SG Property Intelligence

Research evidence excerpt

SG Property Intelligence

J P M O R G A N Asia Pacific Equity Research

26 June 2026

CBD Grade-A rents in Singapore rose 0.8% QoQ in

2Q26

Singapore/ASEAN Property and

REITs

Core CBD Grade-A rents in Singapore rose 0.8% QoQ in 2Q26 to $12.50 psf AC Terence M Khi

per month, the sixth consecutive quarterly increase, as structurally tight supply

(65) 6882-1518

supports landlord pricing power. Prime office rents are up 1.6% in 1H26 and CBRE terence.ml.khi@jpmorgan.com

is keeping its ~5% YoY rental growth forecast for FY26, citing potential macro AC Mervin Song, CFA

stabilization with no meaningful new Grade-A completions through 2027. Core (65) 6882-7829

CBD Grade-A vacancy held at a record-low 3.3% in 2Q26, down from 7.8% in mervin.song@jpmorgan.com

4Q24, with Shaw Tower the only major 2026 completion and Newport Tower the J.P. Morgan Securities Singapore Private Limited/

J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

next key CBD Grade-A supply in 2027. Scarcity is pushing occupiers to pre- Morgan Broking (Hong Kong) Limited

commit to 2028 or 2029 projects, while demand breadth is widening with financial

services still active, AI firms moving from co-working into conventional leases,

and healthy take-up in decentralized submarkets, is contributing to islandwide

vacancy falling to 3.6% from 5.6% in 1Q26. (Source: CBRE, The Edge Singapore)

Companies

Link REIT - A good entry point; upgrade to Overweight. After an 11%

correction (HSI: -12%) from the peak in mid-May, we believe now is a good entry

point to accumulate Link REIT: (1) the 6.9% dividend yield is getting attractive;

(2) buybacks may start in July; (3) tenant sales & spot rents are stabilizing, and

rental reversion in FY28 could turn less negative (next operating data update in