In the dynamic landscape of modern business, the significance of the right workspace extends far beyond mere square footage and amenities. Renting an office space stands as a pivotal decision, one that encapsulates not only the physical environment where operations thrive but also a reflection of a company's ethos, culture, and aspirations. Within the bustling tapestry of options, each office space embodies a unique narrative, inviting businesses to craft their own stories within its walls—a convergence point where innovation, productivity, and collaboration intertwine.

If you have passed by Mapletree Business City, you might have thought it is a swanky Grade A office complex. In reality, it is a business park. Mapletree Business City is not the only location where you can find such top-tier business park facilities; you'll also find similar high-quality buildings in areas like one-north and Science Park. These buildings offer Grade A office features such as raised flooring, ceiling boards with lighting, floor-to-ceiling windows, centralised air-conditioning, and secured lift access, providing a conducive and modern working environment. What sets them apart is that they are typically more budget-friendly compared to Grade A office buildings, making them a cost-effective choice for businesses.

So why aren’t office occupiers flocking to them like bees to honey?  

1. Location and Accessibility: Grade A office buildings are often situated in prime and easily accessible central locations, which can be crucial for businesses seeking visibility and convenience for clients, employees, and partners.
2. Business parks, on the other hand, are usually situated in suburban or city fringe. Jurong East and Changi, in particular, are among the furthest from the central business district (CBD), with commuting times taking approximately 30-40 minutes. However, it's worth noting that the Singapore government is investing in the construction of new train lines to improve connectivity to these business parks, which could make them more appealing over time. 
3. Image and Prestige: Grade A office buildings are associated with a certain level of prestige, which can be important for businesses wanting to establish a strong brand presence. For certain industries, a prestigious addresses can be very important. 
4. Amenities and Facilities: Grade A office buildings often offer extensive amenities such as restaurants, food courts, fitness centres, hotels, and conference facilities within or near the building. These amenities can enhance the overall working experience for employees. 
5. Having said that, newer business parks are also incorporating more facilities and amenities compared to their older counterparts, making them increasingly attractive options for businesses.
6. Regulatory Requirements: The Urban Redevelopment Authority of Singapore (“URA”) has  defined business parks, specifying that they are intended for businesses involved in high-technology, research and development (R&D), high-value-added, and knowledge-intensive activities. 
7. If your company's operations align with these qualified activities, relocating them to a business park can be a strategic move to lower real estate expenses. For instance, it's observed that many banks have chosen to house their back-end functions in locations like Changi Business City. 

In conclusion, the choice between a Grade A office building and a business park depends on the specific needs and priorities of each occupier. Cost-effectiveness is certainly a factor, but other considerations such as location, image, and available amenities also play a significant role in the decision-making process.

Savills Singapore aids businesses in finding the perfect workspace, catering to diverse needs, whether it's a fledgling company seeking shared office space or multinational corporations in search of a customizable environment. Connect with us now to explore how we can support your requirements.