DAILY NEWS

Daily News – 13 January 2016

Singapore Economy

Future Economy panel, govt agencies will study SBF paper: Heng
The Committee on the Future Economy (CFE) and different government agencies will study “very carefully” all the proposals and recommendations in the Singapore Business Federation’s (SBF) new economic position paper. As he formally received a copy of the 32-page document on Tuesday, Finance Minister Heng Swee Keat praised the fact that the majority of the 18 recommendations are on medium to long-term strategies.
http://www.businesstimes.com.sg/government-economy/future-economy-panel-govt-agencies-will-studysbf-paper-heng

Govt to ‘keep eye on business costs’
The Government will not let Singapore businesses be priced out of global markets but it will also allow market forces to prevail, said Finance Minister Heng Swee Keat yesterday. Mr Heng was responding to a question from Mr Edmund Koh, head of UBS Wealth Management Asia-Pacific, who led a dialogue session as part of a wealth insights conference organised by the Swiss banking giant.
http://www.straitstimes.com/business/economy/govt-to-keep-eye-on-business-costs?login=true

Weak economy hurting more than half of businesses: Survey
More than half of businesses here have been adversely affected by the current economic slowdown, as they continue to face challenges such as higher business costs, an annual survey by the Singapore Business Federation (SBF) has showed. The survey, which polled 1,000 SBF members in the fourth quarter last year, found that 54 per cent of respondents have been negatively affected by the worsening economic climate, up sharply from 35 per cent a year ago. http://www.todayonline.com/business/weak-economy-hurting-more-half-businesses-survey

Singapore Real Estate

Another 7-10% fall in private home prices seen: BNP Paribas
Singapore is “half-way through the residential down-cycle” with another 7-10 per cent of decline in private home prices seen over the next two years, compounded by the prospects of a rising rate cycle, a softer job market and slower immigration growth, BNP Paribas projected.
http://www.businesstimes.com.sg/real-estate/another-7-10-fall-in-private-home-prices-seen-bnp-paribas

Private apartment resale prices down 2.1%
Resale prices of private apartments fell at a slower pace last year compared with 2014, according to data out yesterday. They were down 2.1 per cent for the full year compared with a 4 per cent fall in 2014, according to flash estimates from SRX Property. This suggests owners are not pressed to sell while prices may have found some support on the back of fewer new sale offerings.
http://www.straitstimes.com/business/property/private-apartment-resale-prices-down-21

Resale condo prices fall at slower pace in 2015
Resale prices of non-landed private homes shed 0.8 per cent in December 2015 over the previous month, based on SRX Property’s flash estimates released on Tuesday. This contrasts with a 0.6 per cent month-onmonth gain in November. For the whole of last year, the index slipped 2.1 per cent; this pace of decline was about half the 4 per cent slide seen in 2014.
http://www.businesstimes.com.sg/real-estate/resale-condo-prices-fall-at-slower-pace-in-2015

Harper Kitchen being sold for S$51.1 million
Harper Kitchen, a freehold industrial building near Tai Seng MRT Station, is being sold for S$51.1 million to a four-member consortium led by Nanshan Group Singapore. The other members of the consortium are a vehicle controlled by Zuo Haibin and his wife Li Minghua (the couple also own Vico Construction); a company that is controlled by the owner of the Putien Restaurant chain; and a property group based in Zibo city in Shandong province.
http://www.businesstimes.com.sg/real-estate/harper-kitchen-being-sold-for-s511-million
http://www.straitstimes.com/business/property/industrial-building-3-shophouses-sold

Over-supply of industrial space looms
A period of over-supply is looming for industrial property, with rental estimates for the final quarter of last year pointing to levels below those in the third quarter. Demand for factory space has weakened in line with the contracting manufacturing sector, amid fewer calls for business park units, given the uncertain economic climate.
http://www.straitstimes.com/business/economy/over-supply-of-industrial-space-looms

Bringing more greenery into Singapore’s built environment
Turning Singapore into a Garden City is not just a way to set the country apart, but it is also a social strategy to make sure greenery is accessible to everyone, said National Development Minister Lawrence Wong on Tuesday (Jan 12). Speaking at a dialogue session called “Greening Our City – Innovation, Ideas and Solution”, Mr Wong said one broad theme that was raised by the participants was bringing greenery into Singapore’s built environment.
http://www.channelnewsasia.com/news/singapore/bringing-more-greenery/2420260.html

Multi-user places of worship get the OK
http://www.straitstimes.com/singapore/multi-user-places-of-worship-get-the-ok

Companies’ Brief

Lee Yi Shyan joins OUE Hospitality Trust’s managers
Former Senior Minister of State Lee Yi Shyan has joined the companies that manage and act as trustee for OUE Hospitality Trust. Mr Lee was appointed deputy chairman and a non-independent, non-executive director of OUE Hospitality Reit Management and OUE Hospitality Trust Management with effect from yesterday.
http://www.straitstimes.com/business/companies-markets/lee-yi-shyan-joins-oue-hospitality-trustsmanagers

TEE International
Engineering and property firm TEE International’s second-quarter earnings grew 23.4 per cent on the back of higher contribution from its engineering business and lower share of profit by non-controlling interest in the real estate subsidiaries. Net profit for the three months ended Nov 30 last year was $3.4 million, up from $2.7 million in the same period a year earlier.
http://www.straitstimes.com/business/companies-markets/company-briefs-tee-international

SiS unit launches new fund that targets distressed residential assets in Singapore
A new fund has been launched targeting distressed residential assets in Singapore, joining the likes of private-equity funds by Blackstone and SC Capital Partners. Its manager, the newly set up SiS Asset Management (SiSAM), a unit of Hong Kong-listed SiS International, said its maiden fund will opportunistically “swoop in” on distressed or undervalued homes amid a softening property market here.
http://www.businesstimes.com.sg/real-estate/sis-unit-launches-new-fund-that-targets-distressedresidential-assets-in-singapore
http://www.straitstimes.com/business/companies-markets/sis-unit-starts-real-estate-private-equity-fund