Overall demand for Singapore upper-floor strata-titled factory unit decreased in Q1 2016, a record of 13.6% declined on quarterly and 41% declined for yearly basis to 108 caveats, this record is the lowest level over the past 10 years, Knight Frank reported to media.
Although the transactions for resale strata-titled development held sufficiently steady at 103 caveats, only 5 caveats lodged of new units are for sale, and the latter mainly involved factory space with 30-year leasehold tenure at Mandai Connection. Also, no subsale deals was recorded for this segment during the first quarter.
On the contrary, the freehold industrial units sale increased by 40% on a quarterly basis to 21 caveats, while leasehold transactions drop 27% to 70 caveats.
During the said period, only 7 caveats were lodged in upper-floor strata-titled warehouse sector and the rest were resale transactions.
Meanwhile, median price for upper-floor strata-titled factory unit declined by 1% in quarterly basis to S$422 per sq ft. The outcome is due to 13.9% drop of price to S$225 per sq ft of resale factory spaces with lease tenures 30 years and under.
However, average resale price of freehold factory units climbed by 1.8% to S$425 per sq ft considering there were many secondary transactions in higher-priced for such properties in first quarter of 2016.
Some of the new industrial include T-Space and Novelty Techpoint.
