Singapore industrial rents rise for fifteenth consecutive quarter in Q2

The all-industrial rental index increased by 1.0% during the quarter.

According to Colliers, the JTC All Industrial rental index continued its fifteenth consecutive quarter of growth in Q2 2024, surpassing its fourteen-quarter run from Q4 2009 to Q1 2013. 

The rental index rose by 1.0% q-o-q, slowing down from the 1.7% q-o-q registered in the previous quarter, the slowest quarterly growth since 1Q 2022.

Here’s more from Colliers:

Rental growth was positive across all segments, except for a slight decline in the business park segment. This is in line with marginal increases in occupancy across all segments. Multiple and single-user factory drove overall industrial rental growth at 1.5% q-o-q and 1.3% q-o-q respectively, while business park rents eased 0.1% after recording its highest quarterly growth (+2.1%) since 2Q 2017 in the previous quarter.

The price index grew by 1.2% q-o-q, reversing the 0.2% decline in the previous quarter to reach its highest level since 4Q 2015.

Both rental and price growth are expected to moderate in light of slowing global growth and higher supply.