Ravi Chandran
CBRE Ranks #1 in Singapore for Commercial Real Estate Investment Sales in 2020
CBRE was the top ranked firm for commercial real estate investment sales in Singapore in 2020, with an overall 33.6% market share across all property types according to Real Capital Analytics (RCA).
Specifically, CBRE in Singapore again held the top spot in logistics and industrial sales for the fifth consecutive year, with a market share of 43.2% in 2020. The company also had a market leading share of 43.7% in development site sales.
“We are proud of the results, as they demonstrate the success of CBRE’s effective approach in delivering value add strategies tailored to our clients’ requirements, unlocking value and producing exceptional outcomes for their real estate investments,” said Michael Tay, Head of Capital Markets for Singapore, CBRE.
Globally, CBRE was the top ranked firm for commercial real estate investment sales for the tenth consecutive year.
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RCA credited CBRE with 24.2% of market share across all property types on a global basis in 2020 – an 860 basis-point lead over the nearest competitor. CBRE’s advantage over the number two firm increased 460 basis points compared with 2019.
In addition to being number one globally, CBRE held the top spot for commercial real estate investment sales in Asia Pacific, the Americas and Europe, Middle East & Africa (EMEA). Notably, CBRE’s performance versus its closest competitor improved in all three compared with 2019.
“This incredible result is testament of our strong client relationships as well as local market knowledge and cultural insights across Asia Pacific. We will continue to sharpen our platform, adapting and innovating to better service our clients,” said Greg Hyland, CBRE’s Head of Capital Markets for Asia Pacific.
CBRE was the number one firm in RCA’s global rankings across most property types, including office, industrial, retail, apartment, and development site sales.
“CBRE’s team of premier professionals, culture of collaboration, world class reputation and long standing relationships with global capital sources ensures speed to market and enhanced outcomes for our clients’ real estate investments,” said Chris Ludeman, Global President of Capital Markets for CBRE.
Highlights from RCA’s 2020 global rankings include:
- CBRE was the leading seller representative in global office sales, with an industry leading market share of 22.7%
- CBRE was again the top global firm in logistics and industrial sales, with a market share of 30.0%
- CBRE claimed the top global position in retail sales, with a market share of 23.2%
- CBRE was number one for global apartment sales with a market leading share of 22.8%
Mr Paul Ho, chief mortgage officer at iCompareLoan, said: “I congratulate CBRE for ranking at the top consistently. It reflect our Singapore’s “can-do” spirit.”
He added, ” For those that you planning to invest in properties in Singapore but ensure of funds availability for purchase, they should speak to mortgage brokers as brokers have the know-how to set them on a path to get the best loan in a quick and seamless manner.”
An earlier research by CBRE suggested that the Singapore property investment sales market is likely to rebound on renewed optimism.
Mr Michael Tay, Head of Capital Markets, Singapore, at CBRE, said “The Singapore investment market has always been resilient, and it has demonstrated in past cycles of its ability to recover from crisis situations. This was apparent post Global Financial Crisis when real estate investment sales volume improved by a strong 265.4% in 2010.”
Property investment sales market in Singapore are likely to get a shot in the arm as vaccination programs are rolled out, with business sentiments picking up and border restrictions gradually eased.
Mr Tay continues, “Investors are likely to remain discerning at the beginning of next year. Nonetheless, spurred by the low interest rate environment and ample liquidity, investors will still be constantly in search of investments that provide them with higher returns, coupled with stability and value at the top of their minds. As an investment destination, Singapore fits this bill perfectly given its proven ability to handle the pandemic, macroeconomic stability and political-neutral stance.”
Consequently, CBRE opines that property investment sales volume in 2021 is likely to rebound, led by residential, office, and industrial sales. There will also be renewed interest in retail and hospitality assets, as investors are on the prowl to buying these assets on the cheap.
In an earlier report CBRE said that office rents are expected to improve in the second half of 2021, resulting in an overall positive rental growth for the whole of 2021.
This is on the back of Ministry of Trade and Industry’s projection that the Singapore economy will grow by 4% to 6% in 2021. Nonetheless, office demand is expected to remain relatively subdued in 1H 2021, as firms will still remain cautious in the wake of the COVID-19 pandemic. Should economic activity and business sentiment recover after the administration of the vaccine by Q3 2021, the office market is well poised to benefit from the gains in employment.
