Singapore real estate investment closes 2025 strongly at S$10.97 billion

Commercial and industrial sectors drove the investments in Q4.

Singapore’s real estate investment market remained robust in the final quarter of 2025, with total transactions reaching S$10.97 billion, according to Savills.

The residential sector continued to be the largest contributor, accounting for 40.3% of total investment sales, though transaction value fell 13.7% quarter-on-quarter to S$4.42 billion. Savills attributed the decline to fewer luxury home deals priced at S$10 million or above, despite volumes still surpassing the first two quarters of 2025, supported by lower interest rates and improved market sentiment.

Commercial investment rose 31.1% quarter-on-quarter to S$3.45 billion, representing 31.5% of total investment sales. Key transactions included Keppel REIT acquiring a one-third stake in Marina Bay Financial Centre Tower 3 for S$1.45 billion, Elegant Group purchasing The Clementi Mall for S$809 million, and Lendlease Global Commercial REIT acquiring 70% of PLQ Mall for S$619.5 million. Savills noted that REIT-led strategic acquisitions have driven sustained commercial activity since 2024.

Industrial investments ranked third, with S$2.13 billion in transactions, nearly double the previous quarter. REITs accounted for S$1.27 billion, or 67.7% of total private sector industrial investment, executing opportunistic deals to strengthen portfolios, optimize balance sheets, and position for long-term growth.

Savills highlighted that strong financing conditions and healthy operating metrics underpinned continued momentum across all sectors, closing 2025 on a high note for Singapore’s property market.