Could a Singapore heritage shophouse Reit take off?

THE value of shophouse transactions year to date has crossed the S$500 million mark, and is expected to close the year matching if not surpassing last year's tally of S$1 billion - which was the highest in four years.

The buoyant mood has resulted in rising prices, especially for conservation shophouses in Districts 1 and 2.

Demand for such properties has been strong from local and foreign high net worth individuals (HNWIs) as well as property funds and investment companies. Investors believe that the limited supply in this asset class bodes well for long-term capital appreciation.