Marina Centre, City Hall, and Bugis precincts reported lower rents. The challenging retail scene was proven by the drop in island-wide prime retail rents, which slipped 0.4% in the first quarter of the year.
According to the Singapore Retail Bulletin by Knight Frank, this was largely due to lower rents in the Marina Centre, City Hall and Bugis precincts.
Rents of prime spaces in Marina Centre, City Hall and Bugis precincts fell by 3.7% YoY as landlords continue to offer attractive rental packages to draw retailers.
On a yearly basis, prime rents at the Orchard Road reported precinct reported a 0.7% slump.
Meanwhile, average rents of prime spaces in suburban malls fell by 2.1% compared to one year ago.
“Whilst well-established and well-managed malls generally report strong footfall trends, some other suburban malls still grapple with weakening patronage and having to achieve the right retail trade mix in a bid to improve attractiveness for consumers,” Knight Frank noted.