Chart of the Day: Warehouse space occupancy grew 0.8ppt in Q2
A rise in e-commerce sales contributed to the segment’s growth.
This chart from EDMUND TIE revealed that the occupancy rate for warehouse space grew 0.8ppt QoQ to 88.3% in Q2. Occupancies of single-user factory spaces climbed, whilst it declined for business parks. The figures for multiple-user factories held relatively steady.
The growth in the warehouse space was largely attributed to a rise in e-commerce sales and a trend of stockpiling by supermarkets. According to data from the Department of Statistics, online retail sales accounted for 18.1% of the total retail sales value.
Based on JTC’s estimates, islandwide net absorption expanded from 1.3 million sqft in Q1 to 1.6 million sqft in Q2, but net supply reversed from 2.1 million sq ft to a negative 301,000 sqft over the same period.