"The logistics sector continues to perform well overall, but the large new supply over the past year has loosened the market, with vacancy rates rising as some new properties struggle to fill available floors. The industry will face a number of challenges moving forward, including the sustained influx of new supply and labour regulations that may dampen operations. While prime logistics facilities remain fully occupied and even display rental growth, older facilities with outdated specifications in less desirable locations are expected to keep struggling."

"The resilient fundamentals and growth potential of the e-commerce industry offer a long-term positive outlook for the logistics market, which has led to the large upcoming supply. However, even sound demand is struggling to keep pace with the elevated supply in the market, and the industry also faces headwinds such as labour shortages and inflation. Although fundamentals remain strong, the market is likely to undergo a phase of adjustments for the time being."

"The strength in the occupational market, with its historically low vacancy rate, persistent rental growth and rebound in macro drivers, is sustaining investor interest and attracting new capital."

"As the e-commerce industry continues to expand, the demand for logistics services remains strong. However, a combination of substantial upcoming new supply and cost pressures on tenants due to inflation and labour shortages make rental growth increasingly difficult. Interest rate increases also threaten to soften yields, and investors might look to other sectors for opportunities."