Singapore strata retail sales rise 8.8% to S$290.9m in H1

There were 126 units sold during the same period.

Singapore’s strata retail market is finally showing signs of recovery. According to a report by Knight Frank, the reopening of the retail sector with the limits of gathering size and operating hours removed sparked renewed interest in strata retail space that was largely overlooked during the onset of the pandemic. 

Since the start of 2021, transactions for strata retail units progressively increased, with momentum continuing into 2022. In H1 2022, Knight Frank data reveal there were a total of 126 units sold, grossing some S$290.9 million in total sales value. And despite registering lesser transactions compared to the 137 units sold in H2 2021, this was still 8.8% higher than the S$267.4 million total transaction value in the preceding half-year. Sales activity for strata retail space is expected to pick up in the months ahead as the retail sector is no longer held back by Safe Management Measures. 

Here’s more from Knight Frank:

The Rochor, Downtown Core and Orchard Planning Areas, located within the Central Area, were popular among investors with the sale of 18, 17 and 14 strata retail units within each of these planning areas respectively. As tourists flowed back into Singapore with the Vaccinated Travel Framework in place, along with the return of the CBD lunchtime crowd, retail activity rekindled, reinjecting much needed and long-awaited vibrancy to the market. 

Additionally, e-commerce activity wound down in recent months as consumers returned to physical stores. Pent-up demand stemming from restrictive measures over the past two years resulted in vengeance spending and dining-in. As business sentiments improved with reinvigorated buzz in the retail scene from the end of March this year, the increase in activity could potentially translate into more strata retail sales by investors as well as retail operators in the coming months.