Greater Jakarta logistics stock tops 3.1m sqm in 2025

Net absorption hit a record 489,500sqm for the year.

According to a JLL report, Greater Jakarta’s modern logistics market delivered a record-breaking performance in 2025, with net absorption reaching approximately 489,500 sqm — its highest-ever annual take-up, surpassing the previous peak in 2023. The strong full-year showing underscores sustained occupier demand, particularly across the eastern corridor, which remained the most sought-after logistics belt.

Demand was concentrated primarily in the eastern corridor, while the Depok–Bogor area saw comparatively limited activity. JLL said market occupancy remained healthy amid constrained availability, with overall vacancy tightening to 3.6% as of year-end. Tenant inquiries were led by electronics, automotive and food and beverage players, with Chinese companies continuing to feature prominently. Occupiers showed a clear preference for facilities offering assembly permits and operational flexibility.

On the supply side, the report noted that total new completions reached about 220,500 sqm in 2025, slightly lower than the previous year due to delays in projects initially scheduled for fourth-quarter delivery. Even so, cumulative modern logistics stock in Greater Jakarta surpassed 3.1 million sqm. Two projects were completed during the quarter in Jakarta and Karawang, including a new multi-storey warehouse by Genesis in North Jakarta. The development provides both dry storage for ambient goods and temperature-controlled space for frozen and chilled inventory.

According to the JLL report, rental growth remained modest but firm, supported by limited availability and strong demand for premium specifications. Prime projects in strategic locations with retrofit flexibility achieved higher rents, with Genesis reportedly commanding rates above IDR 100,000 per sqm for dry warehouse space.

Investment activity was led largely by conglomerates diversifying into data centres, hotels and residential assets, while Chinese funds entered the market to capitalise on manufacturing growth. Sovereign wealth funds were also active, primarily exploring partnerships and capital deployment opportunities.

Looking ahead, JLL said the eastern corridor is expected to continue leading new supply in 2026, followed by Tangerang. With relatively modest completions anticipated next year, total stock is projected to reach around 3.4 million sqm while vacancy remains contained at about 5%. A more substantial supply wave is expected in 2027.

Greater Jakarta’s established infrastructure base, stable economic conditions, rising foreign direct investment and expanding manufacturing sector are expected to underpin continued logistics demand. At the same time, Special Economic Zones are emerging as attractive alternatives, offering incentives that further strengthen the region’s long-term investment appeal.