DAILY NEWS

Daily News – 1 Dec 2020 (Tue)

Singapore Real Estate

Singapore commercial property investment deals dive, but should pick up next year: Savills IM
Singapore’s commercial property investment volumes have plunged as expected this year, with US$2.7 billion achieved in the first nine months, against US$8 billion for the same period in 2019. The volume for full year 2019 was US$10 billion, according to Savills Investment Management (Savills IM).
https://www.businesstimes.com.sg/real-estate/singapore-commercial-property-investment-deals-dive-but-should-pick-up-next-year-savills

Singapore’s office market will never be the same again
Post-Covid-19, Singapore’s workforce is adapting to the new normal of flexible working. As in other parts of the world, 2020 has laid bare some truths: office work can be done from home, and workers’ wellness is indispensable to business continuity and the economy.
https://www.businesstimes.com.sg/real-estate/singapores-office-market-will-never-be-the-same-again

Estates in prime locations to have good mix of flat types
A range of housing types will be built in upcoming estates in prime locations such as the Greater Southern Waterfront (GSW) to ensure that all public housing estates will have a good mix of Singaporeans, said National Development Minister Desmond Lee.
https://www.straitstimes.com/singapore/housing/estates-in-prime-locations-to-have-good-mix-of-flat-types
https://www.businesstimes.com.sg/real-estate/hdb-to-build-diverse-flat-types-keep-prices-affordable-in-prime-locations

New chief executive appointments at HDB, NEA
The Housing Board has appointed Mr Tan Meng Dui as its new chief executive, as part of changes in the agency’s senior leadership. Starting Feb 26 next year, he will take over from Dr Cheong Koon Hean, 63, who has been HDB’s chief executive since 2010, the Ministry of National Development and HDB said in a statement yesterday.
https://www.straitstimes.com/singapore/new-chief-executive-appointments-at-hdb-nea-0
https://www.businesstimes.com.sg/government-economy/hdb-and-nea-appoint-new-chief-executive-officers

Singapore Economy

President Halimah briefed by DPM, officials as work begins on Budget 2021
Work to prepare for next year’s government Budget has begun, with Deputy Prime Minister Heng Swee Keat and representatives from several agencies and investment entities briefing President Halimah Yacob and the Council of Presidential Advisers yesterday.
https://www.straitstimes.com/singapore/president-halimah-briefed-by-dpm-officials-as-work-begins-on-budget-2021

Companies’ Brief

CapitaLand divests three malls, office for S$448.7m, makes first foray into Japan logistics sector
CapitaLand has divested three malls in Japan and an office building in Korea for a total of S$448.7 million, as part of its ongoing portfolio reconstitution strategy, it said Tuesday morning in an exchange filing. It also announced that it has made its first foray into Japan’s logistics sector, entering into a joint venture with Mitsui & Co Real Estate, with CapitaLand as the majority partner, to develop and operate a logistics project in Greater Tokyo.
https://www.businesstimes.com.sg/companies-markets/capitaland-divests-three-malls-office-for-s4487m-makes-first-foray-into-japan
https://www.straitstimes.com/business/companies-markets/capitaland-divests-3-malls-office-for-4487m-makes-first-foray-into-japans

CDL to report full-year loss; Deloitte completes Sincere review
City Developments Ltd (CDL) expects to sink into the red in 2020 with a full-year loss, reversing from a S$564.6 million net profit in 2019, dragged by the prolonged impact of the coronavirus outbreak. It foresees more impairment losses, and British unit Millennium & Copthorne Hotels (M&C) and China-based joint venture (JV) Sincere Property Group are set to spill some red ink.
https://www.businesstimes.com.sg/companies-markets/cdl-to-report-full-year-loss-deloitte-completes-sincere-review
https://www.straitstimes.com/business/companies-markets/cdl-expects-to-report-full-year-loss-as-covid-19-impact-lingers

Keppel Land to divest remaining 30% stake in Dong Nai Waterfront City
Keppel Corp’s property arm, Keppel Land, is divesting its remaining 30 per cent interest in Dong Nai Waterfront City (DNWC) for about 1.95 trillion dong (S$115.9 million) in cash. The transaction follows the divestment of Keppel Land’s 70 per cent stake in DNWC to Nam Long Investment Corporation (NLG), which was announced in 2019.
https://www.businesstimes.com.sg/companies-markets/keppel-land-to-divest-remaining-30-stake-in-dong-nai-waterfront-city
https://www.straitstimes.com/business/companies-markets/keppel-land-divests-remaining-30-stake-in-dong-nai-waterfront-city-for

Q3 corporate profits show signs of recovery amid rebound in economic activity
For the third-quarter ended September 2020, earnings for Singapore-listed companies, while still weaker than a year earlier, point to signs of a recovery as economies start to open up, said analysts. As at Nov 27, the 143 companies listed on the Singapore Exchange (SGX) that had issued their quarterly scorecards recorded a combined S$5.98 billion in group profits, with 97 companies in the black and 46 companies incurring losses, according to data compiled by The Business Times.
https://www.businesstimes.com.sg/companies-markets/q3-corporate-profits-show-signs-of-recovery-amid-rebound-in-economic-activity

MAS orders removal of EH-Reit manager after submissions raise ‘no new material facts’
The Monetary Authority of Singapore (MAS) on Monday ordered the removal of the manager of Eagle Hospitality Reit (EH-Reit). MAS has also directed DBS Trustee, in its capacity as trustee of EH-Reit, to appoint a new manager “as soon as practicable”. EH-Reit is part of the hospitality stapled group Eagle Hospitality Trust (EHT). EHT also consists of Eagle Hospitality Business Trust, which is presently dormant.
https://www.businesstimes.com.sg/companies-markets/mas-orders-removal-of-eh-reit-manager-after-submissions-raise-no-new-material-0
https://www.straitstimes.com/business/companies-markets/company-briefs-eagle-hospitality-reit

Eagle Hospitality Reit’s trustee proposes SC Capital unit to be new Reit manager
CCPRE Hospitality Reit Management has been identified as the proposed new manager for the troubled Eagle Hospitality Real Estate Investment Trust (EH-Reit), which is part of the stapled group Eagle Hospitality Trust (EHT).
https://www.businesstimes.com.sg/companies-markets/eagle-hospitality-reits-trustee-proposes-sc-capital-unit-to-be-new-reit-manager

Activist funds opposed to Sabana-ESR merger slam one-proxy rule
Ahead of voting on the controversial merger between Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (Sabana Reit) and ESR-Reit, the deal’s key opponents Quarz Capital Management and Black Crane Capital have raised concerns that the voting process involving custodians and nominee banks may be stacked against their interests.
https://www.businesstimes.com.sg/companies-markets/activist-funds-opposed-to-sabana-esr-merger-slam-one-proxy-rule

Views, Reviews, Forum & Others

Singapore needs new mindset to cement global hub role
The novel coronavirus pandemic and shifting trade relationships have made the world more fragmented. However, global cooperation in trade, and the exchange of ideas, people, capital and technology have proved resilient despite the obstacles and will continue to power the global economy.
https://www.businesstimes.com.sg/opinion/singapore-needs-new-mindset-to-cement-global-hub-role

Attitudes towards business failures changing for better
The impact of the Covid-19 pandemic on economies and companies is well documented. Besides causing massive job losses around the world, it has hit the bottom line and balance sheet of companies, causing mounting corporate debt and other liabilities. Insolvency cases and corporate distress have risen to their highest levels since the 1997 Asian financial crisis.
https://www.straitstimes.com/business/companies-markets/attitudes-towards-business-failures-changing-for-better

Covid-19 vaccines: Priorities, processes and practicalities
With Covid-19 flaring up again in many countries, and safe, effective vaccines likely to become available over the next few months, how do we deploy them wisely and well? Globally, the Covid-19 Vaccine Global Access (Covax) Facility is working on vaccine access for all who need it, including low-and medium-income countries.
https://www.straitstimes.com/opinion/covid-19-vaccines-priorities-processes-and-practicalities-0

Code of best practices for commodity financing rolled out
A set of best practices for commodity financing was rolled out yesterday, the first such code for the industry in Singapore. It comes after the country’s reputation as a trusted hub for this lending segment took a hit lately.
https://www.straitstimes.com/business/banking/code-of-best-practices-for-commodity-financing-rolled-out
https://www.businesstimes.com.sg/banking-finance/commodity-finance-industry-in-singapore-gets-code-of-best-practices

Singapore Budget 2020

Top MOF officer recalls how Budget policies evolved amid pandemic
To fight the Covid-19 pandemic, the Government has dedicated almost $100 billion across four Budgets this year. While there were measures in the first Unity Budget in February to help families with the longstanding issue of cost of living, as the pandemic progressed, it became clear that more had to be done to keep Singaporeans’ and businesses’ heads above water, said Permanent Secretary for Finance Tan Ching Yee.
https://www.straitstimes.com/singapore/politics/top-mof-officer-recalls-how-budget-policies-evolved-amid-pandemic

Update on COVID-19 (Coronavirus Disease 2019) Situation

Four imported cases, one community infection
A single Covid-19 case in the community was reported by the Ministry of Health (MOH) yesterday. The patient is asymptomatic and his infection was detec-ted when he went for a pre-departure Covid-19 test last Saturday before a trip to the United States.
https://www.straitstimes.com/singapore/four-imported-cases-one-community-infection

Approved private clinics now offer PCR tests to anyone
From today, anyone who needs a Covid-19 polymerase chain reaction (PCR) test will be able to get it done at approved private clinics. Those seeking tests could include companies and people requiring pre-departure testing before travel. The latter group will no longer be required to seek approval from the Ministry of Health for such a test.
https://www.straitstimes.com/singapore/health/approved-private-clinics-now-offer-pcr-tests-to-anyone

Smooth start to new mask distribution exercise
Collecting the new reusable face masks was a smooth process for many Singapore residents on the first day of distribution by Temasek Foundation yesterday. Those whom The Straits Times spoke to said the vending machines were easy to use as they simply had to select their mask size and scan their identification card. Each person is entitled to one free mask kit, which contains a pair of reusable masks and three mask filters.
https://www.straitstimes.com/singapore/smooth-start-to-new-mask-distribution-exercise

Travellers to Taiwan must test negative for Covid-19
Starting today, all travellers entering Taiwan are required to present negative Covid-19 polymerase chain reaction (PCR) test results. The test must be taken within three days of departure from the place of origin. Taiwan’s Central Epidemic Command Centre (CECC) announced the new policy on Nov 18. Health Minister Chen Shih-chung cited the upcoming holiday season and influx of returning Taiwanese as the reasons for the change.
https://www.straitstimes.com/asia/east-asia/travellers-to-taiwan-must-test-negative-for-covid-19-0
*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