The latest report from PropNex reveals a notable increase in shophouse transactions during the third quarter of 2026, with 22 deals recorded, marking a 37.5% rise from the previous quarter. Despite this uptick, the total sales value fell by 15.6% to $163.5m, attributed to the absence of high-value transactions.
The largest transaction in Q3 was a 999-year leasehold shophouse on South Bridge Road, sold for $16.8m. This period also saw a resurgence in leasing activity, with 883 rental contracts signed, the highest since Q3 2024. The rental value increased by 15.9% to $9.16 million, driven by a two-year lease renewal cycle.
PropNex anticipates continued investment interest in shophouses, bolstered by Singapore’s stable market and limited supply of conservation properties. However, challenges remain, particularly for F&B operators facing a high churn rate, with 2,101 closures reported in the first seven months of 2026. Despite these challenges, shophouse capital values are expected to remain resilient, supported by Singapore’s political stability and strong currency.
