Colliers International’s latest bi-annual survey on industrial real estate costs across Asia Pacific revealed that industrial property markets in most Asia Pacific cities have stabilised – reflected by a firm demand – after having performed poorly for the past 12 months due to the global financial crisis.

The report assesses rents, land and capital values of single-user industrial premises, as well as rents of multi-user high-specification factories, in 13 cities across 9 countries between the period of October 2009 and March 2010.

The stabilisation of the industrial markets across Asia Pacific was on the back of a turnaround of the economies in the United States and Euro-zone, which in turn, enabled the manufacturing sector in most Asia Pacific cities to improve.

In particular, export-oriented cities, such as those in China and Singapore, posted strong double-digit year-on-year gains in manufacturing output in 1Q 2010.  This contributed to a healthy demand for industrial properties across the region during the review period.

Research done on the markets revealed that rents, capital and land values for industrial premises in most of the Asia Pacific cities surveyed have hit bottom.