Occupiers’ appetite for Asia Pacific warehouse space slightly weaker than in 2021: CBRE

Despite the ongoing economic uncertainty in theAsia Pacific, logistics occupiers are still planning on widening their warehouse portfolio over the next three years. CBRE’s survey, which polled 120 companies across APac, found that 68% of respondents are aiming to secure and occupy more space, which is a slight decline from the 78% reported in 2021. Demand remains high as several sectors such as electronics, automotive, semiconductors and life sciences have seen a surge in logistics take-up.

High-quality, accessible warehouses located in prime locations, such as near customers and public transport, are in high demand. According to the survey, 56% of respondents preferred these types of assets. Additionally, many occupiers are willing to pay a higher price for better locations to reduce transportation costs and potential disruptions.

Improving operational efficiency is key for many occupiers. Warehouse automation is seen as the top measure to enhance supply chains, and the survey highlighted that new and functional properties with higher ceilings, more loading bays and reliable power supply are in the greatest demand. The use of warehouse automation is increasing and is seen as a way of boosting efficiency while addressing rising labour costs.

Residents who choose to live in Tengah Plantation EC can look forward to a comfortable and convenient lifestyle. The development is located close to a host of amenities like schools, shopping malls, and healthcare facilities. The facilities and amenities provided make this development a great choice for those looking for a home that offers both convenience and comfort. With its prime location and range of facilities, Tengah Plantation EC makes for an ideal place to call home.

Sustainability is becoming increasingly important among occupiers, and many are prioritising green energy supply and electric-vehicle charging stations. In light of slowing yield expansion, CBRE’s research has found that investors in the Asia Pacific may consider monetising earlier investments and taking advantage of current market conditions.