Business Park Vacancy Rises as Demand Weakens in West and East Regions
What happened
Business park and high-specification industrial vacancy in the Central Planning Region dropped to 10.8% in the third quarter. However, demand weakened across older business park clusters in the East and West Planning Regions. This, combined with additional supply in the North Planning Region, pushed the islandwide business park vacancy rate up by 0.7 percentage points quarter on quarter to 22.8% in Q3, according to a Savills report.
From sbr.com.sg
Why it matters
The report indicates that while standard business park monthly rents rose 0.5% quarter on quarter, prime monthly rents increased more strongly by 2.6% quarter on quarter. The stronger performance of prime space reflects continued preference for newer, better-specified workplaces.
From sbr.com.sg
Who's involved
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- National Association of RealtorsSpeculative
The National Association of Realtors could track market trends based on the quantified data regarding regional demand and vacancy rates.
- First Citizens BankSpeculative
First Citizens Bank's loan portfolio could be impacted by regional demand weakening in the West.
- EnglandSpeculative
England's broader national property market could be impacted by regional demand weakening.