The first half of 2026 saw a decline in transaction activity within Singapore’s strata commercial market, yet prices remained robust, according to Knight Frank Singapore. Executive Director of Capital Markets, Mary Sai, noted that despite eased transaction activity, strata commercial properties continue to be an attractive option for buyers amidst high office and retail rents.
In H1 2026, 136 strata office transactions were recorded, totalling S$352.1m in sales. This marked a decrease from 163 transactions in H2 2025, but the average price per square foot (psf) rose by 11.3% to S$2,476. The Downtown Core Planning Area led demand with 49 units sold for S$187.5m. Notably, the Kallang Planning Area experienced a surge in activity, reflecting growing confidence in its commercial prospects.
Freehold strata office sales saw a significant increase, with 46 units sold for S$124.9 million, a 72.6% rise from H2 2025. Conversely, leasehold sales declined by 19.8% to S$227.2m, although the average price per unit increased slightly.
The strata retail market experienced a 27% drop in transactions to 135 deals, with total sales value falling to S$336.1 million. Despite this, the market remains supported by larger price quantum transactions. Freehold retail sales dropped significantly, whilst leasehold sales maintained stability in total value.
Looking ahead, Knight Frank suggests that realistic pricing could stimulate market activity, particularly in city-fringe and decentralised office assets. The strata retail market may also appeal to owner-occupiers seeking certainty over occupancy costs amidst rising rents.
