OpenAI steps up Singapore footprint, in talks to lease 100,000 sq ft in Shaw Tower

Citi Commercial Pte Ltd

Amid the current wave of artificial intelligence companies on an expansion trail into Singapore, ChatGPT creator OpenAI is said to be in talks to lease about 100,000 square feet of offices at the new Shaw Tower in Beach Road.

The space that OpenAI is negotiating to lease spans five floors.

The 32-storey Shaw Tower, with 435,000 sq ft of office space, received its Temporary Occupation Permit in mid-June.

If a lease is concluded, this will mark a big step-up in the San Francisco-based technology company’s real estate footprint in Singapore. OpenAI currently operates out of flexible space operator The Work Project’s facility in CapitaSpring, where it is understood to be leasing about 100 desks.

OpenAI has big plans in the city state. In May, the group announced that it will open its first Applied AI Lab outside the US in Singapore and hire more than 200 specialised artificial intelligence professionals over the next few years as part of a S$300 million investment in the Republic.

OpenAI inked a memorandum of understanding with Singapore’s Ministry of Digital Development and Information which aims to advance applied AI innovation, build AI talent and make AI more accessible to citizens, enterprises and the public sector.

The bulk of the more than 200 planned hires are expected to be forward deployed engineers and other technical specialists.

Forward deployed engineers work directly with customers and organisations to customise and implement AI systems for specific business or operational needs.

Meanwhile, OpenAI’s biggest rival Anthropic has also set up shop in Singapore, leasing about 100 desks within The Executive Centre facility at Ocean Financial Centre in Collyer Quay.

Earlier in June this year, Anthropic signalled its intention to expand its Singapore operations as it advertised multiple job openings through its website.

The Republic leads Anthropic’s AI model Claude usage per capita globally, noted GIC in April this year.

Mistral, Sierra taking own offices

Several other AI firms are also sinking roots in Singapore. French generative AI unicorn Mistral AI told The Business Times that it recently leased a dedicated office space in Asia Square and that its team is scheduled to move into the space in early October once renovations are completed.

In May, the group’s CEO Arthur Mensch said the firm is looking to boost its headcount in Singapore from 40 to 100 by the year’s end to cement the Republic as its South-east Asia hub.

Mensch said that Singapore is a “great place to hire from”, and that it will primarily employ local talent. He added that the firm has invested “multiple dozens of millions of dollars” into its Singapore operations.

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Keppel South Central in Hoe Chiang Road has also been attracting AI companies including Sierra. The conversational AI enterprise platform, set up a few years ago in San Francisco by Bret Taylor and Clay Bavor, is said to have leased about 10,000 sq ft with the first right for another 10,000 sq ft.

Sierra has also established a presence in Singapore through a partnership with Singtel earlier this year. The partnership will allow Singtel Singapore to tap Sierra’s conversational AI expertise for customer service.

At a Singtel event in June this year, Taylor shared that Sierra has hired about 30 people in Singapore – its fourth largest office outside the US.

The AI firm opened an office in Singapore in November last year, serving as its regional headquarters for the South-east Asia region.

Taylor is also the chairman of OpenAI’s board.

Manus on the move

Word on the street is that Manus AI is also heading to Keppel South Central.

The Chinese-developed, Singapore-based firm is said to have committed to taking about half of the 20,714 sq ft that flexible workspace operator Industrious (formerly known as The Great Room) has leased in the 33-storey building.

The Industrious facility occupies the entire Level 10 of Keppel South Central.

The Manus deal with Industrious is said to give it the option to take the rest of Industrious’ space on the 10th floor after a specified period. The Industrious facility officially opened in July.

The autonomous AI agent startup had earlier this year moved into Meta’s Singapore offices in Marina One, following its acquisition by Meta under a US$2 billion deal announced in December 2025.

Manus is moving out of Meta’s offices. This comes after China blocked the deal in April against the backdrop of heightened tech rivalry with the US, and required “the parties to withdraw from the acquisition transaction”. On Tuesday (Aug 11), Manus said it would “soon return to operating as an independent company”.

Shaw Tower at Beach Road, where OpenAI is negotiating a lease, has 23 office floors ranging from about 18,000 to 19,000 sq ft per floor in the low zone and 19,000 sq ft to 20,000 sq ft in the high zone.

The Business Times previously reported that the biggest tenant signed so far in the building is Allianz, which has leased about 78,000 sq ft in the low zone. Other tenants in the low zone include Industrious and Sanofi.

Tenants in the high zone include payments technology firm Adyen and BeOne Medicines.

The development also offers about 15,700 sq ft of retail/F&B offerings, including a rooftop restaurant.

The project houses about 21,000 sq ft of community-centric facilities.

The project is owned by Shaw Towers Realty, which sits under The Shaw Foundation Hong Kong. Lendlease was roped in to handle the development, project, construction, asset and property management.

Property consultants have been enthusing about AI firms entering and expanding in Singapore, helping to provide a new pillar of office demand on the island.

However, Savills Singapore executive director of research and consultancy Alan Cheong highlighted that “the AI technology is advancing rapidly – by the week – and we are not sure where the road will lead us to”.

“It is only when the tech stabilises that the AI firms can start developing permanent marketing and support roles. Only when this happens, we’ll know that AI is an additional pillar of office demand,” added Cheong.


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