City fringe business park rents increased by 2.5% in the first half of 2021, on the back of its vacancy rates falling to 7.8% in the second quarter compared to 9.9% in the first quarter , according to a report by Cushman & Wakefield.
According to Singapore Cushman & Wakefield’s head of research, Wong Xian Yang, the performance of the different segments within the industrial market is in tandem with the K-shaped economic recovery, with those catering to growing industries recording rent growth, whilst the others had limited growth or contraction in rents.
For the second half of 2021, Cushman & Wakefield predicts that the K-shaped economic recovery will continue to characterise the performance of various industrial segments. Additionally, cold-chain logistics providers have heightened demand for spaces; many end-users have eagerly carved out cold storage spaces within their facilities for lease.