Singapore Retail REITs Could Face Threat From Cross-Border Transit System -- Market Talk

Dow Jones
04/07

0907 GMT - The launch of a rapid transit system between Malaysia and Singapore could be an overhang for Singapore retail real-estate investment trusts, says DBS Group Research in commentary. The transit system, slated to launch in January, could reduce travel friction between the two countries, raising concerns that Singapore's retail spending could leak to Malaysia due to the latter's price advantage. DBS estimates S$1.50 billion to S$2.10 billion of annual leakage in the medium term. CapitaLand Integrated Commercial Trust appears relatively insulated given its greater exposure to prime downtown malls and integrated developments, DBS says. Frasers Centrepoint Trust could be relatively more exposed as its portfolio is concentrated in suburban malls, it adds. DBS prefers CapitaLand Integrated to Frasers Centrepoint. (megan.cheah@wsj.com)

 

(END) Dow Jones Newswires

April 07, 2026 05:07 ET (09:07 GMT)

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