Growth in retail assets seen for Singapore as sales performance improve

Sales growth is expected for 70% of retailers due to China reopening.

Retailers are becoming optimistic about the return of tourist spending since China announced that it will finally end its two-year zero COVID-19 strategy, CBRE said.

Due to this, retail assets will return to growth, with 70% of retailers will see improved sales performance.

In a statement, CBRE said there will be a rising focus on sustainability, which is due to consumers' eco-friendly consciousness when buying products.

CBRE’s Global Consumer Survey 2022 revealed that more than half of Singapore consumers have supported local retailers or producers by buying local produce or shopping at independent retailers. Retailers can tap on this growing segment to expand their footprint.

Office rentals will slow down because of layoffs in the tech sector and weakening global outlook.

Industrial and logistics are expected to continue to be positive, with rent growth of 6% and demand for quality assets remaining high.