Apac logistic occupiers more cautious, but most still looking to expand: CBRE survey
According to CBRE, Singapore continues to stand out among logistics occupants, particularly for hi-tech manufacturing and life technologies industries. “Singapore continues to attract international occupants, due to its credibility as a strategically located, neutral, and stable logistics center,” states Graeme Bolin, CBRE’s Singapore head of occupier and leasing for industrial and logistics business.
However, development desire varies throughout individual markets. Based on the poll responses, India, the Middle East and Korea documented the biggest net expansion interest at 66%, 49% and 40%, respectively. Vietnam (34%), Singapore (33%) and the Philippines (33%) registered the next-highest attention levels, followed by Thailand (28%) and Australia (25%).
CBRE’s survey additionally revealed a switch amongst occupants towards even more cost-driven real estate techniques. Respondents rated lesser rental fees and better lease terms as the top factors influencing relocations and lease renewals, while lots of are also looking for distance to transport hubs, consumer bases, and supply chains to improve functional performance.
Graeme puts in that government-led infrastructure investments, combined with expansion by top-tier logistics competitors and durable resources inflows right into modern logistics assets, are strengthening Singapore’s role in the global supply chain.
Overall, 44% of CBRE’s survey respondents suggested trade-related regulatory challenges as a major concern, up from 32% in 2023. Nonetheless, respondents continued to rank economic uncertainty and price acceleration as the two greatest challenges dealing with occupiers in the next 2 years, at 60% and 56%, respectively.
Despite the unsure worldwide trade setting, numerous occupants are looking beyond short-term market volatility, says CBRE. Some 76% of its survey respondents suggested strategies to increase their real estate profile scale in the next three to five years, signalling positive outlook across the medium- to long-term outlook and a strong hunger for development, the company adds in.
The study, which in turn gathered answers from over 380 firms across Apac in between March and April, identified that occupants in China mainly steered the more careful sentiment, as a result of prospective unfavorable impacts from tougher US trade protocol. Just about 70% of participants in mainland China determined trade uncertainty as their leading hurdle in the next 2 years.
Logistics occupants in Asia Pacific (Apac) stay confident in long-term business prospects, in spite of growing cautiousness amidst ongoing trade protocol uncertainty. According to CBRE’s 2025 Asia Pacific Logistics Occupier Report, near-term confidence amongst occupiers has actually decreased this year, with 69% anticipating business performance to enhance in the subsequent two years, compared to 81% in 2023.
