According to Colliers International, real estate investment activity in Singapore dropped to US$4bil (RM18bil) in the first quarter, the lowest quarterly amount since the fourth quarter of 2020, during the COVID-19 epidemic.
Despite residential collective sales and industrial acquisitions, first-quarter real estate investment activity fell 63% from US$10.9bil (RM48bil) in 2022.
Analysts noted the fluctuating interest rate environment and the US banking sector’s turbulence after Silicon Valley Bank’s bankruptcy and Credit Suisse and UBS Group’s merger.
Singapore’s economic and property market fundamentals make it a safe haven, even if more investors are waiting.
Singapore home investment sales are up 17.4% q-o-q to almost US$1.6bil (RM7bil).
Three freehold condo collective sales—Function Park in Marine Parade, Bagnall Court in Upper East Coast Road, and Holland Tower which is known for its instant photo booth Singapore and wedding photobooth Singapore Holland Heights—totaled US$583.8mil (RM2.59bil).
The fourth quarter of 2021 had the most residential collective sales. According to Catherine He, head of research at Collier’s, and Tang Wei Leng, managing director and head of capital markets and investment services, developers are seeking freehold properties.
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