DAILY NEWS

Daily News – 16th August 2018

Top Story

Rush to beat cooling measures sends developers’ sales to 16-month high
The knee-jerk reaction by some buyers who raced to snap up private residential properties on the night of July 5 to beat the cooling measures that kicked in the next day sent developers’ sales for July to its highest level in 16 months. The 1,724 private homes developers sold in July was 2.6 times the 654 units in the previous month, and up 55 per cent from the 1,112 units in July 2017.
https://www.businesstimes.com.sg/real-estate/rush-to-beat-cooling-measures-sends-developers-sales-to-16-month-high
https://www.straitstimes.com/singapore/housing/new-private-home-sales-soar-but-analysts-call-it-an-anomaly
https://www.straitstimes.com/singapore/housing/property-curbs-fuel-july-private-home-sales
https://www.channelnewsasia.com/news/business/july-s-new-home-sales-soar-55-to-16-month-high-on-panic-buying-10618498
https://www.todayonline.com/singapore/developers-cut-prices-after-latest-property-curbs

Singapore Economy

Banks’ credit growth under pressure from trade spats and cooling measures
Singapore’s banking sector will face greater headwinds over the coming quarters from the double whammy of the latest property cooling measures and rising trade tensions between the US and China, a research house said yesterday. Turning cautious on the sector’s outlook, Fitch Solutions Macro Research said it has lowered its 2018 and 2019 loan growth forecasts for Singapore banks to 5.0 per cent and 4.5 per cent, respectively, from 6.4 per cent and 6.0 per cent previously.
https://www.businesstimes.com.sg/banking-finance/banks-credit-growth-under-pressure-from-trade-spats-and-cooling-measures
https://www.straitstimes.com/business/banking/spore-banks-to-face-greater-pressures-fitch-solutions

Rising cost of business hurting margins, but SMEs look to new growth markets, innovation
The rising cost of business may be outpacing revenue and suppressing profit margins, but SMEs are actively finding new growth markets and innovating their products and services, according to the Annual Business Survey conducted by the Singapore Chinese Chamber of Commerce and Industry (SCCCI). The preliminary results were revealed by SCCCI president Roland Ng at the opening of the Chamber’s SME Conference on Wednesday. It surveyed 960 respondents, of which 93 per cent are SMEs.
https://www.businesstimes.com.sg/government-economy/rising-cost-of-business-hurting-margins-but-smes-look-to-new-growth-markets
https://www.channelnewsasia.com/news/singapore/smes-should-collaborate-in-the-face-of-disruption-heng-swee-keat-10618774

Singapore Real Estate

SGX eyes billion-dollar Reits, consumer, tech, healthcare IPOs in coming months
Singapore Exchange (SGX) is seeing “very healthy” mandates for initial public offers (IPO) in the coming months – including possible billion-dollar Reits. In addition to real estate investment trusts (Reits), the potential aspirants come from sectors the exchange has been actively marketing to the last couple of years. These include the consumer, healthcare and technology sectors, Chew Sutat, SGX’s head of equities and fixed income, told The Business Times (BT) in a recent interview.
https://www.businesstimes.com.sg/companies-markets/sgx-eyes-billion-dollar-reits-consumer-tech-healthcare-ipos-in-coming-months

Companies’ Brief

Heeton and KSH buy second Japan hotel in Asakusa
Heeton Holdings Limited and KSH Holdings Limited have jointly acquired the Smile Hotel Asakusa in Tokyo, the consortium said in a Singapore Exchange filing on Wednesday night. Heeton will have a 70 per cent stake and KSH a 30 per cent stake in the asset, which is the duo’s second hotel property in Japan. The acquisition sum was not disclosed.
https://www.businesstimes.com.sg/companies-markets/heeton-and-ksh-buy-second-japan-hotel-in-asakusa

Views, Reviews, Forum & Others

HDB flat buyers are home owners, not tenants
In a world where many people cannot afford housing in big cities, Singapore prides itself as a nation where 90 per cent of its population are home owners. The Housing Board’s 99-year contract is that between a lessor and a lessee.
https://www.straitstimes.com/forum/letters-in-print/hdb-flat-buyers-are-home-owners-not-tenants