Most investors wish to have stable and reliable passive income in their investment journey.
One way to achieve this is to invest in Singapore REITs (S-REITs).
Here are three REITs that I will gladly own for long-term monthly income, after looking at their distribution yield, asset quality and strong execution.
Check back tomorrow for another two REITs!
CapitaLand Integrated Commercial Trust (SGX: C38U)
CapitaLand Integrated Commercial Trust (CICT) is Singapore’s largest REIT.
Its portfolio comprises 21 properties in Singapore, two properties in Frankfurt, Germany, and three properties in Sydney, Australia with a total property value of S$27.0 billion based on valuations of its proportionate interests in the portfolio as at 31 December 2024.
95% of the portfolio’s value is situated in Singapore, while the remaining 3% and 2% are located in Australia and Germany, respectively.
CICT’s properties include retail malls, office towers, and integrated developments. Some of its key assets are ION Orchard, Capital Tower, Raffles City Singapore and Westgate.
CICT’s sponsor, CapitaLand Investment Limited (SGX: 9CI) is a leading global real asset manager with a strong exposure foothold here in Asia.
Its diversified real asset classes include retail, office, lodging, industrial, logistics, business parks, wellness, self-storage, data centres, private credit and special opportunities.
CICT’s net property income grew by 0.2% year-on-year in the first nine months of 2025 (9M 2025) to S$874.2 million.
Although its gearing ratio increased slightly from 37.9% in Q2 2025 to 39.2%, its interest coverage ratio did step up from 3.3 to 3.5.
The average cost of debt for CICT improved marginally to 3.3% and 74% of its borrowings are on fixed interest rate, which would help mitigate any impact from potential interest rate hikes.
Meanwhile, CICT’s portfolio occupancy rate stood at 97.2%, with a weighted average lease expiry (WALE) of 3.2 years.
Based on the trailing distribution per unit (DPU) and its unit price as of Monday’s close, CICT’s distribution yield stands at 4.8% which is slightly higher when compared against the Straits Times Index’s (SGX: ^STI) yield of around 4%.
CICT’s DPU has increased slightly over the past few years, from S$0.1040 in 2021 to S$0.1088 in 2024.
In terms of occupancy stability, CICT’s tenant mix is well diversified, with its top 10 tenants accounting for just 16.7% of gross rental income in September 2025. The lease renewal rate remains healthy with retention rates of 74% or more across the portfolio.
Some of its recent ongoing asset enhancement initiatives (AEIs) include Lot One Shoppers’ Mall and Tampines Mall.
On near-term catalysts and growth drivers for CICT, there is a full-year contribution from ION Orchard, and CapitaSpring’s income contribution is on a 100% basis from 26 August 2025.
Some of the key risks to watch for CICT include potential softening in leasing demand in the retail space or falling occupancy.
CapitaLand Ascendas REIT (SGX: A17U)
CapitaLand Ascendas REIT (CLAR) is Singapore’s first and largest listed industrial REIT.
When it held its initial public offering, CLAR’s portfolio was just S$0.8 billion and consisted of just eight properties across business parks and industrial buildings.
Today, CLAR’s portfolio holds 228 properties with a value of S$17.7 billion.
These properties include business space, life sciences buildings, industrial buildings, data centres, and logistics facilities.
67% of CLAR’s portfolio are from properties in Singapore, with the remaining from Australia (12%), the United States (11%), and the United Kingdom and Europe (10%).
CLAR shares the same sponsor with CICT, which is CLI.
In Q3 2025, CLAR had a portfolio occupancy rate of 91.3% with a WALE of 3.6 years.
Meanwhile, its gearing ratio is acceptable at 39.8%, and it has an interest coverage ratio of 3.6. The cost of debt improved from 3.7% in Q2 2025 to 3.6%, and 77.6% of CLAR’s debt is at fixed interest rates.
CLAR has a distribution yield of 5.4% based on its trailing DPU and current unit price. CLAR’s distribution yield is attractive, as it is noticeably higher than the STI’s dividend yield of around 4%.
CLAR’s DPU has been relatively stable in recent years, rising from S$0.15258 in 2021 to S$0.15798 in 2022 before falling to S$0.1516 in 2023. The DPU then inched up to S$0.15205 in 2024, before slipping by 0.6% in H1 2025.
The average portfolio rental reversion rate in Q3 2025 was a healthy 7.6% and the rental reversion rate for 2025 is expected to be an even better positive low double-digit range.
CLAR does not have tenant-concentration risks. Its total tenant count is around 1,790, and its top 10 tenants as of 30 September 2025 account for just 16.6% of its monthly gross revenue.
The REIT has been upgrading its portfolio in recent times.
In August 2025, it made value-accretive acquisitions of a premium business space property and a Tier III colocation data centre in Singapore for S$724.6 million.
There are three pending acquisitions slated for completion in Q1 2026. CLAR also recently completed the redevelopment of 5 Toh Guan Road East in Singapore into a six-storey ramp-up logistics property for S$107.4 million, increasing the GFA (gross floor area) by 71% to 50,920 sqm.
Some of the key risks to watch for CLAR would be DPU dilution from any potential equity fundraising and currency or overseas market exposure for the non-Singapore assets.
Frasers Centrepoint Trust (SGX: J69U)
Frasers Centrepoint Trust (FCT) is a Singapore-focused suburban retail REIT with assets under management of approximately S$8.3 billion.
It owns or jointly owns four of Singapore’s top ten largest prime suburban malls, namely NEX, Northpoint City, Causeway Point, and Waterway Point.
FCT’s sponsor, Frasers Property, is a multinational investor-developer-manager of real estate products and services and has total assets of approximately $38.9 billion as at 31 March 2025.
In FY2025 (financial year ended 30 September 2025), FCT’s gross revenue was 10.8% higher year-on-year at S$389.6 million and NPI increased 9.7% to $278.0 million.
The increases were underpinned by contributions from Northpoint City South Wing following the completion of its acquisition in May 2025, and Tampines 1 following the completion of its AEI in August 2024.
The REIT’s total DPU for FY2025 was 0.6% higher year-on-year at S$0.12113. Meanwhile, the aggregate leverage is healthy at 39.6% and the quarterly cost of borrowing declined from 3.7% in June 2025 to 3.5%. The interest coverage ratio improved to 3.46. A large swath of the REIT’s debt, at 83.4%, is at fixed interest rates.
FCT’s overall portfolio occupancy rate is strong at 98.1%, although the WALE is short at 1.8 years, measured by both NLA (net lettable area) and GRI (gross rental income).
At FCT’s current trailing DPU, it has a distribution yield of 5.4%.
FCT’s DPU has been pretty stable in recent years. From FY2021 to FY2025, FCT’s DPU has fluctuated between S$0.12042 and S$0.12227.
Some contributors to the REIT’s possible future growth include an ongoing AEI at Hougang Mall which is on track to be completed by September 2026. The REIT is targeting a 7% ROI (return on investment) and has received leasing precommitments of more than 80%. Another is the REIT’s overall portfolio rental reversion rate in FY2025 of a good 7.8%.
The majority of FCT’s tenant mix (54%) belongs to tenants providing essential services to consumers, such as Food & Beverages, Supermarket & Hypermarket, and Beauty & Health. FCT’s top 10 tenants contributed to 18.9% of its total GRI and 23.2% of total NLA.
Some of the key risks to look out for FCT includes potential softening in leasing demand in the retail space or falling occupancy.
Check back tomorrow for the next two REITs!
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Disclosure: Zheng Long currently owns units in Frasers Centrepoint Trust.
