The latest report by Knight Frank Singapore and the Dormitory Association of Singapore Limited reveals that the pressure on worker dormitory beds in Singapore has eased, with occupancy rates declining slightly from 98.3% in the first half of 2025 to 97.1% in the second half. This moderation comes amidst a 0.8% increase in the foreign worker population in the Construction, Marine Shipyard, and Process industries, totalling 460,300 work permit holders as of June 2025.
The report highlights the addition of new dormitory facilities, including the Pioneer Lodge at Soon Lee Road, which added 10,500 beds in 2025, and the NESST Tukang Dormitory, which opened in January 2026 with 2,400 beds. These developments have contributed to the easing of demand pressures.
Despite the stabilisation, the report notes that bed rents have seen a slight decrease, with the islandwide average falling by 1.0% to S$485 per bed per month in the second half of 2025. The east and central zones experienced stable or reduced rents, whilst the west saw a 1.1% decline.
Looking ahead, the report anticipates that the ongoing Dormitory Transition Scheme and New Dormitory Standards will lead to temporary supply constraints as dormitories undergo upgrades. This could result in moderate rent increases of around 5% in 2026. The Ministry of Manpower plans to mitigate disruptions by staging upgrade works to maintain a balanced dormitory ecosystem.
