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INDEPEnDENT MARKET STUDY
By Colliers international consultancy & valuation (singapore) pte ltd
macroeconomic trends
Review of Economic
Performance in 2009
Singapore’s real Gross Domestic
Product (GDP) contracted by 2.0%
year-on-year (YoY) in 2009, affected
by the global financial crisis that
was sparked off by the collapse
of Lehman Brothers in September
2008. This ended seven years of
economic expansion from 2002 to
2008, after the economy pulled out
of its last recession in 2001.
However, the extent of the
downturn in 2009 was mitigated
by the turnaround in the economy
in the second half of the year. Real
GDP expanded by 0.6% YoY in 3Q
2009, ending three consecutive
quarters of negative growth. This
improved to 4.0% YoY in 4Q 2009.
By industry sector, except for the
construction, business services and
other service industry sectors which
posted positive output growth, all
other sectors registered negative
growth in 2009.
Economic Outlook
The Ministry of Trade and Industry
(MTI) expects the Singapore
economy to expand by between
12%
10%
8%
6%
4%
2%
-2%
-4%
200
180
160
140
120
100
80
60
40
20
Year-on-year growth in gross domestic product (GDP)
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Source:
Department of Statistic/ Ministry of Trade and Industry
7.0% and 9.0% in 2010, following
a strong 13.1% YoY growth in 1Q
2010, according to its advance
estimates on 14 April 2010. This
was the second upward revision
from its earlier growth forecasts
of 3.0% to 5.0%, and 4.5% to 6.5%,
respectively.
Net new and potential supply of business and science
park space (as of 4Q 2009)
Net Floor Area (‘000 sqm)
2003 2004 2005 2006 2007 2008 2009 2010F 2011F 2012F 2013F
F: Denotes Forecast
Source: URA/Colliers International Singapore Research
Business and science parks
Existing and Future Supply
About 165,000 sqm of new business
and science park space was added
to the market in 2009, raising the
overall stock by 15.9% YoY, to 1.20
million sqm as of 4Q 2009. This was
the largest annual net new supply
2014F
74 Ascendas real estate investment trust