Singapore: REITs market cap 2023 | Statista (2024)

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Singapore: REITs market cap 2023 | Statista? ›

As of December 2023, the aggregate market capitalization, or the market value of the outstanding shares of stocks of all REITs, amounted to 68.96 billion U.S. dollars.

The FTSE Nareit All Equity REITs index is a free-float adjusted, market capitalization-weighted index of equity real estate investment trusts (REITs) in the United States. As of December 2023, the market cap of the index was 1.3 trillion U.S. dollars, up from 1.2 trillion U.S. dollars in December 2021.

The global REIT market is experiencing steady growth. According to the recent market reports, the market size is reaching an impressive $3.5 trillion in 2022 and is estimated to reach USD 4.2 trillion by 2027, growing at a Compound Annual Growth Rate (CAGR) of 2.8% from 2022.

Spotlight on the largest REIT markets and companies

The United States has the largest REIT market, but REITs are also a popular form of investment in other countries, such as Japan, Singapore, the United Kingdom, and Australia. In 2023, the U.S. REITs market had a market cap of close to 1.4 trillion U.S. dollars.

At the end of 2023, there were more than 40 Reits trading in the city state, worth a combined S$100 bn ($74 bn), making it the largest Reit market in Asia outside of Japan.

To qualify as a REIT, a company must have the bulk of its assets and income connected to real estate investment and must distribute at least 90 percent of its taxable income to shareholders annually in the form of dividends.

The first REIT was American Realty Trust founded by Thomas J. Broyhill, cousin of Virginia U.S. Congressman Joel Broyhill in 1961 who pushed for the creation under Eisenhower. As of 2021, at least 39 countries around the world have established REITs.

The total market value of the 23 REITs listed on Chinese exchanges (C-REITs) reached $12.37 billion in total market value as of 31 December 2022, accounting for 4.7 percent of Asia's $264 billion REIT market.

Why are Singapore REITs not doing well? ›

The overall business performance of the S-REIT sector has been lacklustre and some segments of the industry have not been able to recover to pre-COVID levels, either due to a change in business dynamics or due to an inflationary environment. Office REITs have faced challenges due to the new work-from-home (WFH) trends.

As of December 2023, the aggregate market capitalization, or the market value of the outstanding shares of stocks of all REITs, amounted to 68.96 billion U.S. dollars.

U.S. listed REITs have an equity market capitalization of more than $1.2 trillion. In 2022, REITs paid an estimated $109.9 billion in dividends to shareholders. REITs have historically delivered competitive total returns for investors based on high, steady dividend income and long-term capital appreciation.

Meanwhile, non-traded REITs raised only $9.8 billion through November last year, less than a third of the 2022 total figure of $33.2 billion. If positive investor sentiment returns in 2024, it will carry a degree of caution, said David Auerbach, chief investment officer at investment adviser Hoya Capital Real Estate.

REITs were first deemed eligible for inclusion in the S&P 500 in October 2001. Since 2001 the representation of REITs in the S&P 500 has grown from . 2% to 2.8% as of December 31, 2019 (see Exhibit 1). During this time the market value of the constituent REITs grew from $20 billion to $773 billion.