JTC has enhanced the methodology used for compiling its Industrial Property Price and Rental Indices, so that they can better reflect market trends.
The indices had last been reviewed in the first quarter of 2000.
The new methodology includes expanded geographical coverage. Current indices cover mainly transactions in the Central region, where most multiple-user factories were located in the 1990s. The indices will now include transactions island-wide.
The previous methodology also did not account for property attributes affecting prices and rents, including location, remaining tenure and zoning, and used a 12-quarter moving average weights system.
As a result, changes in indices across periods may not have accurately reflected changes in market prices and rents, as they could be due to changes in the attributes of properties.
In contrast, the new methodology groups properties with similar attributes, and uses fixed weights in the computation of the indices.
This makes the indices more reflective of the changes in market price and rental, JTC said on Thursday.
The new methodology is being used from JTC's market report for the fourth quarter of last year, which was also released on Thursday.
It found the rents for industrial space fell 0.6 per cent quarter on quarter, and 2 per cent from a year ago.
Rents for multiple-user factory space rose 0.2 per cent quarter on quarter, but fell 0.7 per cent from a year ago.
Prices for industrial space fell 0.1 per cent quarter on quarter, but rose 3.5 per cent year on year.
Prices for multiple-user factory space fell 0.2 per cent quarter on quarter, but rose 4.4 per cent year on year.