The shophouse market in Singapore experienced a notable uptick in activity during the third quarter of 2025, as reported by Huttons Asia. A total of 28 transactions were recorded, surpassing the 20 transactions in the previous quarter and the 18 from the same period last year. This increase is attributed to lower interest rates and heightened interest from funds and institutional investors.
The total value of shophouse transactions reached $292.5 million in Q3 2025, marking a 25.6% rise from the second quarter. Key players in the market included Asia Success Management and affiliates of Clifton Partners and KB One Pte Ltd, who were involved in significant deals exceeding $15m.
Districts 8 and 15 emerged as popular choices among investors, accounting for nearly half of the total transaction volume. Most transactions in these districts were below $10m, appealing to ultra-high net worth individuals (UHNWIs) seeking attractive entry prices. Notably, 85.7% of the shophouses sold were on land with a 999-year or freehold tenure.
Looking ahead, Huttons Asia anticipates continued resilience in the shophouse market for the fourth quarter of 2025. The combination of lower interest rates and strong global equity markets is expected to sustain demand. Additionally, the rarity of shophouses, with no new supply, is likely to attract investors seeking robust capital returns. Transaction volumes and values are projected to remain stable in the coming months.
