Chart of the Day: Expect a decline in industrial space supply next year

There will only be around 12m sqft of space in the pipeline.

This chart from DBS Research shows that there could be a tapering down of industrial unit supply from 2018 onwards.

Whilst this year's supply sits at around 22m sqft., the amount of industrial units in the pipeline will significantly decrease next year to only around 12m sqft. In 2019, supply forecast is only at around 7m sqft.

"A drop off in supply in 2018 will ease pressures from industrial REITs. Downwards pressures to rentals and occupancy rates are expected to taper off in the medium term," DBS Research said.

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