Average gross rents remained unchanged YoY at $13.5 (US$9.9) psm per month.
This chart from Colliers showed that the vacancy rate of warehouses was at 10.8% in Q1, down from 11.1% in Q1 2018.
The lower vacancy rate can be attributed to firm demand for warehouses in the quarter, with net absorption hitting 506,000sqft.
On the rental front, the average gross rents for warehouses remained unchanged YoY at $13.5 (US$9.9) psm per month during Q1.
Colliers expect logistics rents to remain soft for the rest of 2019, following its increase in the quarter.
“The limited buying opportunities should lead to modest yield compression for logistics and warehouse assets,” the report added.
Singapore was ranked seventh globally and second in Asia in the World Bank’s 2018 Logistics Performance Index. A WorldPay study stated that the nation’s logistics sector is tipped to expand by 48% to $10b (USD7.4b) by 2022.
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