The Philippine industrial property market remained resilient in the first half of 2026, holding firm despite higher energy costs, financing pressures, and a more challenging operating environment.
In its Property Pulse: Industrial coverage, PhilSTAR Property highlighted PRIME Philippines’ assessment of the country’s industrial and warehousing market. The report cited an average occupancy rate of 96.6% in the first half of 2026, demonstrating the sector’s ability to sustain strong space utilization amid broader economic pressures.
Logistics Demand Supports the Industrial Property Market
PhilSTAR Property also featured insights from Joy Rosario, Vice President for Industrial Tenant Representation at PRIME Philippines, who identified third-party logistics providers as a major source of demand. Transport and storage companies accounted for 45% of recorded space requirements, supported by the continued expansion of e-commerce and the need for stronger distribution networks.
Data from PRIME Philippines showed that the warehousing market recorded approximately 379,000 square meters of new requirements during the period. While this was lower than the 1.14 million square meters registered in the same period last year, demand from e-commerce and manufacturing companies continued to support leasing activity as businesses secured facilities for their supply-chain operations.
The coverage reinforces a broader market signal: industrial real estate remains a critical component of business continuity and expansion. For occupiers, developers, and investors, sustained occupancy and logistics-led requirements point to the continued strategic importance of well-located, operationally efficient industrial facilities.
PRIME Philippines provides market intelligence, property advisory, and tenant representation services to help businesses navigate industrial and warehousing opportunities across the country.
Looking for an industrial property or warehouse that supports your operations? Talk to a PRIME Philippines advisor today.
