Four-year slow: Industrial property prices rose 15% less than average
More industrial land and space are being released.
Industrial property prices have grown 18.8% each year for the past four years but have dramatically slowed this year at 3.9% due to more transactions for properties with shorter tenure in 2Q.
A report by JTC reveals that the occupancy rates of the overall industrial property market continued to fall, with this year registering 90.7% occupancy, 1.7 percentage points less than last year’s 92.4%.
Rentals, meanwhile, have moderated in 2Q, falling by 0.1% on a quarterly basis but rising 5% year on year, also significantly lower than the average increase of 10.2% per year over the past 4 years.