CONTACT US
Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting cushmanwakefield.com to read:%0A%0A {0} %0A%0A {1}

Prime Logistics Properties Continues to Outperform, Rising By 3.0% qoq in Q1 2022

Jayna Poh • 05/04/2022

Based on C&W’s basket of industrial properties, steady rental increases were observed across the board during the first quarter of this year, except for outlying business park space. Prime logistics properties continued to outperform, rising by 3.0% qoq in Q1 2022.

Similarly, high-tech properties also experienced stable growth during the quarter. Rents of factories rose gradually in the first quarter of 2022 given relatively tight vacancy rates as the bulk of supply is only expected to come onstream in the latter part of the year. City fringe business park continued to experience steady growth amidst tight vacancy. On the other hand, outlying business parks rents edged lower during the quarter as vacancy rates remain elevated. 

Broad-based growth in rents is expected across different types of industrial properties this year despite rising downside risks. Specifically, rents for business parks in both the city fringe and outlying areas are projected to increase in 2022 with the former experiencing higher growth rate due to their limited supply.

“Continued healthy demand is expected for high-tech, prime logistics and warehouse properties amid ongoing expansion from the biomedical, technology, manufacturing and logistics sectors, fueled by the exponential growth in e-commerce and business digitalization,” said Wong Xian Yang, Head of Research, Singapore at Cushman & Wakefield. “Ample supply of factory space coming onstream this year could add downward pressure on occupancy rates. Nevertheless, overall factory rents are still expected to rise in 2022, albeit at gradual rates as continued expansion in the manufacturing and logistics sectors would underpin healthy demand for factory space.”

Figure 1: Industrial Supply Pipeline

Figure1 - Prime Logistics Properties

Demand Supply Mismatch Sends Prime Logistics Rents Soaring

A very tight supply situation has sent prime logistics rents soaring, rising 3.0% qoq in Q1 2022. According to C&W’s basket of prime logistics properties, vacancy rates have fallen to below 5%.

 

Brenda Ong, Executive Director and Head of Industrial & Logistics, Singapore at Cushman & Wakefield said, “Third-party logistics players and end-users are actively looking for prime logistic space to meet stronger consumption demand and a ramp up of manufacturing production especially for semiconductors amidst Singapore’s re-opening of economic activities and a global shortage of semiconductor chips. With little available supply, tenants are biting the bullet and accepting significant rental increases. Future supply of prime logistics assets remains limited in 2022 with only a few major projects in the pipeline such as 2PS1, LOGOS Tuas Logistics Hub and LOGOS Penjuru Logistics Centre, among others. These projects are also substantially pre-committed. The current demand supply mismatch for prime logistics space could accelerate rental growth this year. 

-END-

Recent Press Releases

14-16 Dublin Road.jpg
Prime Freehold Residential Redevelopment Site on Dublin Road (District 9) Up for Sale by Tender at $49.8 million

Cushman & Wakefield (“C&W”) has been appointed as the exclusive marketing agent for a prime freehold residential redevelopment site on Dublin Road, District 9, having secured 100% consensus from the owners to launch the site for sale by tender.

Shaun Poh • 29/09/2025

Set-up office example in Tokyo
Asia Pacific’s Office Market Enters a New Era of Strategic Maturity

Asia Pacific’s office market is entering a new era of strategic maturity, driven by a decade of rapid expansion and growing demand for future-ready, innovation-driven workspaces.

Amy Kathleen Kelly • 19/09/2025

2024-2025 Asia REIT Market Insight.jpg
China Leads REIT Market Expansion in Asia while India’s REIT Market Demonstrates Robust Growth

China and India’s Real Estate Investment Trust (REIT) markets showed robust growth in 2024 and are expected to continue to attract strong investor interest this year, according to Cushman & Wakefield’s Asia REIT Market Insight 2024-2025.

Chek Yee Foo • 17/07/2025

APC Data Centre Construction per Capita_News Card Image.jpg
Malaysia, Thailand, Japan set pace on Asia Pacific data centre construction per capita through end of decade

Malaysia’s strong data centre development pipeline will see its population per megawatt ratio consolidate faster than any other Asia Pacific market between now and the end of the decade, with Thailand and Japan seeing the second and third fastest rates of consolidation, according to a new report from global real estate services firm Cushman & Wakefield.

Amy Kathleen Kelly • 12/06/2025

Global Data Center Market Comparison-web-card.jpg
Surging Demand for Data Infrastructure Fuels Real Estate Transformation Across Global Data Center Markets

Global Data Center markets are seeing surging demand due to relentless growth and expansion of cloud computing and AI workloads according to the latest report by Cushman & Wakefield (NYSE: CWK).

Chek Yee Foo • 08/05/2025

EMEA_ABSTRACT_AdobeStock_716595266.jpeg
Over US $100 billion needed to fund Asia Pacific data centre pipeline in the coming five to seven years:

APPROXIMATELY US $116 billion will be needed to build out the existing colocation data centre pipeline across Asia Pacific in the coming five to seven years.

Amy Kathleen Kelly • 27/02/2025

AdobeStock_658994266.jpeg
Could Perth Power Asia’s Data Requirements?

As power and land become increasingly hard to find for data centre operators, Western Australia is gaining attention as a potential future hub for the industry.

Amy Kathleen Kelly • 05/11/2024

Data-Center-Singapore.jpg
Singapore ranks 6th in Established Markets for Data Centers

Singapore continues to be a leading data center hub for its regional and global connectivity, despite the high property and construction costs when compared to neighbouring South-East Asian markets and other primary markets in Asia Pacific. 

Nandhini Rad • 06/06/2024

With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on Privacy & Cookies.
MORE OPTIONS
AGREE AND CLOSE
These cookies ensure that our website performs as expected,for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Agree All
Reject All
SAVE SETTINGS