Shophouses along Keong Saik Road. Two properties on this street made the list of the quarter's biggest deals. (Image: Google Maps)
Singapore's shophouse market saw a slight q-o-q recovery in the second quarter of 2026, with 16 caveated transactions. That is up from 14 in the first quarter, albeit still down from 20 in the year-ago period.
Total deal value stood at $193.7 million for the latest quarter, which is more than double the $90 million in 1Q2026 but down 16.8% from 2Q2025, according to Huttons Asia's report on the shophouse market.
There were also more higher-value transactions, led by the $70 million sale of a trio of shophouses along Lorong Liput in Holland Village, as well as a $22 million transaction involving a corner conservation shophouse on Keong Saik Road.
This comes as Singapore's safe-haven status and low interest-rate environment are spurring deals, Huttons said.
More than 60% of the shophouses sold during the quarter were priced at above $5 million.
Transaction volume of shophouses, by price range:
Source: URA, media reports, Huttons Data Analytics (data downloaded as of July 8).
Shophouses were sold at an average price of $12.1 million in the second quarter, almost double the average transaction quantum of $6.4 million in the prior three months.
District 8 continued to be the favourite among investors for its accessible entry price and city-fringe location. At the same time, buyers were also partial to freehold or 999-year leasehold properties — about 87.5% of deals in the second quarter were on land with such tenures.
In terms of the biggest shophouse deals, the three adjoining units in Holland Village, purchased by TL Developments, topped the list.
Top five shophouse transactions by quantum in 2Q2026:
Source: URA, media reports, Huttons Data Analytics (data downloaded as of July 8).
In the leasing market, the number of rental contracts fell by 10.1% to 720 in the latest quarter, from 801 in the first quarter.
This came amid the Middle East conflict which led to a spike in fuel costs and exacerbated the Singapore F&B sector’s tough operating conditions, Huttons said.
Read also: A pair of shophouses at 57-59 East Coast Road hits market at $16 mil
Rents were resilient, inching up by 1.1% to $6.50 psf per month in the quarter, as compared with $6.43 psf per month in the prior three months.
Median rents of shophouses in 1Q and 2Q2026, by district:
Source: URA, media reports, Huttons Data Analytics (data downloaded as of July 8).
Median rents climbed the most in District 2, with a 11.3% q-o-q increase to about $7.79 psf per month, going by Huttons’ estimates.
Looking ahead, the research team noted that market sentiment remains cautious although Singapore’s safe-haven status will continue to attract capital, and investors are still keen on this rare asset class, especially those with 999-year or freehold tenures, for wealth preservation.
The Monetary Authority of Singapore’s plans to streamline private banking account openings to within one month by end-2026 is also likely to “sharpen the edge” of the wealth management sector, Huttons added.
The firm foresees "a steady stream" of shophouse transactions for the rest of 2026.
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