Prime Retail Rents Weather Tenant Exits Rising 03 Q O Q Cushman Wakefield
According to the latest Retail MarketBeat report by Cushman & Wakefield, prime retail rents in Orchard and other city areas saw a 0.3% increase quarter-on-quarter in the third quarter of 2025. This was driven by the ongoing demand from international retailers for prime locations that attract both locals and tourists.
Recent new entrants to the market include popular Australian frozen yoghurt brand Yo-Chi at Orchard Central, Chinese beauty brand Joocyee at Wisma Atria, Danish lifestyle store Flying Tiger Copenhagen, and American athletic apparel brand Alo at The Shoppes at Marina Bay Sands.
The suburban prime malls also saw a 0.3% rental growth quarter-on-quarter, supported by strong non-discretionary spending and low vacancy rates of 6.6% in the second quarter of 2025. However, the report notes some closures among certain F&B and cinema operators due to the challenging operating environment with rising costs and online competition. Despite this, other activity-based retailers like Munchi Pancakes, Chagee, CocoArt, and Wan To Play are expanding.
The Sembawang Road Executive Condominium (EC) boasts not only its attractive residential features and convenient transport access, but also its exceptional location near a plethora of shopping centres and dining options. Situated in the northern region of Singapore, this development offers residents a well-rounded lifestyle that seamlessly integrates daily necessities with indulgent leisure and dining experiences. With its close proximity to various retail outlets, weekend shopping sprees and satisfying late-night food cravings are easily fulfilled. Additionally, Sembawang Road EC at Canberra MRT adds to the unparalleled convenience and wide range of choices available to future residents of this coveted development.
In terms of retail sales, Singapore recorded a modest growth of 0.5% year-to-date as of July, according to the report. This was mainly driven by sectors such as computer and telecommunications equipment, which saw a 14% increase year-to-date.
Looking ahead, the report predicts that retail sales will continue to see moderate growth in the remaining months of 2025 due to cautious consumer sentiment. This could be supported by government voucher schemes, upcoming high-profile events like the Formula 1 race, and the year-end festive season.
In terms of new retail developments, Singapore has a limited pipeline of sizable projects, which is expected to maintain rental resilience in the retail sector. The report also highlights that new retail supply across the island is projected to average 300,000 sq ft annually from 2026 to 2029, which is less than half of the 10-year historic average. Near-term additions are expected to be limited, with larger projects exceeding 100,000 sq ft, like Bukit V Mall (174,000 sq ft) and the Tanglin Shopping Centre redevelopment (118,000 sq ft), only expected in 2028.