Reits band together to form new industry association 

Mapletree's 19-storey office tower in Singapore’s Central Business District. A number of real estate investment trusts (Reits) and other market players have banded together to form a Reit industry association. -- PHOTO: MAPLETREE
Mapletree's 19-storey office tower in Singapore’s Central Business District. A number of real estate investment trusts (Reits) and other market players have banded together to form a Reit industry association. -- PHOTO: MAPLETREE

SINGAPORE - A number of real estate investment trusts (Reits) and other market players have banded together to form a Reit industry association, the Straits Times has found out.

The news of the association comes on the back of proposals from the Monetary Authority of Singapore (MAS) in early October to shake up the $63 billion Reit sector in Singapore, which is the biggest in Asia after Japan. 

The Reit Association of Singapore (Reitas) has nine members in its executive committee, which includes large Reit sponsors such as Mapletree, CapitaLand and Keppel.

Reitas president Chua Tiow Chye, who is also Mapletree's group chief investment officer, told The Straits Times in an interview on Wednesday that the association's immediate priority will be to respond to the MAS proposals.

He said that the Reit industry in Singapore should not become over-regulated, which could detract from its attractiveness as a financial centre and hub for Reits. 

Reitas also aims to educate more retail investors about Reits, through events such as seminars or by conducting more research on the sector in collaboration with academia. 

"We also want to make the Reit industry bigger and deeper," Mr Chua said, pointing out that since Singapore's domestic property market was limited the association would seek to attract more high-quality foreign Reit listings to Singapore.