Real estate investment sales set to hit new record in 2026: Knight Frank Singapore
The record volume signals broad investor confidence across property segments, while anticipated rate hikes may accelerate deal completions and support healthy transaction activity through year-end.
Singapore investment sales reached $42.4 billion in the first nine months of 2026, surpassing 2025’s $40.7 billion record, and could approach $50 billion.
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Singapore real estate investment sales are poised to hit an all-time annual high in 2026, according to research by Knight Frank Singapore.
Data in an October report shows investment sales totalled $10.7 billion in 3Q2026, moderating from the $16.2 billion and $15.5 billion logged in the first and second quarters.
Still, it brings the sales volume tally to $42.4 billion for the first nine months of the year, already surpassing the record-setting $40.7 billion achieved for the whole of 2025.
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Consequently, the stage is set for 2026 to achieve “a new all-time record”, said Melvin Chay, Knight Frank Singapore’s interim head for capital markets. Knight Frank Singapore estimates total investment sales could reach around the $50 billion mark this year.
This comes as Chay expects transaction momentum to “remain healthy” in 4Q2026, supported by “several large ticket deals presently in due diligence”.
“As there are expectations of rate hikes leading to increased borrowing costs, parties involved in ongoing negotiations might be motivated to complete their transactions by year-end,” he added.
Residential deals led investment activity in 3Q2026 at $4.3 billion, overtaking commercial transactions, which had topped volumes for the previous three consecutive quarters.
The bulk of residential investment sales last quarter came from Government Land Sales, along with the sale of a site at 8 Thomson Lane to a Sustained Land-led consortium for around $1 billion (including land betterment charges).
Commercial investment sales totalled $2 billion in 3Q2026, largely underpinned by two deals involving Orchard Road assets.
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The first was Hongkong Land Holdings’ $1.1 billion acquisition of Wheelock Place, a commercial building with office and retail space, through its Singapore Central Private Real Estate Fund in July. The second deal was the $310 million purchase of Scotts Square mall by Royal Holdings and RB Capital.
The industrial sector saw higher investment activity, with transaction value clocking in at $2 billion in 3Q2026 – more than double the previous quarter.
Deals were anchored by public sector land sales, with JTC awarding three Business 2 industrial sites at Jalan Buroh, Kaki Bukit and 5 Tuas Avenue for $214.4 million, $52.8 million and $43.4 million respectively during the quarter.
In addition, two purpose-built worker dormitory sites at Kranji Close and Lok Yang Way were awarded for $343 million and $221.7 million, respectively.
The living and hospitality sector recorded a sole transaction in 3Q2026: the sale of Coliwoo Midtown, a 212-key co-living property on Middle Road, to CapitaLand Ascott Trust for $134 million ($632,075 per key).
Nonetheless, hotel transactions have totalled $1.5 billion across seven deals for the first nine months of the year, exceeding the $957.2 million value (across nine deals) logged for the whole of 2025, Knight Frank highlights.
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