CMT's Bedok Mall
Recently, there has been a lot of negative news regarding the retail industry. Island-wide vacancy stock reached 5 million sq ft or 7.7 per cent, which is equivalent to the size of about five VivoCities. To experience how online shopping has affected retailers here, I decided to work in the retail sector during my school holidays. I am currently working at a suburban mall in the east. From my observations, the prospects of the retail sector is rather bleak. Sales are tepid and the store holds quite a large amount of inventory. Most common items can also be bought online, at a lower price.  

Nonetheless, dividend-seeking investors may still be interested in retail REITs, if they are priced at a attractive valuation. Much would depend on the innovative ability of retail malls to fend off intense competition from e-commerce. Retail REITs would have to redefine the retail experience when they upgrade...