SINGAPORE: Prices and rentals for industrial space in Singapore fell further in the first quarter of 2016, declining by about 5 per cent compared to the same period a year ago, according to figures released by JTC.
Occupancy rates fell in tandem during the quarter, declining 0.6 per cent from the previous quarter.
The national principal developer and manager of industrial estates said on Thursday (Apr 28) that on a quarterly basis, prices and rentals fell 2.5 per cent and 2.7 per cent, respectively.
This is the fourth consecutive quarter where prices and rentals have declined on both a yearly and quarterly basis, bringing them to 2012 levels, JTC said.
About 2.4 million square metres (sqm) of industrial space will come on-stream over the next three quarters, and another 1.8 million sqm will be completed next year.
This compares to the average annual supply of around 1.8 million sqm and demand of 1.2 million sqm over the past three years, JTC said.
The supply glut is likely to "exert further downward pressure" on occupancy rates, it said.