Singapore factory prices could grow by 3-5% in 2025

Rents are also projected to grow by 1-3%.

According to a Knight Frank report, a stable manufacturing sector continually receiving international investment, and significant infrastructural projects in the pipeline, will underpin demand for factory spaces in the year ahead.

The effect of continued albeit lesser than expected interest rate cuts will provide a shot-in-the-arm for sales activity of industrial properties by both local and overseas end-users and investors.

Here’s more from Knight Frank:

The business park landscape will continue to be challenging in 2025, especially for buildings that are dated and in need of upgrades to post-pandemic workplace standards. Prices and rents in the warehouse market are likely to be stable, while factory rents are projected to grow moderately at 1% to 3% in 2025. Factory prices could rise 3% to 5% for the year.

These will be sought by end-users, while investors will be in the market for properties with more than 20 years remaining on the land tenure.