In the third quarter of 2025, Singapore‘s private housing pipeline sprang back to life—and the numbers tell a story of rapid supply, quick absorption, and a market nudged by government land releases. Savills’s summary on third-quarter activity states that the island’s stock of completed private residential units (excluding executive condominiums) grew to 421,656 units by September 2025—an increase of 1,514 units (0.4%) in just three months. This growth spurt reflects a surprisingly large quarter of TOPs (Temporary Occupation Permits)—1,776 units completed this quarter, an increase from 341 in Q2.
What stood out in the data were three headline developments that accounted for the majority of new supply: Lentor Modern (605 units) at Lentor Hill in the OCR, Piccadilly Grand (407 units) at Farrer Park in the RCR, and One Bernam (364 units) in Tanjong Pagar in the CCR. All three projects achieved TOP status after construction on government land parcels awarded through the Government Land Sales (GLS) program. These developments are a reminder that the land-release pipeline from the state remains an important throttle for new private housing supply.
Here’s why TOPs are important: A Temporary Occupation Permit is the notification document that permits purchasers to occupy a development. Purchasers can occupy the buildings, which are usually apartments, if the structure is safe and essentially livable, even if major construction works, such as pools or landscaping treatment, remain unfinished or stored for protection; however, TOPs can only be issued when the flats are ready for keys. Essentially, TOPs are when the theoretical supply shifts to being practically available for occupation and leasing! It is also when the developer has finally completed all works to the point where they can recognize revenue. When this pivot happens in any given sub-market, it results in a change in the dynamics almost immediately.
However, this new supply did not exacerbate rising vacancy levels. In fact, vacancy tightened in the quarter across the island—Q3’s vacancy rate fell 0.2 ppts from Q2 to 6.9%, and the number of vacant units decreased 3.7% to 28,901 units. Savills attributes the decrease in vacancy to a spike in leasing activity during the quarter—particularly in the central markets—which was absorbed through completions faster than anticipated. The Core Central Region (CCR) reported the largest improvement, with a decrease of 0.8 percentage points; the Rest of Central Region (RCR) saw a vacancy improvement of 0.5 percentage points; while the Outside Central Region (OCR) maintained a constant vacancy level of 5.6%, although it had many new completions fully leased and still experienced strong demand for leases.
To rephrase this: developers produced units, and people moved in—from expatriates to owner-occupiers to those looking for newer units. This balance of supply and absorption is important because it indicates resilience in rental demand even as more homes are completed.
Through a policy lens: expect to see more swings in the pipeline. The GLS program will continue to feed the market—the volatility of the government’s semi-annual land sales round has the potential to add thousands of private units to the medium-term pipeline. The recent rounds of GLS for 2H2025 were designed to yield a certain number of homes; thus, if several projects were awarded to the GLS in prior cycles, we will likely see quarters with elevated TOPs.
Significant policy-driven supply could result in a residual number of units available for lease. The remaining question is whether or not the market will absorb the units or vehicle demand and whether or not the enterprise has had the same level of recruitment over time.
In the future, we will examine leasing dynamics and the outcomes of completions. If leasing continues to outperform new supply, rents and investor sentiment should remain on the upside, but if completions outstrip tenant appetites, vacancies could rise—especially in the OCR, home to the lion’s share of volume. Those looking to purchase or lease should view this decision in practical terms: TOPs create genuine move-in opportunities; for policymakers and developers, this option reminds you that timing and geography (CCR vs RCR vs OCR) matter significantly when releasing and marketing new housing stock.
The transit in the city-state, where land is the scarcest of resources, can be seen in quarters like Q3 2025, where only a few projects and only a handful of permits can quickly alter the terrain. Despite their modest numbers from a global comparison perspective, a few thousand units significantly impacted both the supply and the number of vacant units, highlighting the significant influence that small numbers can have in Singapore’s housing sector.
