2024 has been a year of recovery and breakthroughs for SREITs, following two successive Federal Reserve rate cuts. As of November, fundraising in the SREITs secondary market outpaced last year – in particular, the last two months saw strong oversubscriptions for the S$1.1B and S$1.08B fund raised by CapitaLand Integrated Commercial Trust (CICT) and Keppel DC REIT respectively. Both transactions saw a combined demand of more than S$3.6B by institutional investors. Further excitement was in the air when Parkway Life REIT expanded its mandate to encompass global healthcare, making its maiden foray into the west with their acquisition of European healthcare assets. As Asia’s largest global REIT hub, the SGX team has been engaging with the SREIT eco-system. At the recent Asia Pacific Real Assets Association (APREA) Leaders Congress in Japan and the annual REITAS (REIT Association of Singapore) conference in Singapore, Ronald Tan, Senior VP, Equity Capital Markets, stressed the need for larger fundraises to acquire significant assets locally and expand global portfolios. In his REITAS conference keynote, Boon Gin Tan, CEO of SGX RegCo, emphasised the importance of aligning interests between unitholders and managers to avoid drastic measures like internalisation. With expectations of more new economy and scarce assets to be injected in SREITs, 2025 looks to be an exciting year of opportunities for investors – learn more about our SREIT market here 👉 bit.ly/4fuZaFT #SGXSecurities #SREIT #REIT #RealEstate #CapitalMarket
