Meta to give up 7 offices totalling 115,000 sq.ft. in South Beach Tower
The landlord is close to finding a tenant for Meta on two of the seven floors of South Beach Tower.
Tableau departure
A few smaller departures occurred last year. Tableau’s lease on two floors expired in August 2023. Salesforce, the company that acquired data-analytics in 2019, has moved its office to Suntec City.
Sanofi-Aventis Singapore used to also lease two levels at South Beach Tower. But they renewed only one level and let the lease expire on the other in June 2023.
Datadog a new tenant
Datadog is the new tenant of one of those three floors. The Nasdaq company provides cloud application cyber security.
South Beach Tower’s pipeline of leasing enquiries is strong. We are currently in advanced negotiation with businesses from various industries including professional services and transportation.
The market will improve in the 2nd half of 2024, as inflation and interest rates ease. Also, the economy is strengthening and businesses are gaining confidence to start their expansion plans.
The asking rents for South Beach Tower are S$12.50 to S$13.50 each square foot (psf).
South Beach Project is slated for asset enhancement works worth S$4M in the second half 2024 and 2025. Most of the renovations are in the tower’s office. This includes transforming the main lobby at the ground level, the sky gardens on levels 11, 21, and 34 and the rooftop terrace into multi-purpose spaces for tenants to hold product launches.
The tech giant has decided not to renew its lease, which expires at the end this September. It’s believed the tech giant began moving out its staff from South Beach Tower during the first half of 2012, consolidating their teams at Marina One.
Meta confirmed in June 2012 that it was not renewing the lease of South Beach Tower. The move came after Meta’s second global layoffs of March 2023.
The seven floors, which are located in the highest zone of the South Beach Tower, add up 115,000 square feet of net rentable area. This is approximately 22.7% of the 507 395 sq ft total office space in South Beach Tower.
Offices are spread across 31 floors. Floor areas range from 18,000 sq ft – 20,000 sq. ft.
South Beach, a development completed in stages in 2015 and 2016 that includes offices and retail space as well as luxury residences, also features the JW Marriott, a hotel and luxury apartments.
A deal has been reached with a potential tenant to replace two entire floors in the Meta portfolio. However, the lease contract has not yet been signed. She refused to provide any further details about the tenant.
Meta will subdivide two more floors to meet the needs of tenants in the consumer goods and private wealth sector. The remaining three floors will be rented out as a whole floor or divided into smaller units, depending on the market demand.
Meta was one of the pioneer tenants at South Beach Tower. They moved in shortly after the Tower was granted a Temporary Occupation License in 2015. It is also the largest tenant in the building.
