Colliers outlines real estate opportunities by referencing trends during SARS outbreak

By Valerie Kor
/ EdgeProp Singapore |
Join our  Telegram  channel and follow our  Facebook  for the latest update.
SINGAPORE (EDGEPROP) - To assess how Singapore’s real estate markets will be impacted due to the ongoing virus outbreak, Colliers International’s new research report references market performance during the SARS outbreak in 2003.
That year, Singapore’s economic growth saw a 0.3% y-o-y contraction in Q2, at the height of the SARS outbreak. But the economy rebounded in Q3 and Q4 of 2003 with respective growth rates of 5.3% and 8.9% y-o-y. GDP growth in 2003 was 4.5% but recovered as the uptrend continued in 2004, when Singapore’s GDP grew by 9.9%.
Singapore’s property market was on the decline prior to the SARS outbreak, but office rents were up by 3.5%, retail rents by 3.7% and industrial rents climbed by 1.5% by the end of 2004.
Overall real estate investment sales recovered to $3.2 billion within the second half of 2003, a 29% increase y-o-y.
Looking at trends in 2003, head of Research for Singapore at Colliers International Tricia Song says: “Assuming the Covid-19 outbreak runs its course by June this year, we estimate that certain property sectors, such as investment sales and office leasing, could see rapid recovery in the second half of 2020.”
Colliers research maintains forecasts for the various property sectors. Infographic: Colliers International
Colliers research maintains forecasts for the various property sectors. Infographic: Colliers International
However, she cautions that with the recent spread of the virus beyond East Asia, there is an increased possibility of a negative scenario in which disruption persists into the second half of 2020.
Colliers Research maintains its forecasts for the various property sectors for now. It recommends various property sectors to accelerate technology adoption, be it expanding offline-to-online strategies for retailers or adopting efficient inventory and last-mile management process for warehouses.
Investors are encouraged to focus on long-term drivers as a rapid recovery in H2 is possible.
Read also:

Follow Us
Follow our channels to receive property news updates 24/7 round the clock.
EdgeProp Telegram
EdgeProp Facebook
Subscribe to our newsletter

Our Site (previously known as The Edge Property Singapore) is the best property portal for real estate agents, investors, home-seekers and sellers alike in Singapore. On EdgeProp, you will be able to find the latest and hottest property news, property listings, and access tools for your research and analysis.

Whether you are looking to buy, sell or rent apartments, condominiums, executive condos, HDBs, landed houses, commercial properties or industrial properties, we bring you Singapore’s most comprehensive and up-to-date property news and thousands of listings to facilitate your property decisions. Click into any listing to check out the new AI Redesign tool to envision your property based on your preferred style, be it Scandinavian, Minimalist or many others.

View More