Thailand's Industrial Land Market Surges 17.5% in First Half

Knight Frank Thailand reports that the Thai industrial real estate market continues to grow steadily in the first half of 2026, with industrial land transactions up 17.5% and nationwide average land prices rising 16.2%. Prices in the Eastern Economic Corridor (EEC) have surged over 31% amid strong demand for advanced technology manufacturing investments.

Marcus Bertenshaw, Partner and Head of Logistics and Industrial Consulting at Knight Frank Thailand, revealed the Thailand Industrial Market Overview H1 2026 report, noting that the industrial real estate market remains resilient despite global economic uncertainty. Key drivers include investment in high-value industries, particularly electronics, technology, and advanced manufacturing, sustaining strong demand for industrial space and ready-built factories.

Bertenshaw emphasized that Thailand's competitive edge depends not just on attracting investment, but on capacity to accommodate modern, larger projects using advanced technology. Investors seek locations with robust infrastructure and long-term business expansion potential—factors that will determine Thailand's future competitiveness.

Although promoted investment figures and new project counts have normalized from historically high levels, industrial real estate demand remains strong, particularly from businesses expanding production capacity in value-added sectors. Industrial land take-up in H1 2026 reached 5,503 rai, up 17.5% year-on-year.

Knight Frank notes this reflects a strategic shift: investment is moving from quantitative expansion toward larger, technology-intensive projects requiring efficient long-term operational infrastructure. As of mid-2026, Thailand's serviced industrial land plots totaled 191,292 rai, up 3.1% from late 2025, with EEC accounting for 64.6% of supply. Developers are increasingly adopting built-to-suit and pre-leased models to meet tenants' specific infrastructure and facility needs.