Take a look at the five best-performing REITs of 2014

Office and retail REITs dominate the list.

The office sector delivered the strongest performance among Singapore-listed REITs in 2014, backed by steady rental growth brought about by a supply dearth.

According to OSK DMG, office REITs had an average price performance of 17.9% in 2014, significantly above the average return for SREITs as a whole, which was pegged at 10.4%.

Suntec REIT was the best-performing REIT of the year, with a stellar return of 27.6%. This was followed by Fortune REIT, which delivered a return of 24.3%.

The third-best performing REIT was CapitaCommercial Trust at 21.1%, followed by CapitaRetail China Trust at 20.1%. Mapletree Commercial Trust was the fifth best-performing REIT with a price performance of 19.3%.

“Contrarian to the street, we think there’s still room for office REITs to run in 2015, given that the construction of the aplenty Grade A office supply have been pushed back a year to 2017. We forecast an uplift of 7% in rentals for Grade A office space in 2015. We expect demand to come less from oil and gas
companies in view of the falling oil prices, but more from technology and business services providers. We also think there will be more new-to-market office tenants with smaller space requirements (less than 10k sq ft) that will dominate the office leasing market in 2015,” stated OSK DMG.
 

Join Singapore Business Review community
A NOTE FROM SINGAPORE BUSINESS REVIEW

If you've been wondering whether SBR could work for your company — yes, probably.

A lot of the companies we partner with started as readers. They'd been following our coverage for a while, saw their own customers and competitors in it, and eventually asked the obvious question: could we do something with you? The answer is usually yes. The shape of it depends on what you're trying to do.


The options are broader than most people assume — thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. Some partners use one channel; most use a mix. We figure out the right combination by starting with your brief, not with our rate card.


So if the question has been on your mind, here's the easy way to ask it.

We'll tell you honestly whether we can help, and how. It's a better use of everyone's time.