Over 427,000sqm of new leasable industrial space to be completed in Bangkok this year

And a further 378,000sqm is planned for 2026 to 2027.

According to a JLL report, prime grade warehouse rental rate in Thailand’s Greater Bangkok prime logistics market is expected to slightly decline in the near to medium term future as over 427,000 sqm of leasable space is expected to be completed in 2025 with a backdrop of over 378,00 sqm planned in 2026-2027.

“Amidst a competitive landscape, developers are expected to continue diversifying asset classes and locations within the logistics and industrial sectors. Growth in manufacturing should encourage solutions that capture both logistics and industrial demand,” the report added.

Here’s more from JLL:

Net absorption of prime warehouse was recorded at 66,100 sqm in Q2, the lowest figure since Q1 2024 despite the completion of significant built-to-suit supply in Wang Noi, Ayutthaya. This was due to reduced occupancy in the Eastern Economic Corridor (EEC).

As a result, the market vacancy rate increased by 1.0% to reach 11.4% in Q2 2025. Negative take-up in selected projects within the EEC drove this increase in the overall vacancy rate.

Sizable completion of BTS supply in the Northern Vicinity drives market growth

In Q2 2025, three projects were completed adding 125,500 sqm of net leasable area (NLA) to the market including SCX Logistics Bangna Km.20 – Phase 1, ESR Asia Bowin (W1/W2), and Big C Bang Pa-in Distribution Centre.

The completion of Big C Bang Pa-in Distribution Centre (Project 9 by Frasers Property), an 89,000-sqm built-to-suit distribution centre in Ayutthaya, demonstrated the growing demand in the Northern Vicinity Submarket by consumer goods retailers.

Sluggish rental growth persists as competition intensifies

The rental rate experienced a slight decrease to at 159 THB/sqm/month. The market average rental rate has remained largely unchanged over the past two years. This is due to increased market competition resulting from the entry of several new operators.

Overall market capital value saw a marginal q-o-q decrease of 0.2% to THB 31,505 due to the rental rate compression.