Why Industrial Property?
Industrial property in Greater Kuala Lumpur has quietly become one of the most resilient asset classes in Malaysian real estate. While residential and commercial segments experience cyclical volatility, industrial properties — factories, warehouses, and industrial land — continue to benefit from structural demand driven by manufacturing growth, e-commerce logistics, and regional supply chain diversification.
For investors and business owners alike, understanding this market is the first step toward making informed decisions.
Types of Industrial Property
Factories
Factories are purpose-built for manufacturing and production. In Greater KL, factories range from light industrial units (1,000–5,000 sqft) suitable for SMEs to heavy industrial complexes exceeding 50,000 sqft. Key considerations include power supply capacity, floor loading, ceiling height, and waste management provisions.
Warehouses
Warehouses serve storage and distribution needs. The rise of e-commerce has driven strong demand for modern warehousing with loading bays, high ceilings (30ft+), and proximity to major highways. Locations near Port Klang and the KLIA logistics hub command premium rates.
Industrial Land
Industrial land offers the most flexibility — build to your exact specifications. Zoned industrial land in Greater KL varies from RM15 to RM80 per square foot depending on location, infrastructure access, and zoning category (light, medium, or heavy industry).
Key Location Factors
When evaluating industrial property in Greater KL, five factors matter most:
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Highway Access — Proximity to major highways (NKVE, Federal Route 2, ELITE) directly impacts logistics costs and employee commute times.
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Port Proximity — For import/export businesses, distance to Port Klang or KLIA can make or break operational economics.
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Workforce Availability — Areas like Shah Alam and Klang have established worker pools, while emerging zones like Jenjarom may require transport arrangements.
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Utility Infrastructure — Industrial operations need reliable power, water, and increasingly, high-speed internet. Not all industrial zones are equal in this regard.
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Zoning Compliance — Ensure the property's zoning category matches your intended use. Operating outside your zone creates legal and operational risk.
Understanding Lease vs Buy
Leasing
Leasing suits businesses that need flexibility or want to preserve capital. Typical industrial leases in Greater KL run 3–5 years with options to renew. Monthly rates range from RM1.50 to RM4.00 per square foot for standard warehouses, and RM2.00 to RM6.00 for factories, depending on location and specifications.
Buying
Purchasing makes sense for businesses with long-term space needs and available capital. Industrial property prices in Greater KL range from RM150 to RM500 per square foot for built-up space, and RM15 to RM80 per square foot for land. Buyers benefit from asset appreciation and the freedom to modify the property.
Price Ranges Across Greater KL
| Area | Factory (psf/mo) | Warehouse (psf/mo) | Land (psf) | |------|------------------|--------------------:|------------| | Klang | RM2.00–4.00 | RM1.50–3.00 | RM15–35 | | Shah Alam | RM2.50–5.00 | RM2.00–4.00 | RM30–60 | | Jenjarom | RM1.50–3.00 | RM1.00–2.50 | RM12–25 | | Puchong | RM3.00–6.00 | RM2.50–4.50 | RM40–80 |
Prices are indicative and vary by specific location, building age, and specifications.
Common Pitfalls to Avoid
- Ignoring hidden costs — Renovation, utility deposits, and compliance upgrades can add 10–20% to your initial budget.
- Overlooking accessibility — A cheap property far from highways costs more in logistics than the rent saved.
- Skipping due diligence — Always verify zoning, ownership, and any encumbrances before committing.
- Going alone — The industrial property market is relationship-driven. Working with an advisor who knows the landscape saves time and money.
Getting Started
The best first step is understanding your own requirements — even roughly. What type of space? What size? Which area? How soon? You don't need all the answers upfront. A good advisor will help you refine your requirements and navigate the market efficiently.
At IndustrialKL, we take a different approach: one advisor, one point of contact, no agent harassment. Tell us your situation and we'll do the searching.