Funds Managers No Longer Keen on Singapore Property – Japan is now...

Funds Managers No Longer Keen on Singapore Property – Japan is now First Choice


A recent survey by the Asian Real Estate Association has uncovered a disturbing trend for Singapore investors. It seems that the city’s property has disappeared from the radar screen of most non-listed institutional investors and fund managers.

Has Singapore been Forgotten?

The hot Asian property markets of the year so far have been Japan, China and Australia as was established by the a 2009 survey from the Association. The survey is a collaboration of 73 organizations which are active in the Asian non-listed real estate funds market. It uncovered that less than 20 percent of funds managers and just 10 percent of investors would choose Singapore as their preferred investment location at present.

According to the survey it is the Chinese property market that attracts the attention of 81 percent of funds managers and 90 percent of investors right now. Japan on the other hand was listed as the number one fund choice for fund of fund managers.

Australia, as a the new kid on the block has also been a firm favourite. The survey stated: ‘With the exception of China, investors generally appear to have a lower regard than fund of funds managers or fund managers on the prospect of other Asian markets delivering target performances.’

Compared to last year’s survey, when Singapore was ranked seventh in the office market for investors, this year the city seem to have disappeared altogether from the list of favourites. Savills Singapore confirmed what many people already “knew”. The downturn has certainly affected the city in negative ways.

Photo credits: Eustaquio via Flickr