Singapore’s industrial rental market has marked its 23rd consecutive quarter of growth, according to JTC’s Q2 2026 statistics. The JTC All Industrial Rental Index increased by 0.5% quarter-on-quarter, up from a 0.4% rise in Q1 2026. This growth persists despite global uncertainties, such as the Middle East conflict, highlighting Singapore’s stability as a business hub.
The single-user factory segment saw the most significant rental increase, with a 0.7% rise, although this was a slowdown from the previous quarter’s 1.0% growth. Notable completions in this segment included Advanced Substrate Technologies’ AST Building and KLA-Tencor’s facility at 22A Ang Mo Kio Industrial Park 2, pushing occupancy rates to 89.3%.
Multi-user factories experienced a 0.6% rental increase, with Space 18 being the sole project completion. This segment’s occupancy rate rose to 90.5%. Meanwhile, warehouse rents grew by 0.5%, with the completion of 25 Senoko Loop, maintaining an occupancy rate of 89.4%.
Conversely, business park rents decreased by 0.1%, despite the addition of 27 International Business Park. Vacancy rates in this segment fell to 22.1%, with prime properties maintaining firm rents.
The JTC All-Industrial Price Index also rose by 0.6%, marking the ninth consecutive quarter of price increases. This trend is supported by favourable domestic interest rates, with the 3-month SORA at 1.15% as of 23 July 2026.
Looking ahead, CBRE notes that Singapore’s AI-related manufacturing sector may bolster demand, despite ongoing geopolitical challenges. The Johor-Singapore Special Economic Zone, set for Q4 2026 launch, is expected to enhance investor confidence and cross-border collaboration.
