Industrial space will stay affordable

Industrial space will stay affordable

Sufficient measures are in place to ensure industrial space remains affordable, said Trade and Industry Minister Lim Hng Kiang yesterday, adding that the government is open to selling the remaining JTC factory space - mostly smaller flatted factories - to owners and occupiers instead of divesting to real estate investment trusts (reits).

The issue of the rapid increases in industrial rent and its impact on SMEs was one of the key concerns raised by MPs during the Budget debate.

Some of the measures in place to ensure that industrial space remains affordable include JTC's innovative infrastructure projects, including the Business Aviation Complex and the upcoming MedTech Hub and Surface Finishing Complex, some of which help reduce business costs for SMEs through innovative designs, or the up-front provision of capital-intensive facilities that can be co-shared.

In addition, more industrial land - 24 ha - was made available in the first half of this year; 20 ha was released every half year in 2010 and 2011, about 30 per cent higher than in 2008 and 2009. Included in the list of sites released were several small sites with short tenure.

Source: Business Times – 10 April 2012