SG Talk

Real estate investment volume grows by 44.5% in Q2
The residential market posted a strong performance whilst retail continues to struggle.

Real estate investment volumes grew by 44.5% quarter-on-quarter (QoQ) in the second quarter (Q2), according to the latest report from CBRE Research.

This is equivalent to $5.9b.

The residential market continued to have a strong performance amidst the heightened restrictions from mid-May to early June.

On the other hand, the retail market continues to struggle as tourism borders remain closed and work-from-home being the default.

The office market had a net absorption of -0.36 mil sq ft in Q2, driven by earlier relocation moves and downsizing efforts by occupiers.

Overall leasing interest in business parks was also subdued, with net absorption of 0.13 mil sq ft in Q2.

As for the industrial market, space availability for warehouse and prime logistics remained tight, shooting up rents by $1.3 and 2.9% QoQ, respectively.

https://sbr.com.sg/commercial-property-r...-445-in-q2

All will be losing money in real estate in the next 20 years..

Logistics will b in demand forseeable future

REIT has the potential to react more swiftly to an increasingly favorable interest rate environment than a passively managed rival — something to consider over the near term.

“Among the positive factors, market pricing implies an expectation that the Federal Reserve will cut overnight interest rates by a full percentage point by the end of the year,” reported Tomi Kilgore for MarketWatch.

Speaking of dividends, casino landlord VICI Properties (VICI), REIT’s third-largest holding, said Thursday it is raising its quarterly dividend by 4.2%. That’s just one example, but it could be a sign that real estate companies are growing comfortable with the notion that rates will soon decline and that the U.S. economy is likely to avoid a recession.

Means a lot own bank money take loans hehe.

Down trending...