Rents, prices of industrial space hold steady in Q3: JTC

Rents and prices of industrial space in Singapore remained stable in the third quarter of this year compared with the previous three months, according to industrial land and infrastructure agency JTC Corporation.

The price index was up 0.1 per cent quarter on quarter, while the rental index was flat, the latest data showed.

Compared with a year ago, the price index edged down 0.1 per cent while the rental index inched up 0.1 per cent.

Meanwhile, the occupancy rate of the overall industrial property market, at 89.3 per cent, was unchanged over the previous quarter, but up by 0.2 percentage point from a year ago.

For industrialists looking to own production spaces, there were about 200 units in uncompleted developments available for sale at the end of the third quarter. These units totalled about 120,000 sq m of space.

JTC said it "will continue to develop new industrial facilities and estates that will meet the needs of industrialists, support their transformation and upgrading, and enhance their productivity and competitiveness".

For the rest of this year, another 340,000 sq m of industrial space is estimated to come on stream, while the figure for next year is estimated at 1.9 million sq m. In comparison, the average annual supply and demand for industrial space in the past three years were around 1.3 million sq m and 1.2 million sq m, respectively.

For the rest of this year, another 340,000 sq m of industrial space is estimated to come on stream, while the figure for next year is estimated at 1.9 million sq m.

JTC also said that based on the number of caveats lodged for industrial properties, transaction volumes in the third quarter of this year fell by 20 per cent compared with the previous quarter but were up 2 per cent from a year ago.

A version of this article appeared in the print edition of The Straits Times on October 25, 2019, with the headline 'Rents, prices of industrial space hold steady in Q3: JTC'. Print Edition | Subscribe