SINGAPORE: Twelve industrial sites have been released under the Industrial Government Land Sales (IGLS) Programme for the second half of 2016, amid a slowing economic outlook and weakening demand for factory space.
There will be seven sites on the confirmed list and five sites on the reserve list, with a total site area of 11.7 hectares, the Ministry of Trade and Industry said on Tuesday (Jun 28).
Compared to the first half of this year, when 10 sites with a total of 12.24 hectares were released, there are more sites being released now but with lesser space.
Prices and rentals for industrial space in Singapore have been on the decline, falling by about 5 per cent year-on-year in the first quarter of 2016, according to figures released by JTC.
It was the fourth consecutive quarter where prices and rentals declined on both a yearly and quarterly basis, bringing them to 2012 levels, JTC said.
All seven sites on the confirmed list for the second half of 2016 have a tenure of 20 years and are located at Tampines Industrial Drive, Tuas South Link 2 and 3, and Woodlands Industrial Park.
The five sites on the reserve list have a tenure of either 20 or 30 years, and are located at Tuas Bay Close, Tuas South Link 1 and 3, and Woodlands Height.
A site on the reserve list will be released for sale if an application is submitted for the site to be put up for tender with a minimum purchase price that is acceptable to the Government. It could also be put up for sale if there is sufficient market interest.