Singapore's REITs logged their best quarters since 2020, backed by improved investor sentiment, according to a report by the Business Times on Tuesday.

The FTSE ST Reit Index was up 13.6% to 714.76 points during the third quarter of the year, the report said.

The iEdge S-Reit Index was up by 14.7% which was the best quarterly performance recorded by the index since its launch in 2010, according to the report.

The rally among the REITs was driven by rate cuts by the US Federal Reserve, the report noted.

Among the gainers, Keppel Pacific OAK US REIT (SGX:CMOU) unit price nearly doubled during the quarter from $0.27 to $0.134 while Manulife US REIT (SGX:BTOU) surged 93.8%, the report showed.

Net institutional buying also surged with Mapletree Pan Asia Commercial Trust (SGX:N2IU) involved in the highest amount of net institutional buying, logging around SG$92.4 million in net flows, the data showed.

Lower rates are likely to help S-Reits that carry a large amount of floating debts, according to the report.

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