Industrial space prices jumped 23.7% in 2010

Prices of multiple-user factory space increased by 6.3% in 4th Quarter of 2010, URA said.

Rentals of multiple-user factory space increased by 3.4%, compared with the increase of 5.3% in the previous quarter. For the year of 2010 as a whole, prices had increased by 23.7% and rentals had increased by 11.7%.

As at the end of 4th Quarter 2010, there was a total supply of 2.67 million sq m GFA of factory space from projects in the pipeline, from Government and private land sources, all of which were expected to be completed between 2011 and 2014.

The amount of occupied factory space increased by 178,000 sq m (nett) in 4th Quarter 2010, lower than the increase of 234,000 sq m (nett) in 3rd Quarter 2010. A total of 162,700 sq m of factory space were completed (granted TOP) in 4th Quarter 2010.

The vacancy rate of factory space was 7.2% as at the end of 4th Quarter 2010, compared with 7.5% as at the end of the previous quarter.