Singapore industrial rents, prices rise in Q2 as occupancy edges down: JTC
Compared with Q2 2024, the rental index rose by 2 per cent, representing the 'smallest year-on-year increase' since 2021, said JTC.
Business park rentals had the highest quarter-on-quarter growth at 1.2 per cent. The year-on-year growth for this segment stood at 2.3 per cent.
The multiple-user factor segment logged 0.9 per cent growth on the quarter, and 2.2 per cent growth compared with the previous year.
Both the single-user factory and warehouse segments logged 0.4 per cent growth compared to the prior quarter, with the former recording 1.1 per cent growth on the year and the latter posting 1.9 per cent growth.
The price index of all industrial space climbed 1.4 per cent compared with Q1 and 5.5 per cent on the year.
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Multiple-user factory prices rose 1.7 per cent on the quarter, and single-user factory prices climbed 0.4 per cent. Compared with the previous year's Q2, multiple-user factory prices grew 6.4 per cent and single-user factory prices gained 3.5 per cent.
Overall occupancy rate for the industrial property market stood at 88.8 per cent, falling 0.2 percentage points compared to the previous quarter and the previous year. As at the end of Q2, there was 54 million square metres (sq m) of industrial property space, JTC said.
The slight decline was attributed to substantial new completions, such as World Gateway 2 in the warehouse segment and JTC Space @ Ang Mo Kio in the multiple-user factory segment, JTC said.
Notwithstanding this marginal decline, overall occupancy for the industrial property market has remained stable at around 89 per cent since 2023, JTC added.
Meanwhile, the occupancy rate for business parks rose 0.8 per cent on the quarter as tenants moved into newly completed developments.
In Q2 2025, demand for business parks rose by 63,000 sq m compared to Q1, JTC said.
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