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02-08-12, 21:17
http://www.businesstimes.com.sg/archive/thursday/specials/property/law-firms-taking-more-office-space-cbd
Published July 31, 2012
Law firms taking up more office space in CBD
Int'l law firms opt for new Grade A buildings with bigger floor plates
By Mindy Tan
EVEN as the challenging global economic environment inhibits expansion generally, law firms appear to be bucking the trend and expanding.
According to real estate firm Cushman & Wakefield, Singapore's office space is seeing growing interest from international law firms, with this growth spurred by a number of new market entrants, including UK-based firms Taylor Vinters, Withers, Lawrence Graham, Addleshaw, Goddard, and Freshfields, plus the expansion of existing Singapore-based firms such as Olswang.
"Firms are relocating due to a new breed of true international-quality Grade A buildings that have been built in the past three years. There were limited options before then," said Toby Dodd, country manager for Singapore at Cushman and Wakefield. "In Singapore, there had previously been a shortage of 20,000 square feet-plus floor plates but Marina Bay Financial Centre (MBFC) and Asia Square now provide these options."
Indeed, legal firms are showing a preference for these newly completed Grade A buildings, including Asia Square (White & Case), MBFC (Ashurst LLP and Clifford Chance), and Ocean Financial Centre (Stamford Law).
Said Matt Meyer, chief executive of Taylor Vinters: "Taylor Vinters' expansion into Singapore was client- led and a natural next step for us. Given our focus on technology, outsourcing and investment, Singapore represents a unique gateway to what our clients see as their growth markets."
The firm is currently operating out of serviced offices and has tasked Cushman & Wakefield to find appropriate office space within the Raffles Place and central business district (CBD) area.
Added Mr Meyer: "When it came to our office, we needed access to high- quality space within easy reach of our clients and the intermediaries whom we work with; a central location offered this, along with credibility. Fortunately, there is no shortage of modern and well presented office space in central Singapore offering the flexibility we need as we grow the business."
Indeed, firms are favouring relocation over renewal and expansion to accommodate the firm on a single floor and showcase the firm's customer focus through design-led fit-out, said Cushman & Wakefield.
Another notable trend is the preference for floor plate efficiency, with an average of 20,000-30,000 sq ft being taken up, and a preference for a cellular and open-plan hybrid office layout.
While the desire for occupiers to be efficient with their office space is not new, companies have become increasingly vigilant about costs - of which office rents form a significant portion - following the financial crisis.
Noted Mr Dodd: "These new buildings also tend to have larger and column- free floor plates, so big companies can reduce the number of floors they take in a building. The new buildings also provide better facilities and working conditions for staff."
He concluded: "Despite falling demand from occupiers, law firms are bucking the trend and expanding. And although the total space needs are far smaller than (those of) the financial institutions, it is a key barometer of confidence in the Singapore and Southeast Asian markets.
"This increased competition in the legal sector can only raise the bar in the quality of service available, thereby placing Singapore on the world stage for expertise in this arena."
Published July 31, 2012
Law firms taking up more office space in CBD
Int'l law firms opt for new Grade A buildings with bigger floor plates
By Mindy Tan
EVEN as the challenging global economic environment inhibits expansion generally, law firms appear to be bucking the trend and expanding.
According to real estate firm Cushman & Wakefield, Singapore's office space is seeing growing interest from international law firms, with this growth spurred by a number of new market entrants, including UK-based firms Taylor Vinters, Withers, Lawrence Graham, Addleshaw, Goddard, and Freshfields, plus the expansion of existing Singapore-based firms such as Olswang.
"Firms are relocating due to a new breed of true international-quality Grade A buildings that have been built in the past three years. There were limited options before then," said Toby Dodd, country manager for Singapore at Cushman and Wakefield. "In Singapore, there had previously been a shortage of 20,000 square feet-plus floor plates but Marina Bay Financial Centre (MBFC) and Asia Square now provide these options."
Indeed, legal firms are showing a preference for these newly completed Grade A buildings, including Asia Square (White & Case), MBFC (Ashurst LLP and Clifford Chance), and Ocean Financial Centre (Stamford Law).
Said Matt Meyer, chief executive of Taylor Vinters: "Taylor Vinters' expansion into Singapore was client- led and a natural next step for us. Given our focus on technology, outsourcing and investment, Singapore represents a unique gateway to what our clients see as their growth markets."
The firm is currently operating out of serviced offices and has tasked Cushman & Wakefield to find appropriate office space within the Raffles Place and central business district (CBD) area.
Added Mr Meyer: "When it came to our office, we needed access to high- quality space within easy reach of our clients and the intermediaries whom we work with; a central location offered this, along with credibility. Fortunately, there is no shortage of modern and well presented office space in central Singapore offering the flexibility we need as we grow the business."
Indeed, firms are favouring relocation over renewal and expansion to accommodate the firm on a single floor and showcase the firm's customer focus through design-led fit-out, said Cushman & Wakefield.
Another notable trend is the preference for floor plate efficiency, with an average of 20,000-30,000 sq ft being taken up, and a preference for a cellular and open-plan hybrid office layout.
While the desire for occupiers to be efficient with their office space is not new, companies have become increasingly vigilant about costs - of which office rents form a significant portion - following the financial crisis.
Noted Mr Dodd: "These new buildings also tend to have larger and column- free floor plates, so big companies can reduce the number of floors they take in a building. The new buildings also provide better facilities and working conditions for staff."
He concluded: "Despite falling demand from occupiers, law firms are bucking the trend and expanding. And although the total space needs are far smaller than (those of) the financial institutions, it is a key barometer of confidence in the Singapore and Southeast Asian markets.
"This increased competition in the legal sector can only raise the bar in the quality of service available, thereby placing Singapore on the world stage for expertise in this arena."