Thailand Industrial Property Rents Face Upward Pressure Amid Declining Vacancies

Key summary

Property consultancy Cushman & Wakefield Thailand reports that industrial property rents in the country could increase due to declining vacancies and limited new supply. In the third quarter of 2026, occupancy levels improved for both ready-built factories and warehouses, though average asking rents remained unchanged at 196 baht per square metre for factories and 160 baht per sq m for warehouses. Factory vacancy rates fell to 9.95% from 10.5%, while warehouse vacancies dropped to 13.6% from 14.7%. No new ready-built factories or warehouses were completed in the first nine months of 2026, keeping total factory supply at 3.42 million sq m and warehouse supply at 6.05 million sq m. Demand is driven by manufacturing activity, supply chain diversification, and logistics needs, while developers remain cautious about new launches. Serviced industrial plot prices rose to an average of 8.65 million baht per rai in the third quarter, with Bangkok leading at 14 million baht per rai. A total of 20,286 rai of serviced land is under development against available inventory of 222,388 rai.