Chart of the Day: See the slump in Singapore’s factory and warehouse leasing in 3Q

Tenants prefer to renew.

Factories and warehouses remain in a steady state as activity in the industrial leasing market slowed in Q3/2014.

According to a report by Savills, the reviewed quarter saw a 3.2% QoQ decline and is now at Q3/2013 levels with a total of 2,060 deals. The YoY growth is relatively slow as compared to the historical YoY growth for the third quarter in the past four years, averaging at 24.6% per year.

Savills adds that the tepid market is a result of the slowdown in the global economy and also the restructuring of the labour market. Tenancy renewals continue to dominate the market.

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