What is the distinction between an office and a business park or B1 space?

What is the distinction between an office and a business park or B1 space?
Whether you are a scaling start-up or an established enterprise, you know that finding an office space that is right for you is a big challenge. To most of us, office and business park spaces seemingly appear identical, but they have several significant differences. Office spaces are primarily used for office setups only, with no ongoing production or construction work. B1 industrial spaces are meant for clean, industrial usage. The master plan of your building will show how each building has been zoned out. For example, office buildings are zoned as commercial, while areas for a business park are zoned as business park in the master plan.
We will have a look into the differences between the two below.

Use of the property

Commercial rental Singapore buildings are designed to be used as offices or for commercial purposes. They include office buildings, shophouses, retail malls, and hotels. Warehouses, workshops, factories, and other structures within this category are categorised under industrial buildings and are not classified as commercial buildings in Singapore. Most of the office buildings in Singapore are mostly located in the Central Business District.

B1 spaces comprise buildings for businesses with light industrial usage that require a large amount of storage space, such as those in R & D, IT, ICT, printing and publishing, and core media companies. Major business parks in Singapore are around Jurong East, Pasir Panjang, and Changi South.

A business park has many office buildings in a landscaped area. Most of these are situated in the outer suburban areas. They comprise mid-class modern industrial buildings with a scenic, revamped environment that offers several office amenities. The businesses that have set up offices there are mostly commercial enterprises.

Allowable Trades

All those areas or sites that are marked for commercial use are meant for general office use. Similarly, Business Park zones are designated for knowledge-intensive and research and development (R & D)-related trades. They are in high demand by tech firms and permitted by the government upon the condition that at least 60% of the space is to be used for their qualifying business functions, while the remaining 40% is to be used for ancillary services.

    Businesses suited for business parks include:

Back-end operations of financial institution
  • - Core Media
  • - Data centres
  • - Electronics
  • - Healthcare devices
  • - High-tech manufacturing
  • - Information Technology
  • - Product design
  • - R and D
  • - Service centres
  • - Software
  • - Software development and testing
  • - The technical support help desk
  • - Telecommunications

Rental rates

Office rental rates or rates for commercial properties tend to be higher than those for business parks. This is because the premises have an approved use, and business parks cannot run every type of business.

Rental rates for business parks are lower than office rental rates. However, they are usually higher than available industrial spaces, such as B1 or B2 industrial spaces.
The suitability of spaces for your office, whether commercial or industrial, depends on your company’s business type and the number of employees that will occupy the space. For example, you can save costs for your company if you go in for the concept of an open-plan office. It can also accommodate more people as compared to office spaces with many partitioned rooms.


Many small businesses in Singapore begin their operations at home. However, running a business from home may not result in an optimal working environment. Flexible working spaces such as serviced offices have now become a smart alternative to home offices. Serviced offices provide you with office space as well as shared spaces for meeting rooms and conference rooms. In addition, you can enjoy flexible lease terms, typically between 1 to 24 months, instead of long-term rental commitments with these flexible office leases that enable you to save more in the long run.

With serviced offices, you can move in immediately and start your work. GreenHub Suited Office @ Raeburn Park offers offices for rent in Outram Park. You can get fully furnished units ranging from 40 to 100 sq ft, accommodating your team members for up to 6 people. The flexible leases also include the utilities and the daily housekeeping service, a dedicated phone line, and a registered address.

Customisable designs and build-outs

Commercial buildings are meant for offices, so the floor plans for their facilities promote tenant satisfaction as well as foot traffic. In addition, such buildings emphasise both interior and exterior aesthetics, whether you're building a shopping mall or a store.

B1 properties include warehouses, distribution centres, etc., for business owners and budding entrepreneurs in e-commerce, technology, Fintech, healthcare, biopharma, and light manufacturing sectors. The design of these industrial properties prioritises function over aesthetics, and the focus is on manufacturing, distribution, and logistics. Thus, the focus of their design is on efficient production and industry safety standards.

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