DAILY NEWS

Daily News – 13 Aug 2020 (Thu)

Singapore Real Estate

BCA announces measures for construction restart
The Building and Construction Authority (BCA) on Wednesday said it is implementing further measures to accelerate the resumption of construction work, as almost all foreign dormitories have been declared cleared of Covid-19 by the Inter-Agency Taskforce (ITF).
https://www.businesstimes.com.sg/government-economy/bca-announces-measures-for-construction-restart
https://www.straitstimes.com/singapore/rules-eased-to-help-construction-sector-find-its-feet

Construction firms tell of the delays and triumphs in managing workers
The Building and Construction Authority (BCA) on Wednesday announced measures to hasten the restart of on-site construction work, in a bid to end the delays that construction companies have encountered in recent months.
https://www.businesstimes.com.sg/real-estate/construction-firms-tell-of-the-delays-and-triumphs-in-managing-workers
https://www.straitstimes.com/singapore/lifting-of-rule-cheered-by-hard-hit-construction-firms

Condo, HDB rents in July see first uptick since February
It was a mixed picture for Singapore’s rental housing market – while rents for HDB flats and private apartments saw their first monthly increase in four months in July, leasings fell as the Covid-19 pandemic continued to impact travel and jobs.
https://www.businesstimes.com.sg/real-estate/condo-hdb-rents-in-july-see-first-uptick-since-february
https://www.straitstimes.com/business/property/condo-hdb-rents-up-for-1st-time-since-feb-but-volumes-fall

A number of projects in latest BTO sales exercise may take up to five years to complete
A number of projects in the mega Build-To-Order (BTO) sales exercise yesterday may take up to five years to complete due to safety measures introduced at construction sites to curb Covid-19. The Housing Board said home buyers keen on the 1,785-unit UrbanVille @ Woodlands project, a five-minute walk from Woodlands MRT station, will have to wait the longest, at around 62 months. It is slated to be completed in the second quarter of 2026.
https://www.straitstimes.com/singapore/housing/a-number-of-projects-may-take-up-to-five-years-to-complete

More than 7,800 HDB BTO flats in 8 estates launched in combined sales exercise
Home seekers who could not apply for a Build-to-Order (BTO) flat in May now have plenty of options as 7,862 new flats in eight estates have been launched for sale by the Housing Board (HDB) on Wednesday. For the first time in 14 years, 472 new units are up for sale in the mature estate of Bishan.
https://www.businesstimes.com.sg/real-estate/more-than-7800-hdb-bto-flats-in-8-estates-launched-in-combined-sales-exercise
https://www.straitstimes.com/singapore/housing/over-7800-new-bto-flats-on-offer-in-eight-estates

New flats in Bishan after 14 years
For the first time in 14 years, 472 new units are up for sale in Bishan, a mature Housing Board estate. The two-room flexi, three-room and four-room flats in Bishan Towers, which is bounded by Bishan Street 11 and Braddell Road, will have a view of the Kallang River.
https://www.straitstimes.com/singapore/new-flats-in-bishan-after-14-years

Singapore Economy

Singapore’s openness is advantage amid supply chain changes: Chan
Singapore’s long-term policy posture of openness will stand it in good stead amid the global reshuffling of supply chains, said Minister for Trade and Industry Chan Chun Sing on Wednesday. Even as trade tensions threaten to lead to a “bifurcation” of trade, Singapore can continue to be an integrator, and a base which welcomes everyone to come and do business…
https://www.businesstimes.com.sg/government-economy/singapores-openness-is-advantage-amid-supply-chain-changes-chan
https://www.straitstimes.com/singapore/spur-global-digital-economy-for-next-lap-of-growth-chan

DPM Heng in talks with business and union leaders on effectiveness of support measures to save jobs
Deputy Prime Minister and Finance Minister Heng Swee Keat has been meeting business and union leaders over the past two days to discuss the effectiveness of the support measures that were rolled out in the last few months to save jobs, according to his Facebook post on Wednesday night.
https://www.businesstimes.com.sg/government-economy/dpm-heng-in-talks-with-business-and-union-leaders-on-effectiveness-of-support
https://www.straitstimes.com/singapore/dpm-assures-business-union-leaders-of-continued-support

Companies’ Brief

Ascott extends service offerings to seize new business opportunities
CapitaLand’s wholly-owned lodging business unit, The Ascott Limited, has launched a “work in residence” initiative at participating properties worldwide to transform selected apartments into work suites. To extend its service offerings to guests…
https://www.businesstimes.com.sg/companies-markets/ascott-extends-service-offerings-to-seize-new-business-opportunities

CDL profit dives 99.1% to S$3.1m for H1 as pandemic hits all segments
City Developments Limited (CDL) posted a 99.1 per cent plunge in net profit to S$3.1 million for its first half ended June 30, 2020, from S$362 million a year ago. The prolonged Covid-19 pandemic “severely impacted” the property and hotels group’s performance across its business segments, according to its results released on Thursday.
https://www.businesstimes.com.sg/companies-markets/cdl-profit-dives-991-to-s31m-for-h1-as-pandemic-hits-all-segments
https://www.straitstimes.com/business/companies-markets/cdl-first-half-profit-sinks-991-to-31-m-on-covid-19-hit

PropNex’s Q2 net profit nearly doubles to S$7.3m
Real estate agency PropNex posted a net profit of S$7.26 million for the second quarter ended June 30, almost doubling from the S$3.7 million record in the same period a year earlier, on higher revenue and an increase in contribution from project marketing services.
https://www.businesstimes.com.sg/companies-markets/propnexs-q2-net-profit-nearly-doubles-to-s73m

Yanlord H1 profit falls 59% to 492.9m yuan
Chinese property developer Yanlord Land Group posted a 59 per cent drop in net profit to 492.9 million yuan (S$97.5 million) for its half year ended June 30, 2020, from 1.19 billion yuan a year ago. This was mainly due to a change in the composition of its product mix, the company said in a regulatory filing late on Wednesday night.
https://www.businesstimes.com.sg/companies-markets/yanlord-h1-profit-falls-59-to-4929m-yuan

Banyan Tree sinks deeper into the red in H1 2020 on Covid-19 impact
Banyan Tree Holdings sank deeper into the red with a net loss of S$49.15 million for the six months ended June 30, widening from a loss of S$2.69 million a year ago on the back of the impact of Covid-19.
https://www.businesstimes.com.sg/companies-markets/banyan-tree-sinks-deeper-into-the-red-in-h1-2020-on-covid-19-impact

Centurion, already under pressure, braces for greater impact of Covid-19
Dormitory operator Centurion Corp is feeling the effects of Covid-19 on its business, but says the worst is yet to come. On a call to discuss its H1 2020 results on Wednesday, the group said that it has seen increases in requests to review lease terms as well as for pre-terminations, rental deferrals, waivers, discounts and rebates.
https://www.businesstimes.com.sg/companies-markets/centurion-already-under-pressure-braces-for-greater-impact-of-covid-19
https://www.straitstimes.com/business/companies-markets/centurions-q2-profit-falls-10-on-costs-to-fight-virus-in-dorms

With Sabana Reit merger in question, will ESR move on to next target?
An observer to the tussle between ESR-Reit and activist unitholders at Sabana Reit has described the proposed merger between the two Reits as being “in the intensive care unit”. Getting the deal done would require the agreement of nearly all the minority unitholders of Sabana Reit, said Justin Tang, head of Asian research at United First Partners.
https://www.businesstimes.com.sg/companies-markets/with-sabana-reit-merger-in-question-will-esr-move-on-to-next-target

Sponsor issues notice of breaches to Eagle Hospitality Trust
Urban Commons (UC), the sponsor of beleaguered Eagle Hospitality Trust (EHT), on Wednesday announced that it has sent a breach notice to EHT. It said that funds it had injected into EHT are outstanding and due for repayment.
https://www.businesstimes.com.sg/companies-markets/sponsor-issues-notice-of-breaches-to-eagle-hospitality-trust

Views, Reviews, Forum & Others

Resilience, ingenuity during pandemic
It was a depressing start to the week as news came that the global coronavirus cases had pushed past 20 million on Monday. Worse yet, the disease appears to be accelerating, taking six months to reach 10 million cases after the first infection was reported in early January, but just 43 days to double that number to 20 million.
https://www.straitstimes.com/opinion/st-editorial/resilience-ingenuity-during-pandemic

Minimum wage: Debate issues based on empirical studies, not ideology
The burgeoning public attention on whether Singapore should have a universal minimum wage policy has spurred robust debate. While the engagement of diverse voices is a refreshing scene after the 2020 General Election, the debate appears to have become more about ideology than evidence.
https://www.straitstimes.com/opinion/minimum-wage-debate-issues-based-on-empirical-studies-not-ideology

Three in four jobs in financial sector go to locals: MAS
SINGAPORE’S financial sector created 22,000 net jobs between 2015 and 2019, and of these, three out of four jobs went to locals, said a top official from the Monetary Authority of Singapore (MAS) on Wednesday. In the first half of this year, employment rose by about 1,500 as well, based on MAS’ estimates…
https://www.businesstimes.com.sg/banking-finance/three-in-four-jobs-in-financial-sector-go-to-locals-mas

Update on COVID-19 (Coronavirus Disease 2019) Situation

42 new coronavirus cases in Singapore – lowest in over 4 months
There were 42 new coronavirus cases announced by the Health Ministry yesterday, taking Singapore’s total to 55,395. This was the lowest daily total in more than four months since March 30, when 35 new infections were reported.
https://www.straitstimes.com/singapore/42-new-cases-lowest-in-over-4-months
*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