Core Central Region leads in resale condo market
For the second consecutive year, the prime area or Core Central Region (CCR) has outperformed the rest of the island in terms of resale prices for non-landed private homes, according to latest data from SRX Property. Moreover, the volume of resale transactions of private apartments and condos in CCR rose 52.5 per cent to 2,048 units last year – a faster clip than the increases of 24.2 per cent in the city fringe or Rest of Central Region (RCR) and 18.2 per cent in the the suburbs or Outside Central Region (OCR). “CCR prices have outperformed the other regions, as increased demand for CCR properties has helped support prices,” noted OrangeTee’s head of research and consultancy Wong Xian Yang. “Buyers are slowly coming back as they find value emerging in the market, with prices at some projects having corrected significantly.”
Property agency industry shrinks further in tepid market
Singapore’s property agency industry continues to shrink as more agents throw in the towel and smaller agencies close shop amid keen competition in a tepid market, with technological disruptions also nibbling at the transactions pie. Following the latest licence renewal exercise, the number of licensed property agencies fell to 1,286 as at Jan 1, 2017, a 6.1 per cent drop from 1,369 a year ago, and the number of registered agents fell by about 3 per cent to 28,397 from 29,262, according to the Council for Estate Agencies (CEA). “The reduction in the number of registered agents could point to a slight consolidation of the industry given the current property market sentiments,” said CEA director for policy and licensing Heng Whoo Kiat.
STI surges past 3,000 points to 14-month peak
The benchmark Straits Times Index (STI) broke through the psychologically significant level of 3,000 points for the first time in 14 months, making the local bourse one of the best performing markets in the world year-to-date. Some 29 out of the 30 component stocks have notched gains thus far. Only palm oil play Golden Agri-Resources fell slightly. Fund managers said the rally has been driven by sentiment even while the local economy remains weak and improving earnings yet to be seen. Whether stocks can continue to rise depend on corporate results in the coming reporting season, they said.
Singapore Real Estate
Construction trade body hands government its first-ever Budget wish list
Wary of intensifying pressures on the construction sector in the near future, the sector’s representative trade body has submitted its Budget wish list for the first time to the Finance Ministry (MOF). The almost 3,000-member strong Singapore Contractors Association (SCAL) had handed the list over last month, hoping for fiscal support measures to give the sector more time – and room – to defray costs. It also asked for more support to help construction firms reposition themselves for the future economy.
Surprisingly bullish bids swamp year’s first housing land tender
Bullish bids poured in for the first tender closing of 2017. But property consultants can’t decide among themselves if it is a sign of market optimism or developers’ need for work. Construction company Low Keng Huat beat 10 other competitors with its unexpectedly bullish bid for a residential site along Perumal Road which comes with first-storey commercial space. At a tendered sale price of S$174.08 million, it translates to S$1,000.72 per square foot per plot ratio (psf ppr), greatly surpassing some consultants’ expectations of bids ranging from S$800 to S$850 psf ppr. When contacted, Low Keng Huat declined to comment on its plans for the plot of land for now. Its share price added half a cent to finish at S$0.565 on Tuesday.
New Bukit Panjang mall to open in Feb
Bukit Panjang residents will have a spanking new shopping centre late next month when Hillion Mall opens for business. The complex, which will have a two-storey retail podium and two retail basement floors, is part of an integrated development and transport hub that will cater to more than 220,000 residents and 760,000 commuters. The mall, developed by Sim Lian Group and Sim Lian Development, has a net lettable area of 174,730 sq ft. More than 90 per cent of that will be taken up by shops, with over 100 separate outlets. Sim Lian Group said yesterday that about 30 per cent of the mall will be dedicated to food and beverage, and almost 45 per cent of the retail space will be allocated to lifestyle stores.
Serangoon Plaza to be demolished to make way for 19-storey commercial complex
Serangoon Plaza, which was built in the 1960s, will soon be torn down to make way for a new commercial development, said property group Tong Eng on Tuesday (Jan 10). Responding to queries from Channel NewsAsia, director at Tong Eng Brothers Teo Kar Tin said demolition and construction works are expected to start next month and will be completed in the third quarter of 2019. Mustafa, Singapore’s biggest 24-hour mall, has a branch at Serangoon Plaza and is the largest tenant there. All tenants have been told to move out by the end of this month, Tong Eng said, adding that the tenants will be able to meet the deadline.
Siglap condo with sea views likely to make a splash
A highly prized rarity on the local property scene – the first new project with sea views to be built along East Coast Parkway (ECP) in 15 years – is going on sale soon. Frasers Centrepoint Singapore is launching the 843-unit Seaside Residence condominium at the end of April. The East Coast plot housing the project was the first government land sale site along the ECP since 2001. It is next to Victoria School.
ISOTeam bags S$22.7m worth of new projects
Catalist-listed building maintenance firm ISOTeam on Tuesday announced that it has secured S$22.7 million worth of new projects in the new year. The new contracts – a mix of R&R (repairs and redecoration) and A&A (addition and alteration) projects – are expected to be completed between January this year and June 2018. They also include a renewable energy installation job which is worth about S$6.3 million – ISOTeam’s third such project and single largest project won to-date. It involves installation work for the solar leasing of grid-tied solar photovoltaic system for 150 blocks.
Crowdfunding platform CoAssets sets up real estate subsidiary
CoAssets, a Singapore-founded, Australia-listed real estate crowdfunding platform, said on Tuesday that it has incorporated a wholly owned subsidiary, CoAssets Real Estate (Care). Care – essentially a real estate agency – will provide a full spectrum of real estate services including marketing, sales, analysis and valuation. Its setup is part of CoAssets’ growth strategy and venture into secured crowdfunding, the practice of funding a project by raising funds from a large number of people.
Boustead Projects secures contract for R&D centre
Industrial real estate solutions provider, Boustead Projects, announced yesterday that its co-investment partnership, the Boustead Development Partnership (BDP), has secured a development contract for a new research and development (R&D) centre. The centre, referred to as Continental Building Phase 3, will be developed for Continental Automotive Singapore – an R&D hub owned by global automotive supplier Continental Corporation.
Views, Reviews & Forum
Is Singapore at risk of becoming a rentier society?
A widely held view is that Singaporeans have a fixation with property, be it on an individual level or at a corporate level. Despite various property cooling measures, a condo launch in a good location – not priced cheaply, but affordably – can yield a respectable response. Several tycoons have made it big through the rise of property assets, whether through Far East Organization, CDL and Hong Leong or even OCBC Bank. Several Temasek-linked companies have also performed well from property, including CapitaLand, Keppel Corp and Mapletree.
Global Economy & Global Real Estate
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Australia job vacancies highest since mid-2011: ABS
Top Malaysian banker sees ringgit rebound
Trump’s Indonesia partner deepens bond with theme park, track
Indian online realty services providers PropTiger, Housing.com to merge
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