The decline will be partially countered by the launch of data centres in the coming years.
This chart from Edmund Tie & Co. shows how the industrial property supply is set to taper off in the next three years. The annual average industrial supply of circa 7m sqft net lettable area (NLA) for the period Q2 2019 to 2022 is almost half the past three-year average of 13.2 million sqft NLA.
The supply decline, however, will be partially countered by the construction of seven data centres in the next few years which cover up 9% or 2.4 million sqft of the supply pipeline.
During Q1, warehouse supply hit 969,000 sqft followed by all industrial spaces at 646,000 sqft. Business parks have 161,000 sqft whilst multi-user factory supply was at 65,000 sqft.
Only single-user factories saw its supply decline in Q1.
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