Government looks at piloting collaborative contracting model
The government is looking into piloting a collaborative contracting model in its public sector projects similar to existing models in the United States and Hong Kong. National Development Minister Lawrence Wong said this on Wednesday during the first joint conference by the Board of Architects (BOA) and Association of Consulting Engineers at Marina Bay Sands. Close to 700 architects and professional engineers attended the event.
Rising business activity bolsters Singapore bank lending in April
Singapore bank lending continues to expand, driven by increasing business activity, while consumer credit growth remains sluggish, according to latest data from the Monetary Authority of Singapore. April bank lending rose 7 per cent to S$631.2 billion from a year ago, up from 6.3 per cent in March. It was the fastest pace since November 2014 as business sentiment improved in export-led industries in line with a stronger global recovery.
Singapore notches new peak in top cities ranking
Singapore has jumped two spots to rank sixth in AT Kearney’s Global Cities Index 2017 findings which were released on Wednesday. This is the Republic’s highest ever ranking in the Index since it was founded in 2008. New York is the No 1 Global City this year, followed by London and Paris. Tokyo and Hong Kong came in fourth and fifth places respectively. The Global Cities Index measures a city’s performance based on business activity, human capital, information exchange, cultural experience and political engagement.
Moody’s raises outlook for S’pore banks to stable
Moody’s Investors Service has upgraded its outlook for Singapore’s banking system to stable from negative, saying the change reflects improving growth conditions and stabilising commodity prices that will limit a further weakening in asset quality and profitability. The stable outlook is based on Moody’s assessment of five drivers: Operating Environment (stable); Asset Quality and Capital (stable); Funding and Liquidity (stable); Profitability and Efficiency (stable); and Systemic Support (stable), according to a release issued yesterday.
Singapore Real Estate
MCL Land tipped as top bidder for Eunosville sale
The tender for the collective sale of Eunosville which closed on Wednesday is understood to have drawn strong bids, with the highest crossing S$900 per square foot per plot ratio (psf ppr). Those who bid are said to have included MCL Land, Qingjian Realty, Sim Lian, Keppel Land, City Developments, Chip Eng Seng and OUE. MCL Land, a unit of Hongkong Land, was tipped by several sources as the frontrunner with a price of S$920 psf ppr.
Citimac up for en bloc sale by public tender
Industrial complex Citimac in Tai Seng has been put up for collective sale via a public tender exercise, and the owners are seeking a minimum price of S$430 million. This freehold redevelopment site has a land area of about 1.3 hectares, and is zoned “Business 1-White” with a gross plot ratio of 3.5. The “White” component offers some flexibility to the range of uses of the development.
Simon Cheong joins SIA board
Singapore Airlines has announced the appointment of Simon Cheong to its board as an independent non-executive director, with effect from June 1, 2017. Mr Cheong is chairman and chief executive officer of SC Global Developments Pte Ltd, a leading high-end residential developer in Singapore, with over 30 years of experience in real estate, banking and international finance.
Downtown Line 3 to open on Oct 21; stations include Fort Canning, Ubi and Bedok Reservoir
Downtown Line 3 (DTL3), will open on Oct 21, completing a three-stage 42km MRT line that links the north-western and eastern towns to the old and new downtowns. The 21km, 16-station DTL3 runs from Fort Canning station, which is directly across from Liang Court, and goes through old town areas such as Jalan Besar and Bendemeer before heading eastwards through Geylang Bahru, MacPherson , Ubi, Bedok North, Upper Changi neighbourhoods, before ending at Expo station.
UE owners said to have picked Perennial for talks
United Engineers Ltd’s largest shareholders picked Perennial Real Estate Holdings Ltd for final talks to buy the century-old Singapore property group, people with knowledge of the matter said. Perennial, led by chief executive officer Pua Seck Guan, edged out other suitors including KKR & Co and SingHaiyi Group that also submitted final bids, the people said, asking not to be identified because the information is private.
Mapletree delivers record profit of S$1.41b for FY2017
Mapletree Investments marked a record net profit for fiscal 2017 ended March 31, showing that its strategy of expanding globally and across new asset classes is paying off. Against the backdrop of strong recurring earnings, investment and other gains as well as revaluation gains, its net profit jumped 46.5 per cent to S$1.41 billion. The Temasek unit also enjoyed a 23.9 per cent increase in revenue to S$2.33 billion and a 21.6 per cent rise in recurring net profit to S$643.6 million.
Ascott Reit pays US$106m for NYC’s DoubleTree
Ascott Residence Trust (Ascott Reit) on Wednesday said that it is acquiring the 224-unit DoubleTree by Hilton Hotel New York – Times Square South for US$106 million. The freehold property is located in Midtown Manhattan near Times Square and within walking distance to other attractions such as Madison Square Garden, the Jacob Javits Convention Centre and the Empire State Building. It is also close to Penn Station, the busiest train station in North America.
CapitaLand buys Guozheng Centre for S$535m; divests Innov Tower
CapitaLand said on Thursday that it has agreed to buy Guozheng Center, a newly completed office development in Yangpu District, Shanghai, China, for RMB2.64 billion (S$535 million). Based on total gross floor area (GFA) of 80,701 square metres (sqm), the price translates to an investment of RMB32,713 (S$6,628) per sqm.
k1 Ventures divests stake in US unit holding childcare centre assets for US$29m
Investment firm k1 Ventures has signed a redemption agreement with National Realty Trust to divest its 10.2 per cent equity interest in KUE 3 LP for about US$29 million. This amount is before any deductions for US income taxes and the Greenstreet carried interest.
Surbana in software tie-up with China firm
Surbana Jurong will develop software for facilities management with a Chinese partner, it said yesterday. Surbana, an urban development and infrastructure consultancy, signed a memorandum of understanding with Arctron Data & Innovation Technology (Adit) – the new digital arm of Arcplus Group, one of China’s major architectural design institutions.
HL Global Enterprises signs agreement to sell stake in hotel properties in China
Investment holding firm HL Global Enterprises disclosed on Wednesday (May 31) it had entered a conditional sale and purchase agreement to sell its entire interest in a subsidiary holding its hotel properties in China to Natural Apex. Natural Apex, an affiliate of Hong Kong-listed Jingrui Properties, will pay about 550 million yuan (S$111.31 million) for the holding company, LKN Investment International.
Views, Reviews & Forum
Building the future in Asean and South Asia
Asean and South Asia are building infrastructure at an unprecedented rate. Anyone who travels the capital cities of this region knows it for a fact. Roads, railroads, bridges, ports and metros. All this construction is transforming the city centres and areas of economic activity, and the lives of 2.4 billion people. It is also connecting people and businesses to opportunities, both within and beyond the region.
Global Economy & Global Real Estate
Pop-up stores gain traction as America’s retail scene convulses
Hotels compete with Airbnb by banking on local experiences
China factory-activity gauge holds up in May
HK property market still at record high
Nan Fung wins commercial Hong Kong site for record HK$24.6b
Macau tycoon favours Osaka over Tokyo for casino
Australia home prices fall in May as lending curbs start to bite
M’sia’s Sime Darby Q3 profit rises on plantation, car sales gains
Japan’s factory output surges, offering hope of lasting growth
India’s economy grows at slowest pace since 2014
Additional Articles of Interest – Local & Overseas Real Estate
Local & Overseas Real Estate – Full Article