Shophouse sales surge in Q1 2024

Sales of shophouses rose 52.2% in Q1 2024!

What is a shophouse?

Shophouses are an architectural and heritage building type in Singapore that are generally 2 to 3 storeys high. They are typically narrow, small terraced houses that come with a sheltered 'Five Foot Way' at the front. They are generally built between 1840s and 1960s which comprised the majority of the pre-World War 2 urban landscape of the old city center and other parts of Singapore.

Why are they popular among investors? 'Owing to their heritage charm and iconic architectural façade, shophouses have been highly sought-after by many investors as a prized trophy asset.' Yup Hui Yee, Savills Commercial shophouses are usually popular among investors as:

1. They look at it as a prized trophy asset

2. Good appreciation (Chart shows psf from 2000 to 2024)

3. No ABSD payable for a full commercial shophouse