Why Location Still Matters in Industrial & Commercial Property

Despite technological advances and flexible business models, one rule of real estate remains constant: location matters. For industrial and commercial property, location is often the key factor driving operational efficiency and profitability.

For logistics-focused businesses, proximity to expressways, ports, and airports reduces transportation costs and delivery times. For commercial tenants, being near MRT stations, business districts, and high-footfall areas drives visibility and accessibility.

In Singapore, where land is scarce, the government’s zoning policies also play a crucial role in determining which areas are suitable for specific industrial activities. For example, high-spec industrial spaces in one-north cater to biomedical and tech companies, while Jurong remains a hub for heavy industries and logistics.

The rise of e-commerce has further underscored the importance of strategic locations. Businesses need distribution centers near urban hubs to meet fast delivery demands. For investors, this creates opportunities in logistics assets located close to the city and transport nodes.

Key takeaway: While sustainability, design, and amenities are increasingly important, location remains the foundation of value in industrial and commercial real estate.