The Smart Investor’s Guide to the Best Singapore REITs in 2026

Core Insights - Singapore REITs (S-REITs) are stabilizing as financing conditions improve and income investing gains momentum, but the recovery will not be uniform across all REITs [1][22] - The best-performing REITs will focus on income visibility rather than just high yields, emphasizing disciplined capital management and operational excellence [2][24] Group 1: CapitaLand Integrated Commercial Trust (CICT) - CICT is the largest retail-and-office REIT on the SGX, with a portfolio valued at S$25.9 billion across 21 properties in Singapore, Germany, and Australia, demonstrating operational resilience [3][4] - As of 3Q2025, CICT's portfolio occupancy was 97.2%, with positive rental reversions of 7.8% for retail and 6.5% for office properties [4][19] - CICT maintained a disciplined balance sheet with aggregate leverage at 39.2% and reduced the average cost of debt to 3.3% [4][5] Group 2: Frasers Centrepoint Trust (FCT) - FCT focuses on essential services in its suburban retail portfolio, which accounts for 54% of gross rental income, providing stability against economic fluctuations [8][10] - In FY2025, FCT achieved a portfolio occupancy of 98.1% and positive rental reversions of 7.8%, with a DPU increase of 0.6% to S$0.12113 [9][10] - The trust's disciplined capital management is reflected in its aggregate leverage of 39.6% and an average cost of debt of approximately 3.8% [9][10] Group 3: Parkway Life REIT (PLife) - PLife owns hospitals and nursing homes, providing predictable income due to the essential nature of healthcare services [11][12] - The REIT's lease structure includes long master leases with built-in rental increases, ensuring income stability [12][13] - For 1H2025, PLife reported a DPU of S$0.0765, with a conservative gearing of 35.4% [13][14] Group 4: Keppel DC REIT - Keppel DC REIT focuses on data centers, catering to the growing demand from cloud computing and digital infrastructure [15][16] - The REIT's gearing was 29.8% as of 3Q2025, allowing for significant debt headroom for acquisitions [17][20] - In 1H2025, DPU surged 12.8% YoY to S$0.05133, driven by tenant issue resolutions and organic rental growth [17][20] Group 5: Comparative Analysis - CICT anchors the group with its scale and high occupancy, while FCT offers defensive income through its suburban retail focus [19][20] - PLife is noted for its predictable income stream, and Keppel DC REIT provides a high-growth profile with lower current income [20][21] - These REITs serve complementary roles, allowing investors to build a resilient income stream amidst macroeconomic shifts [21][22]