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How Industrial Property Prices Are Moving in Malaysia (2025 Update)

How Industrial Property Prices Are Moving in Malaysia (2025 Update)

Industrial property prices in Malaysia continue to shift in 2025, driven by demand from logistics, data centres, and high-value manufacturing. This blog explores pricing trends across key states like Selangor, Johor, and Penang, helping investors and business owners make informed decisions.

How Industrial Property Prices Are Moving in Malaysia (2025 Update)

Introduction

Malaysia’s industrial real estate sector continues its strong momentum into 2025. A mix of e-commerce growth, nearshoring trends, and infrastructure development has fuelled rising demand for factories, warehouses, and logistics hubs.

In this post, we break down the latest price trends across Malaysia’s top industrial zones and what investors, manufacturers, and property owners should watch in 2025.


1. Selangor: Premium Prices in Prime Logistics Corridors

Selangor remains the most sought-after location for industrial property, especially areas like Shah Alam, Bukit Raja, Kapar, and Pulau Indah.

2025 Market Highlights:

  • Built-up factory units: RM500–RM750 psf (depending on size and location)

  • Industrial land: RM80–RM160 psf for freehold land in strategic areas

  • Hot zones: Shah Alam Section 26, Telok Gong, Klang, Puncak Alam

Why Prices Are Holding Strong:

  • Proximity to ports (Port Klang)

  • Established infrastructure & highways (KESAS, NKVE)

  • High demand from e-commerce & cold chain logistics


2. Johor: Competitive Pricing Near Singapore

Johor, especially Senai, Pasir Gudang, and Nusajaya, offers strategic industrial options at more competitive prices compared to the Klang Valley.

2025 Market Highlights:

  • Ready-built factories: RM300–RM500 psf

  • Industrial land: RM40–RM100 psf

  • Hot zones: i-Park @ Senai, SiLC, Tanjung Langsat, IBP

Why Demand is Growing:

  • Proximity to Singapore for cross-border trade

  • Strong support from Iskandar Malaysia incentives

  • Booming logistics and EV-related manufacturing


3. Penang: Tech-Driven Industrial Growth

Penang, especially Batu Kawan and Bayan Lepas, continues to draw global E&E and semiconductor players, pushing up industrial land values.

2025 Market Highlights:

  • Factory units: RM450–RM750 psf

  • Industrial land: RM80–RM180 psf in hi-tech zones

  • Hot zones: Batu Kawan Industrial Park, Penang Science Park, Bayan Lepas FTZ

What’s Driving It:

  • Foreign direct investment in high-tech manufacturing

  • Limited industrial land supply

  • Expansion of global semiconductor players


4. Negeri Sembilan, Melaka & Perak: Value Options Emerging

These states are gaining traction among SMEs and manufacturers priced out of Selangor. Parks like Sendayan TechValley, Elkay Industrial Park, and Meru Industrial Park are attracting attention.

2025 Price Overview:

  • Factory units: RM250–RM400 psf

  • Industrial land: RM30–RM60 psf

  • Lower entry cost with good connectivity to major highways


5. What’s Driving Price Trends in 2025?

  • E-commerce expansion (especially post-pandemic logistics reshuffling)

  • Nearshoring by global manufacturers due to geopolitical shifts

  • Data centres and green tech requiring specialized industrial space

  • Labour and infrastructure availability still influencing location preference


Conclusion

In 2025, industrial property in Malaysia is no longer just about location—it’s about readiness, infrastructure, and strategic value. Selangor commands premium pricing, Johor offers Singapore proximity, and Penang remains a tech magnet. For cost-conscious investors, Negeri Sembilan and Perak provide new opportunities.

Whether you are planning to buy, sell, or lease industrial property, Terra Group can guide you through the best options aligned with your business goals.

Get in touch or view our latest industrial listings at terragroup.my

Contact us Call 017-380 9993 Or WhatsApp our team directly for the latest availability

Tags:

industrial propertyMalaysia2025 updatefactory marketSelangorJohorPenangwarehouse pricesreal estate trendsinvestment

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