SINGAPORE: In 2024, the city-state solidified its position as a global investment hub, ranking as the fourth most in-demand destination for cross-border investments, with total capital inflows reaching a robust $6.7 billion (US$5 billion), according to Knight Frank’s latest report featured in a recent Singapore Business Review article.

Singapore also made headlines with its second-largest private capital commercial property transaction, as Sunrise Capital Management acquired the iconic 21 Collyer Quay for a remarkable $695 million (US$520 million). This deal highlights Singapore’s continued appeal to international investors seeking lucrative real estate opportunities.

Looking ahead to 2025, experts predict that the logistics and living sectors will be at the forefront of investment activity. Knight Frank suggests that investors are likely to favour traditional corporate real estate (CRE) sectors, steering away from more niche asset classes like healthcare and student housing, which are burdened by operational complexities, regulatory hurdles, and liquidity issues.

The upward trend in borrowing against property further signals a growing investor appetite, while global CRE pricing begins to stabilise. According to CBRE, these factors point to a potential recovery phase in the CRE sector, with increased capital flows and renewed market momentum in the year to come.

As Singapore continues to attract global capital, the outlook for 2025 remains optimistic, with the city poised to maintain its status as a prime investment destination in the Asia-Pacific region.