The report
titled “Singapore Real Estate Market Outlook to 2023
– By Residential Market (New Sales, Re-Sales and Sub-Sales), By Retail Market (Private
and Public Retail Space), By Office Market (Private and Public Office Space)
and By Hotel Market (Gazetted and Non-Gazetted Hotels)” provides
a comprehensive analysis of the real estate space within Singapore. The report
covers various aspects including introduction, business models, supply and
demand for residential, retail, office and hotel market. The report provides Singapore
residential real estate market segmentation by new sales, sub-sales and
re-sales, office segmentation by public and private office space, retail market
by public and private retail space and hotels by gazette and non-gazetted
hotels; comparative landscape, growth drivers, trends and developments, issues
and challenges, snapshot on co-working spaces and malls, property buying
process and the regulatory framework of the industry. The report concludes with
future projections for all the segments and analyst recommendations
highlighting the major opportunities and cautions.
Introduction
Singapore real
estate industry was observed to attain maturity majorly because the country
serves as a global business hub, tourism center and effective residential housing
demand in the country. The country started with selling land parcels for
commercial development and itself became the largest housing developer. Lack of
space and high demand has allowed Singapore to evolve into a modern real estate
infrastructure pioneer with mixed developments, environment friendly
constructions and architectural marvels at the core of real estate. Being a
global business hub, Singapore’s commercial real estate space sees major
foreign investments and gain significant revenues from the presence of
international players in the market. Increasing tourism allows revenue surge for
retail as well as hotel real estate. Growing population and tourist influx into
the country has allowed Singapore to become one of the most expensive real
estate markets in the world with majority of population living in Government’s
HDB properties.
Singapore
Residential Real Estate Market
After three
years of continuous decline in the prices during 2014-2017, the residential
real estate market gained some growth momentum in 2018 with residential
property price index rising during 2017-2018. The market noticed strong recovery
till first half of 2018 but cooling measures such as curb on foreign ownership
and revised guidelines on ABSD and LTV have led to dampened demand in the
second half of 2018. One of the main drivers of residential demand is the
growing population with majority of the Singaporean population living in HDB
flats and condominiums. Landed properties and other planned sales by the
Singapore government and the developments submitted for approval were
collectively witnessed to capture the remaining market.
Despite the
cooling measures and uncertain external environment, prices for private
residential properties continued to increase during 2018. Buyers’ sentiments
were more subdued as they adopted a “wait and see” approach after the policy
changes and given external environment. On the other hand, higher availability
of cheaper resale apartment / flats as well as condos in Singapore has been
driving the resale market. Resale flats are cheaper as individual owners may
not be able to hold on to an investment property if they face a fund crunch or
not able to afford the EMIs. The residential real estate market is expected to
grow at a positive CAGR over the forecast period 2019-2023. The residential
segment will continue to see moderate increase in prices as the sector faces
continuous low demand side pressure. Prime properties at preferred locations
are still expected to be the hotspot locations with high asking price. A
greater migration to the central Singapore, growing population and swelling
middle class are creating additional demand for urban real estate including
residential housing.
Singapore
Retail Real Estate Market
The retail
estate market within Singapore was observed to take a fall during the review
period 2013-2018. Occupancy of retail space in fringe area registered highest
decline majorly due to the completion of new retail space such as Macpherson
Mall and Raffles Holland V in the region. Retail real estate in Singapore is
evolving with customer engagement and is further moving towards an activity
based approach to tackle offline market space. The market has been witnessing
technology integration in existing and upcoming projects.
Private retail
space within Singapore real estate market was observed to dominate in terms of
available area in the year 2018. The private retail space includes limited
large scale players capturing majority of the market. Some of the leading real
estate players include operating within the country’s retail space including
Capitaland, City Development, Frasers Property Ltd., UIC, UOL and United
Engineers. All the major malls and retail outlets in Singapore are owned by
Private retail players. This includes the retail space in the famous Orchard
area of Singapore which is a retail hub and completely owned by private
players. Whereas on the other hand, HDB and Government Occupancy make up the
public retail real estate space which captured limited share and mostly
consists of retail outlets within the HDB projects.
Singapore
Office Real Estate Market
Singapore office
real estate market in terms of rental revenue was witnessed to increase during
the review period 2013-2018. The net absorption rate of Grade A offices within
Singapore office space was good during 2013-2014 majorly in the CBD (central
business district) area. Leasing demand further continued to rise from a wide
range of industries coupled with the rising trend of co-working operators which
has significantly contributed towards market revenue. Major deals in the CBD
included the sale of 55 Market Street and the office component of OUE Downtown.
Private office
space within Singapore real estate market was observed to clearly establish
itself as market leader in terms of available area during the year 2018. Tech
and Co-working firms continue to drive majority of the private office space
supply. Singapore office real estate market is further projected to grow during
the forecast period 2019-2023. Rents are projected to maintain an upward
trajectory as supply pipeline dries up. Solid pre-commitments for new development
are a healthy sign of vacancy going down in the upcoming years. Co-working
spaces and large technology firms are further expected to drive the office
space demand and the Singapore government’s decentralization strategy will take
off some pressure from CBD area.
Singapore Hotel Real Estate
Market
The
hotel space within Singapore real estate industry was witnessed to grow during
the review period 2013-2018 driven by tourism arrivals. The country’s hotel
real estate industry contains a combination of gazetted and non-gazetted
hotels. Hotels in Singapore are further categorized into Luxury, Upscale,
Mid-tier and Economy. Singapore has 9 major hotel areas with CBD and Orchard
road carrying major 5-star hotels, Sentosa Island and River District carry 4-star
and 5-star hotels , Heritage District mostly carries 3-star hotels with a few
5-star hotels, Little India, Chinatown, North Downtown and Airport area
emphasis more on budget, 2-star and 3-star hotels.
In
terms of total room revenue, hotel space within Singapore real estate industry
is further expected to grow during the forecast period 2019-2023. The market
revenues are further anticipated to increase on account of increasing demand
and supply of rooms. Gazetted hotels are expected to lead the supply of rooms
as non-gazetted hotels show signs of stagnancy.
Comparative Landscape in Singapore Real Estate
Market
The
real estate industry within Singapore is further characterized by high levels
of competition, an increasing demand for newer properties and commercial
activities along with rising population in the country. Competition stage
within the country’s real estate space was observed to be moderately
concentrated along with the presence of major players such as CapitaLand,
Frasers Property Ltd, UOL Group, City Developments, APAC Realty, Chip Eng Seng
and Roxy-Pacific Holdings and other small players.
Key Segments Covered:-
Singapore Residential Real Estate Market
By Type of Dwelling
HDB Dwellings
Condoniums and
Other Apartments
Landed
Properties
Other Types of
Dwellings
By
Type of Sale
New Sale
Re-Sale
Sub-Sale
Singapore Retail Real Estate Market
By Private and
Public Retail Space
Singapore Office Real Estate Market
By Private and
Public Office Space
Singapore Hotel Real Estate Market
By Gazetted and Non-Gazetted
Hotels
Key
Target Audience:-
Real
Estate Developers
Independent
Investors
Real
Estate Consulting Companies
Third
Party Real Estate Companies
Independent
Architects
Government
Associations
Government
Agencies
Time
Period Captured in the Report:-
Historical Period - 2013-2018
Forecast Period - 2019-2023
Major Companies Covered:-
CapitaLand
Frasers
Property Ltd
UOL
Group
City
Developments
APAC
Realty
Chip
Eng Sen
Roxy-Pacific
Holdings
Other
Players (Frasers Property Ltd. and City Development Ltd.)
Key Topics Covered in the Report:-
Executive
Summary
Research
Methodology
Singapore
Real Estate Market Overview and Genesis
Singapore
Real Estate Market Business Model
Singapore
Residential Real Estate Market, 2016-2023
Singapore
Retail Real Estate Market, 2013-2023
Singapore
Office Real Estate Market, 2013-2023
Singapore
Hotel Real Estate Market, 2013-2023
Major
Investment Pockets in Singapore Real Estate Market
Trends
and Developments in Singapore Real Estate Market
Issues
and Challenges in Singapore Real Estate Market
Regulation
Framework in Singapore Real Estate Market
Comparative
Landscape in Singapore Real Estate Market
Property
Buying Process in Singapore Real Estate Market
Analyst
Recommendations for Singapore Real Estate Market
For more information on the research report, refer to below link:-
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Can you also write about the Indian real estate market? specially considering the Beyond Thane Property
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