2 reasons why everyone should be cautious on retail property market this year

Retail sales have been sluggish.

Despite the retail REITs’ outperformance YTD, the outlook for the overall retail property market in Singapore this year remains cautious principally because of 1) sluggish retail sales; and 2) significant new supply of retail space scheduled for completion in 2014.

Here's more:

Sluggish retail sales
Excluding motor vehicle sales, retail sales in Singapore grew an average 1.3% in 2013, compared to theaverage 2.7% growth in 2012.

Similarly, food and beverage (F&B) sales grew an average 2.1% in 2013, which was slower than the average 4.6% growth registered the year before.

In terms of shopper traffic, it appears the malls outside the prime Orchard Road shopping belt are doing better than the ones inside. Shopper traffic at CMT’s portfolio and Clementi Mall grew 3.1% and 9.3%, respectively, in 2013.

On the other hand, traffic at Wisma Atria declined 4.9%, while traffic at Paragon was up just 0.6% in 2013.

Significant new supply of retail space in 2014
Jones Lang LaSalle’s (JLL) latest forecast suggests some 2.6mn sq ft of new retail space is expected to be completed in Singapore during 2014, of which just under 1.8mn sq ft is expected to be located in the suburban shopping area. 2014 could therefore see the highest increase in retail space in Singapore since 2009.

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.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia