DAILY NEWS

Daily News – 3 Jun 2020 (Wed)

Singapore Real Estate

To beat ABSD, 38 Jervois developer launches fire sale to clear units
The developer of 38 Jervois has launched a fire sale slashing prices by up to S$547,320 so that it will not incur the Additional Buyer’s Stamp Duty (ABSD). The discounts range from 13 per cent to 24 per cent for the remaining 16 units in the 27-unit freehold boutique condo which received its temporary occupation permit in March 2019.
https://www.businesstimes.com.sg/real-estate/to-beat-absd-38-jervois-developer-launches-fire-sale-to-clear-units

Saudi group tipped as buyer of ex-Chevron House retail, banking units
An entity linked to Saudi Arabia-based Olayan Group is understood to be the party that entered into an expression of interest (EOI) last month to buy the retail podium and the three lowest office floors at 30 Raffles Place, formerly known as Chevron House, for S$315 million.
https://www.businesstimes.com.sg/real-estate/saudi-group-tipped-as-buyer-of-ex-chevron-house-retail-banking-units

Singapore Economy

Non-resident deposits in Singapore jump 44% to record S$62b in April
Singapore saw a record jump in deposits in April as investors rushed to park funds here given its status as a safe haven amidst global market volatility, said analysts. The circuit-breaker measures have also resulted in excess liquidity as residents stay indoors with most shops shut, even as they become more cautious about spending.
https://www.businesstimes.com.sg/banking-finance/non-resident-deposits-in-singapore-jump-44-to-record-s62b-in-april

Companies’ Brief

Ardian raises US$19b for private equity secondaries platform
Private investment firm Ardian has raised US$19 billion worth of commitments from investors globally for its eighth-generation private equity (PE) secondaries platform, which it says is the world’s largest. Asian investors including those from Singapore, South Korea, China and Japan accounted for about 20 per cent of the funds raised.
https://www.businesstimes.com.sg/companies-markets/ardian-raises-us19b-for-private-equity-secondaries-platform

United Hampshire US Reit collected 77% of base rents from retail tenants in May
United Hampshire US Real Estate Investment Trust (United Hampshire US Reit) has collected around 77 per cent of base rents from retail tenants for the month of May and 82 per cent for April. The manager said that United Hampshire US Reit has seen an “acceleration” in store reopenings as local governments begin to gradually relax lockdown guidelines in all 50 US states.
https://www.businesstimes.com.sg/companies-markets/united-hampshire-us-reit-collected-77-of-base-rents-from-retail-tenants-in-may

Views, Reviews, Forum & Others

The economic consequences of working from home
Working from home (WFH) is the new normal and, to a large extent, it is here to stay. The Ministry of Manpower has urged that WFH should be the default option after the circuit breaker has ended. It may last at least until the Covid-19 pandemic is defeated and maybe even beyond. Despite its many disadvantages, many companies have found that WFH is not only feasible but also enables them to operate efficiently and at lower cost.
https://www.straitstimes.com/opinion/the-economic-consequences-of-working-from-home

Who has the world’s largest economy?
The World Bank’s International Comparison Programme (ICP) has just released its latest measures of price levels and gross domestic product (GDP) across 176 countries, and the results are striking.
https://www.businesstimes.com.sg/opinion/who-has-the-worlds-largest-economy

A new way for Asia to lead in global Covid-19 recovery
Covid-19 continues to devastate the global economy. Now, more than ever, international cooperation is desperately needed to escape the slump due to the pandemic shutdown. Global collaboration will be vital both to managing the health crisis and to supporting economic recovery through stabilising markets and restoring confidence, reigniting international trade, and enabling global supply chains and world travel to resume.
https://www.straitstimes.com/opinion/a-new-way-for-asia-to-lead-in-global-covid-19-recovery

Hong Kong’s loss may not necessarily be Singapore’s gain
A new low in United States-China relations is shifting investors’ focus from a simmering trade conflict to the risk of a potential financial war if Hong Kong’s status as a global financial hub is targeted. On the surface, it seems that Singapore could stand to gain if business confidence in Hong Kong is diminished.
https://www.straitstimes.com/business/economy/hong-kongs-loss-may-not-necessarily-be-singapores-gain

Architects and engineers suggest possible new ideas for future dormitories
A new set of standards for new Quick Build Dormitories which include no more than 10 beds in a room, at least 6 sqm of space per resident and the use of single rather than double-decker beds was announced at a Covid-19 Multi-Ministry Task Force virtual press conference on Monday.
https://www.businesstimes.com.sg/real-estate/architects-and-engineers-suggest-possible-new-ideas-for-future-dormitories

Iron ore rise cements Singapore’s global status
Iron ore is now widely viewed as the second most important global commodity behind oil. Its evolution has mirrored the transformation of China’s infrastructure. Singapore has quickly stepped up to become the world’s leading hub for the global iron ore trading community.
https://www.businesstimes.com.sg/opinion/iron-ore-rise-cements-singapores-global-status

Update on COVID-19 (Coronavirus Disease 2019) Situation

4 new Covid-19 cases in community, 3 new clusters identified at dorms
MOH confirmed 544 new novel coronavirus cases in Singapore on Tuesday, bringing the total number of cases here to 35,836. Of the new cases, 540 are foreign workers living in dormitories. There were no imported cases, and 99 per cent of the new cases are linked to known clusters.
https://www.businesstimes.com.sg/government-economy/4-new-covid-19-cases-in-community-3-new-clusters-identified-at-dorms
https://www.straitstimes.com/singapore/health/80-year-old-singaporean-woman-among-four-new-community-cases

Phased reopening to protect lives, livelihoods: Minister
A phased approach to reopening Singapore will help protect both lives and livelihoods, but Singaporeans must get used to the “new normal” of living with restrictions, said National Development Minister Lawrence Wong. Mr Wong, who co-chairs the multi-ministry Covid-19 task force, said in a Money FM 89.3 radio interview yesterday that the process of reopening is a “very tricky” one – as seen from the experience of countries such as South Korea, which saw a second wave of infections after emerging from lockdown.
https://www.straitstimes.com/singapore/phased-reopening-to-protect-lives-livelihoods-minister

Vaccine takes time to develop, may not give long-term immunity
Those hoping for a quick end to Covid-19 restrictions must be realistic, given that the development of a vaccine will take time, said Minister for National Development Law-rence Wong. In an interview with Money FM 89.3 yesterday, he said that despite the challenges, the good news is that there is a “massive global effort” to develop a vaccine.
https://www.straitstimes.com/politics/vaccine-takes-time-to-develop-may-not-give-long-term-immunity

askST: Do I still need to wear a mask in the office? What if my mask becomes discoloured?
The eight-week Covid-19 circuit breaker period has ended, but many readers continue to have questions on rules about mask wearing in public, visiting and travel during phase one of Singapore’s reopening. The Straits Times answers your questions.
https://www.straitstimes.com/singapore/free-one-time-replacement-if-mask-becomes-discoloured
*For more information, please visit the Ministry of Health (MOH) website at www.moh.gov.sg and refer to go.gov.sg/mohupdates for updates on the COVID-19 (Coronavirus Disease 2019) situation