Singapore investment market gains momentum in Q3
Within Singapore’s property sectors, confidence in the office market is returning on the back of tight supply.
Singapore’s investment market is showing renewed momentum, driven by sharper-than-expected interest rate cuts and improved financing conditions.
According to CBRE’s Asia Pacific Investment Trends Q3 2025 report, assets that had been on the market for 12 to 18 months are now transacting, as cheaper debt and falling SORA rates unlock previously stalled deals.
Local buyers—particularly in the $30m to $150m range—are leading activity, whilst regional capital from China, Indonesia, and Malaysia is present but more selective. Mainland Chinese investors remain cautious amid ongoing macro uncertainty.
Within Singapore’s property sectors, confidence in the office market is returning on the back of tight supply—bolstered by the absence of new CBD land sales since 2023—and the potential for rental growth.
Suburban retail continues to attract demand due to its exposure to stable, non-discretionary spending, whilst industrial and logistics (I&L) assets remain appealing for their higher yields. A strong Singapore dollar is also drawing foreign capital seeking safe-haven exposure.
CBRE expects investment volumes to rise in the coming quarters, with competition intensifying into 2026. Whilst I&L remains a core focus, some capital may rotate back into the office segment. In retail and living sectors, deal flow will depend on how quickly bid-ask gaps can narrow.
Regionally, Asia Pacific investment momentum is building as interest rates decline across key markets, supporting stronger occupier demand and improving investor sentiment into late 2025 and 2026