Oxley

Oxley: Strata-titled freehold industrial project along Paya Lebar, AZ@Paya Lebar has been selling at record high prices on the back of keen interest, with units at above $1,000 psf, given the soaring prices of strata-titled industrial property. Developer, Ascendas, could be pricing in the idea of Paya Lebar being a thriving business hub. SLP International Property Consultants, said that the property could be very popular with businesses, as it's a very good location, being so near the MRT, so many businesses may feel that the amount to pay is worth it. The recent tightening of development guidelines for industrial sites purchased under the Government Land Sales Programme has also helped to spur demand for projects sitting on freehold, privately-held land. We note that news could be beneficial to Oxley Bizhub similarly located at Paya Lebar, which is already selling at $700-800 psf with 60-yr lease. Other beneficiaries include Industrial REITs, e.g Ascendas REIT, Cambridge Logistics, Mapletree logistics Trust and Cache Logistics.