INVESTMENT
Performance
- Investment sales reached S$8.2 billion in 3Q 2024, fuelled by strong developer activity in Government Land Sales and key acquisitions by REITs.
Outlook
- The GLS market is expected to maintain steady activity through the rest of the year. Investors will remain focused on identifying opportunities as a part of their investment strategies.
OFFICE
Performance
- Singapore’s central region office rental index declined marginally by 0.5% QoQ, while overall occupancy rates dipped slightly to 94.5%.
Outlook
- The recent completion of new developments is expected to create new opportunities for tenants to explore occupancy strategies. However, without any significant demand drivers, rental rates are expected to remain stable throughout the year.
INDUSTRIAL
Performance
- Industrial property prices rose 0.5% QoQ in 3Q 2024, led be multi-user factories. Overall occupancy rates remain steady at 89.0%.
Outlook
- Prices and rental rates for multi-user factories are expected to rise as electronics and semiconductor manufacturing output improves. Rental rates in the business parks and hi-tech parks segment are anticipated to face additional pressure from elevated vacancy rates in suburban areas, particularly as the PDD approaches completion in 2025.
RETAIL
Performance
- Island-wise occupancy rate increased to 93.5% in 3Q 2024. Rental rates in Orchard/Scotts Road and Fringe/Suburban areas saw a 0.3% rise QoQ, while Other City Areas remained stable.
Outlook
- Prime retail rents are expected to experience sustained growth, due to limited pipeline of upcoming retail supply, steady domestic demand and a rise in international visitor arrivals.
RESIDENTIAL
Performance
- Residential property price index fell 0.7% QoQ, attributed by the landed segment which witnessed a 3.4% decline QoQ. Rental rates found its footing, rising 0.8% after declining for three consecutive quarters.
Outlook
- For 4Q 2024, we expect primary sales transactions to rise, attributed to positive take-up rates in several new launch projects at record price levels. Residential rental rates are expected remain stable as landlords and tenants bridge pricing expectations.
Click for the full 3Q 2024 DIGEST
END
For further information, please contact:
Seah Li Ching (Ms)
Corporate Communications
DID: +65 6393 2369
Email: liching.seah@etcsea.com