The latest JTC Quarterly Market Report for Q4 2025 reveals a 0.4 percentage point decline in the occupancy rate for all industrial spaces, settling at 88.7%. This decrease is attributed to strong completions, which increased the total industrial stock by 345,000 square metres, reversing the previous quarter’s decline. Over the entire year, the occupancy rate fell by 0.3 percentage points as completions outpaced the increase in occupied stock.
The rental index for industrial spaces showed a moderated growth of 0.5% in Q4 2025, contributing to a 2.4% rise for the year. This marks a slowdown compared to the 3.5% increase in 2024 and is the slowest annual growth since 2021. Meanwhile, the price index rose by 1.4% in the quarter and 5.0% for the year.
To meet industrial demand, the Government has increased land supply through the Industrial Government Land Sales (IGLS) programme. In 2025, 10 IGLS sites totalling 12.8 hectares were awarded, surpassing the five sites totalling 10.5 hectares in 2024.
Looking ahead, approximately 1.0 million square metres of new industrial space is expected to be completed in 2026, with an additional 1.6 million square metres anticipated in 2027. This compares to an average annual supply and demand of 0.8 million and 0.6 million square metres, respectively, over the past three years. JTC anticipates stable occupancy and continued moderation in rental rates, barring a significant economic downturn. The organisation will continue to monitor market conditions and support industrialists’ needs.
