Thursday, May 29, 2008

Ho Chi Minh City Overtakes S'pore As Having World's Fastest Growth In Office Rrentals

Source : Channel NewsAsia, 28 May 2008

Vietnam's Ho Chi Minh City has overtaken Singapore as having the world's fastest growth in office occupancy cost.

The cost of renting office space in Ho Chi Minh City grew 94 percent in the last six months, according to a global survey by consultants CB Richard Ellis.

Skyscrapers in Singapore's Central Business District

Moscow was second at 93 percent, while Singapore took third spot with an 86 percent growth rate.

Still, Singapore made its debut among the 10 most expensive markets, coming in 9th, with office rentals averaging US$139 per square foot per month.

Dubai was another new entrant, taking tenth spot, with rents hitting US$128 per square foot per month.

Despite this, CB Richard Ellis said Singapore's growth in office occupancy cost is not expected to remain as strong in the coming years. It said the market peak is close at hand and rents could come down with the supply of new office space in the next few years.

London remains the most expensive office market, with rents hitting as high as US$300 per square foot per month, followed by Moscow at US$232 and Tokyo at US$220. - CNA/ir

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