Industrial property prices rose 0.9% QoQ in Q1, 2021

However, prices are still 1.3% down on a year-by-year basis.

Prices and rentals of industrial spaces in Singapore have continued to rebound, as it recorded a 0.9% QoQ increase on prices of industrial properties whilst rents climbed 0.6% QoQ, according to data released by JTC.

However, the numbers are still down on a YoY basis, as the price and rental indices fell by 1.3% and 0.9%, respectively.

Whilst one million square metres (sqm) of industrial space was initially expected to be opened up in Q1, only 131,000 sqm of projects were actually completed as delays continue to persist. As of the end of March, around 2.4 million sqm of new industrial space was expected to be completed over the next three months.

Meanwhile, the occupancy rate for the overall industrial property market inched up 0.1 percentage points QoQ, and 0.8 percentage points YoY to 90%.

JTC noted that the demand for industrial space is projected to increase as the economy starts to recover in 2021.

"Any potential rise in occupancy is likely to be tempered by new completions and the increase in supply into the market. As such, prices and rentals are likely to remain stable" JTC said.