Singapore prime retail rents slipped by 0.4 per cent in the first quarter this year, reports real-estate consultancy Knight Frank.

This was led by rents being lowered in the Bugis, City Hall and Marina Centre precincts, says the company’s Singapore Retail Bulletin. With landlords keen to attract retailers, the rents for the three precincts fell by 3.7 per cent year on year.

On a yearly basis, prime rents in Orchard Road eased by 0.7 per cent, while the average rents of prime spaces in suburban malls fell by 2.1 per cent.

Knight Frank says the Singapore retail market continues to be weighed down by soft global and local economic conditions, weak retail spending, rising business costs and last year’s labour crunch. The demand for retail space remains soft.