Foreign investor participation seen to increase in 2011

Regional investors from Asia Pacific were the largest group of foreign investors in Singapore.

According to DTZ, in Singapore, investment purchases are driven by local investors who accounted for close to 70% of the total investment amount in 2010. Regional investors from Asia Pacific make up more than half of the foreign purchases in 2010.

Ms Chua Chor Hoon, Head of DTZ South East Asia Research, said: “With Asia Pacific now benefiting from a greater increase in capital targeting the region, we expect to see more foreign investor participation in 2011. Nevetheless local investors will continue to dominate as many are developers buying state land and private collective sites, and REITS are increasingly on the acquisition mode after a two-year hiatus, with a few new ones lining up for listing. There is growing demand and competition for the better quality stock in Singapore; the main constraint is the lack of core and core-plus assets for sale.”