Chart of the Day: 30-year leasehold industrial properties register steepest decline at 12.7%

As they also face continued stiffer competition.

Properties sitting on land with longer tenure are holding up better, as the persistent weakness in strata-titled industrial property transactions continued to exert downward pressure on industrial property prices in the final quarter of 2014. This is due to the limited supply of longer-tenure industrial properties after the Government halved the maximum tenure of industrial sites sold under its land sales programme from 60 to 30 years.

According to a report by Colliers International, based on preliminary caveat records as of January 2015, the average transacted prices of freehold/999-year leasehold multi-user industrial properties registered the smallest quarterly fall of 0.3% in 4Q 2014. This is followed by their 60-year leasehold counterpart where average transacted prices declined by 5.9% quarter-on-quarter (QoQ) and 30-year leasehold multi-user industrial properties which recorded the steepest quarterly price decline of 9.1%.

Compared to 4Q 2013, 30-year leasehold multi-user industrial properties also saw the largest price drop of 12.7%, whereas the average prices of 60-year leasehold and freehold/999-year leasehold multi-user industrial properties eased by 5.4% and 1.7% respectively.

Colliers adds that moreover, the Government’s ramp up of its industrial land sales programme in recent years has resulted in stiffer competition among 30-year leasehold especially after demand slowed down.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia