Cheap Office Rental
Finding Cheap office rental in Industrial Spaces for Office Use in Singapore
As a Singapore property agent, I’ve seen firsthand how businesses—especially small and medium enterprises (SMEs) and startups—are constantly on the lookout for cost-effective office solutions. With commercial office rents in the Central Business District (CBD) often stretching budgets thin, many companies are turning to an alternative: affordable industrial spaces that can double as offices. These spaces offer a practical, budget-friendly option without sacrificing functionality or accessibility. In this blog post, I’ll dive into why industrial spaces are a smart choice for office use, what to look out for, and some of the best locations in Singapore to find these hidden gems as of February 2025.
Why Choose Industrial Spaces for Your Office?
Industrial properties in Singapore, particularly those zoned as B1 (light industrial), are increasingly popular for office use due to their lower rental rates compared to traditional commercial buildings. On average, you could save anywhere from 40% to 60% on rent by opting for a high-spec industrial space over a CBD office. These savings can be a game-changer for businesses looking to allocate funds to growth, staffing, or operations instead of overhead costs.
What makes these spaces even more appealing is their versatility. Many modern industrial buildings come with office-like features—think air-conditioning, ceiling boards, and ample natural light—making them suitable for administrative work, creative studios, or even regional headquarters. Plus, they often include loading and unloading facilities, which can be a bonus for businesses with light logistics needs, like e-commerce ventures or firms handling small-scale inventory.
However, there’s a catch: the Urban Redevelopment Authority (URA) enforces a 60/40 rule for industrial properties. This means at least 60% of the space must be used for core industrial activities (like storage or light manufacturing), while up to 40% can be allocated for ancillary uses, such as an office. For pure office use, you’ll need to ensure your business aligns with this regulation or explore buildings with more flexible zoning, like business parks.
Key Benefits of Industrial Spaces for Offices
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Cost Savings: Rental rates for industrial spaces typically range from $2.20 to $3.50 per square foot (PSF), compared to $6.00 PSF or more in commercial hubs. Ground-floor units might command a slight premium, but upper floors are often even cheaper.
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Proximity to Transport: Many industrial estates are strategically located near MRT stations or major expressways, making them accessible for staff and clients alike.
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Customizability: Bare units allow you to design the space to your liking, while fitted units save you renovation costs and let you move in quickly.
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Corporate Image on a Budget: High-spec industrial buildings often boast modern facades and lobbies, offering a professional vibe at a fraction of the cost of a CBD address.
Top Locations for Cheap Industrial Office Spaces in Singapore
Based on my experience and current market trends in February 2025, here are some prime spots to consider for affordable industrial spaces that work well as offices:
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Tai Seng: Just a short walk from Tai Seng MRT, this area is home to buildings like Tai Seng Exchange and 3 Tai Seng Drive. These high-spec B1 and B2 properties offer office-friendly environments with rental rates starting around $2.50 PSF. The proximity to eateries and public transport is a big plus for employees.
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Kallang: Properties like Aperia and 163 Kallang Way offer modern facilities and are within walking distance of MRT stations like Bendemeer or Geylang Bahru. Rents here hover between $2.50 and $4.00 PSF, depending on the unit’s specs.
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Toa Payoh: Jackson Square and the Toa Payoh North Industrial Estate are popular with SMEs. At roughly $2.20–$3.50 PSF, these spaces are near residential areas, making them convenient for staff commuting from nearby estates.
What to Consider When Renting Industrial Space for Office Use
Before signing a lease, here are a few tips to ensure you’re getting the best deal:
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Check the URA 60/40 Rule: Confirm that your office needs fit within the allowable ancillary space. If you’re running a pure office setup, consult your agent to verify compliance or explore business park options.
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Fitted vs. Bare Units: Fitted units often come with air-conditioning and lighting, saving you renovation costs, but they may include a takeover fee. Bare units give you flexibility but require an upfront investment.
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Lease Terms: Landlords typically ask for 3 to 6 months’ deposit and leases of 3 to 5 years. Negotiate terms that suit your business timeline, especially if you’re a startup anticipating growth.
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Accessibility: Look for spaces near MRT stations or with ample parking if your team or clients rely on public transport or cars.
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Building Condition: Older industrial buildings might be cheaper but could lack the modern vibe you’re after. High-spec options, while slightly pricier, often deliver a better corporate image.
Final Thoughts
For businesses in Singapore looking to stretch their dollar without compromising on quality, industrial spaces offer an unbeatable mix of affordability and functionality. Whether you’re a startup needing a creative hub, an SME managing inventory, or an established firm cutting costs, there’s an industrial office space out there for you. As a property agent, I’ve helped countless clients find the perfect match—spaces that not only fit their budget but also fuel their growth.
If you’re ready to explore your options, reach out to me! I’d love to guide you through the latest listings, from bare-bones warehouses to swanky high-spec units, all tailored to your needs. Let’s find your next office space today—because in Singapore’s fast-paced market, the best deals don’t wait.
