchases were documented in 1H2025, greater than the 170 arrangements logged in 2H2024. Nonetheless, the average unit rate of strata office real estates sold declined, decreasing from $2,878 psf in 2H2024 to $2,787 psf in 1H2025.
Strata commercial offers viewed consistent momentum in 1H2025, according to a research record by Knight Frank Singapore. Cautions lodged show that both the strata office and strata retail industry recorded greater settled valuations in the first fifty percent of the year contrasted to the second fifty percent of past year.
In the strata retail market, there was an uptick in sales value in 1H2025, in spite of a low dip in volume. There were 113 strata retail deals in the very first fifty percent of the year, contrasted to 116 in 2H2024. “Just like strata workplace units, particular strata retail deals might not have been recorded as caveats were not lodged,” Knight Frank includes.
Looking in advance, the outlook for the strata industrial market continues to be speculative, amidst a backdrop of escalating geopolitical pressures, ongoing protectionist steps by the United States and intensifying worldwide conditions. In addition, the strata retail industry continues to be weighed down by increasing operating expense and moving customer behavior, prompting retailers to take on slow-moving development plans, states Knight Frank.
However, the firm marks that opportunities remain in both the strata office and strata retail markets. “Palatable and relatively competitive rate quanta in these particular niche segments supply timely and off-beat chances that can be appealing for cautious financiers and end-users,” says Mary Sai, executive administrator for capital markets at Knight Frank Singapore.
Among strata office complex in the Downtown Core, Manhattan House on Chin Swee Road emerged, logging 27 transactions in 1H2025. “A possible factor for the increased interest could be that financiers were acquiring to take advantage of a chance for a possible en bloc sale to happen,” the report adds.
Remarkable strata retail purchases in 1H2025 include the sale of units at Orchard Towers for $54.5 million, or $2,825 psf, in January. Typically, strata retail units negotiated at $3,004 psf in 1H2025, contrasted to $2,999 psf in 2H2025.
