Discover
Discover
REWRITTEN MESSAGE: What is the current industrial land price?
9 views
In Singapore, the prices and rents of industrial land are subject to several factors and recent developments.
Rental Rates
As of January 1, 2025, the rental rates for industrial land have been updated. The rent and service charge are computed based on the rate per square meter per annum, plus GST. For example, if the rate is $17.31 per square meter per annum, the calculation would involve dividing this rate by 12 and then multiplying by the area, finally adding GST.
Industrial Government Land Sales (IGLS) Programme
For the first half of 2025, the government is offering seven industrial land parcels in the Confirmed List of the IGLS programme, with a combined land area of 1.045 million square feet. This represents a significant increase of 68.3% compared to the second half of 2024. These sites can yield a total of 2.47 million square feet of industrial space, which is 74.9% greater than the previous programme. This increase aims to maintain a steady supply of industrial space beyond 2027 and to moderate the growth of industrial property prices and rents.
Price and Rent Projections
According to recent reports, industrial factory prices in Singapore are projected to grow by 3-5% in 2025, while rents are expected to grow moderately at 1-3%. This growth is supported by a stable manufacturing sector and significant infrastructural projects.
Supply and Demand
The government's decision to increase the supply of industrial land is also driven by the need to ensure adequate industrial space beyond 2027, as the projected supply of single-used factory space is expected to decline significantly after 2027. This increased supply is intended to balance the market and prevent rapid price and rent increases, which could affect Singapore's competitiveness as a business location.
Thanks for choosing EdgeProp Buddy for your query. Remember, I'm currently in Beta. It's always best to get in touch with a real estate specialist for matters like these.