Singapore has been ranked the most cost-effective city to house staff despite its relatively high rents, according to recent research.
A report by Savills showed the city state topped Sydney and Moscow, offering better value for money when total accommodation costs were measured against gross domestic product (GDP) per capita.
Savills’ Director of World Research Yolande Barnes said the research used GDP per capita as an indicator of the potential for the income of the business relocating, saying absolute per square feet rents were a misleading indication of the total real estate costs faced.
“The value of real estate is higher where more corporate revenue can be generated,” Ms Barnes said.
“In other words, it is worth paying more to accommodate an executive team in Singapore with its high GDP than (in Mumbai).”
Singapore ranked sixth out of the ten most expensive cities on the total cost measure scale. Hong Kong, New York, London, Paris and Tokyo were the top five most costly.