Strata-Titled Industrial Units: Pros, Cons, and Key Considerations

Strata-titled industrial properties have gained traction among investors and business owners alike. These units, similar to condominium-style ownership, allow individual buyers to own part of a larger industrial building, often with shared facilities.

But are they right for you?

What Are Strata-Titled Industrial Units?

These are individual units within an industrial building, with ownership of shared areas (lifts, corridors, loading bays) proportionally divided among owners. This is common in Business 1 (B1) and Business 2 (B2) zones.

Pros of Investing in Strata Units

✅ Lower Capital OutlayPerfect for small investors or SMEs who want to own instead of rent.

✅ Easier to DiversifyYou can own multiple units across different locations or asset classes.

✅ Higher LiquidityEasier to sell than entire buildings due to smaller ticket size.

✅ Shared Maintenance CostsCommon areas are maintained jointly by MCST, reducing burden on individual owners.

Cons to Watch Out For

⚠️ Limited CustomisationUnlike standalone units, major alterations are subject to MCST approval.

⚠️ MCST Fees & DisputesRecurring management costs and occasional disagreements can occur between owners.

⚠️ Access & Usage ConstraintsShared facilities may cause loading bay congestion or limited 24/7 access.

⚠️ Harder to Attract Large TenantsMNCs or logistics firms often prefer standalone buildings for operational ease.

Tips Before You Buy

• Review the MCST budget and by-laws carefully

• Inspect the common facilities and lift/loading infrastructure

• Check tenant mix—units with strong tenant diversity reduce vacancy risk

• Be wary of over-supply in certain zones (e.g. certain parts of Woodlands or Ubi)

Strata units can be a smart entry point into industrial property—but only if you know what you're buying into.

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