Singapore’s logistics and warehouse sector demonstrated resilience in Q2 2025, with new purpose-built facilities leading the latest completions, according to a report by according to a JLL report. Despite global uncertainties and cautious occupier sentiment, the sector saw significant developments, including DP World’s inaugural facility at Mapletree Benoi Logistics Hub and DHL’s new Pharma Hub at Jurong Pier.
The quarter’s completions were largely driven by owner-occupied, purpose-built facilities, with Mapletree Joo Koon Logistics Hub being the sole new multi-tenanted facility. Notable projects included DSV Pearl, Chasen Logistics Services’ new facility, and YCH’s warehouse extension. The first and final phases of Maersk’s World Gateway 2 and Tiong Nam Logistics’ facility at Senoko Loop were also completed.
Despite the cautious approach from occupiers, the average islandwide logistics and warehouse rent remained stable for the fourth consecutive quarter. This stability is attributed to the limited availability of quality space for lease. Capital values mirrored this trend, holding steady and maintaining yields unchanged.
Looking ahead, the report suggests that whilst domestic economic and manufacturing sector growth may slow, rents are expected to remain stable due to the limited supply of multi-tenanted space. Lower borrowing costs and sustained investor interest in logistics and warehouse assets are anticipated to support capital values and keep yields steady over the next 12 months.
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