DAILY NEWS

Daily News – 17th April 2019

Singapore Real Estate

7-ha Jurong tourism playground among moves to fend off rivals
Singapore is revamping its attractions and offerings with major projects spread out across the island, in efforts to buttress its position as a prime tourist destination on the back of keen competition in the region. Key among the initiatives announced on Tuesday is the allocation of a seven-hectare site at Jurong Lake District for an integrated tourism development that would include attractions and a hotel that has drawn buzz by industry players.
https://www.businesstimes.com.sg/government-economy/7-ha-jurong-tourism-playground-among-moves-to-fend-off-rivals
https://www.businesstimes.com.sg/government-economy/jurong-tourism-site-set-to-tax-developers-creativity
https://www.straitstimes.com/singapore/jurong-lake-district-to-host-new-tourism-hub-from-2026
https://www.straitstimes.com/singapore/residents-welcome-tourism-hub-plan-but-some-express-reservations
https://www.channelnewsasia.com/news/singapore/tourism-development-jurong-lake-district-stb-11449056

Sharp drop in Singapore Q1 property investment sales: Colliers
Real estate investment sales in Singapore fell 52 per cent year on year to S$5.3 billion in the first quarter of 2019, on cooling in the latest bout of en-bloc fever and from residential property curbs. This is according to a Colliers International research report released on Tuesday. The corresponding period in 2018 had seen a record level of residential collective sales, Colliers noted.
https://www.businesstimes.com.sg/real-estate/sharp-drop-in-singapore-q1-property-investment-sales-colliers
https://www.straitstimes.com/business/property-investment-sales-in-spore-down-52-in-q1-colliers

Singapore Economy

Singapore exports hit double-digit slump in March; government cites high base effect
Singapore’s export growth returned to the negative zone in March, partly on the previous year’s high base, according to government agency Enterprise Singapore (ESG) on Wednesday. Non-oil domestic exports were down by 11.7 per cent year on year, far worse than the median decline of 2.2 per cent predicted in a Bloomberg poll of private economists.
https://www.businesstimes.com.sg/government-economy/singapore-exports-hit-double-digit-slump-in-march-government-cites-high-base
https://www.straitstimes.com/business/economy/singapore-non-oil-exports-fall-117-in-march-the-biggest-drop-in-more-than-2-years
https://www.channelnewsasia.com/news/singapore/singapore-march-exports-post-worst-fall-in-2-years-11452728

Singaporeans’ inflation expectations stay benign in March: poll
Singaporeans generally expect overall consumer prices and core inflation – that is, price hikes outside of housing and private transport – to remain largely stable over the next 12 months. This is according to the latest results from the DBS-SMU Singapore Index of Inflation Expectations (SInDEx) poll, released on Tuesday.
https://www.businesstimes.com.sg/government-economy/singaporeans-inflation-expectations-stay-benign-in-march-poll
https://www.straitstimes.com/business/singaporeans-expect-inflation-to-remain-stable

STB partners Alibaba, Indonesia tech unicorn Traveloka to woo China, Asean visitors
Efforts to woo South-east Asian and China visitors to Singapore get a boost with two agreements signed on Tuesday, on the sidelines of the Tourism Industry Conference 2019. The first is a three-year memorandum of understanding (MOU) inked by the Singapore Tourism Board (STB) and Alibaba Group to drive visitor arrivals and spending by Chinese visitors.
https://www.businesstimes.com.sg/consumer/stb-partners-alibaba-indonesia-tech-unicorn-traveloka-to-woo-china-asean-visitors
https://www.straitstimes.com/singapore/stb-ties-up-with-alibaba-to-woo-chinese-tourist-dollars

Singapore firms to trial ideas at Sentosa with launch of enterprise scheme
A new initiative for Singapore enterprises to trial new ideas, concepts and technologies at Sentosa was launched on Tuesday, as part of efforts to drive innovation and enhance the island’s leisure offerings. Known as the Sentosa x Enterprise scheme, it is a risk-sharing arrangement for businesses to work on projects that could boost Sentosa’s attractiveness.
https://www.businesstimes.com.sg/consumer/singapore-firms-to-trial-ideas-at-sentosa-with-launch-of-enterprise-scheme
https://www.straitstimes.com/singapore/sentosa-offers-to-test-new-ideas-to-draw-more-visitors
https://www.todayonline.com/singapore/new-scheme-entice-businesses-use-sentosa-living-lab-innovative-ideas

Companies’ Brief

CWT parent defaults on loan
Real estate investment trusts (Reits) that count logistics player CWT Pte Ltd as a major tenant faced a sell-off on Tuesday after CWT’s parent defaulted on a loan agreement. But DBS Group Research analysts have said that they do not anticipate major near-term earnings disruptions to Cache Logistics Trust (Cache), Mapletree Logistics Trust (MLT) and AIMS APAC Reit (AA Reit).
https://www.businesstimes.com.sg/companies-markets/cwt-parent-defaults-on-loan
https://www.straitstimes.com/business/cwt-international-faces-asset-seizures-after-defaulting-on-loan

Consortium led by Keppel unit bags S$52.5m JTC deal
JTC Corporation has awarded a S$52.5 million contract to a consortium consisting of Keppel Corp’s unit Keppel Infrastructure Holdings and Asia Projects Engineering for a Jurong Island pipelines project, following an open tender. Led by energy solutions provider Keppel Infrastructure through its subsidiary Pipenet, the consortium is tasked with designing and building two 48-inch crude oil pipelines and ancillary facilities along parts of Banyan Drive, Banyan Avenue and the Jurong Island Highway, Keppel Corp said on Tuesday.
https://www.businesstimes.com.sg/companies-markets/consortium-led-by-keppel-unit-bags-s525m-jtc-deal
https://www.straitstimes.com/business/companies-markets/keppel-infrastructure-led-consortium-snags-525m-jurong-island-pipelines

Keppel-KBS US Reit’s Q1 DPU beats forecast
Keppel-KBS US Reit on Tuesday declared a distribution per unit (DPU) of 1.5 US cents for the first quarter, 23 per cent higher than the forecasted 1.22 US cents. This was on the back of contributions from two acquisitions, positive rental reversion and healthy leasing momentum. They resulted in a higher gross revenue of US$29.4 million, up 24.2 per cent from US$23.7 million a year ago.
https://www.businesstimes.com.sg/companies-markets/keppel-kbs-us-reits-q1-dpu-beats-forecast

Mapletree Logistics Trust: CWT has paid rents
Mapletree Logistics Trust (MLT) became the latest landlord to state that logistics provider CWT Pte Ltd, whose Hong Kong parent has failed to pay creditors, has not defaulted on its rental payments. Trust manager Mapletree Logistics Trust Management said CWT Pte Ltd had no arrears due to date from current tenancy agreements for five MLT properties at 5A Toh Guan Road East, 4 Pandan Avenue, 6 Fishery Port Road, 38 Tanjong Penjuru and 52 Tanjong Penjuru. MLT also noted that it currently holds security deposits of six months of rental.
https://www.businesstimes.com.sg/companies-markets/mapletree-logistics-trust-cwt-has-paid-rents

Ascendas India Trust increases debt programme limit by S$1b
Ascendas India Trust has increased the limit of its multicurrency debt programme by S$1 billion, raising the likelihood that the India-focused IT business park real estate investment trust will be looking to borrow more funds. The maximum aggregate principal amount of notes and perpetual securities that may be issued under its multicurrency debt issuance programme is now raised to S$1.5 billion from S$500 million, trustee-manager Ascendas Property Fund Trustee said in a filing on Tuesday night.
https://www.businesstimes.com.sg/companies-markets/ascendas-india-trust-increases-debt-programme-limit-by-s1b
https://www.straitstimes.com/business/companies-markets/ascendas-india-trust-increases-debt-programme-limit-by-1b

SPH acquires UK student housing for £133.7 million
Singapore Press Holdings (SPH) has added £133.7 million (S$236.5 million) worth of assets to its United Kingdom student accommodation portfolio, increasing it by 1,243 beds to 5,059 across 20 assets in 10 cities. The company, which publishes The Business Times, announced in a regulatory filing on Tuesday that its three wholly-owned subsidiaries Straits Five, Straits Six and Straits Eight had entered into a sale-and-purchase agreement with Habitus Holdings…
https://www.businesstimes.com.sg/companies-markets/sph-acquires-uk-student-housing-for-%C2%A31337-million
https://www.straitstimes.com/singapore/sph-adds-237m-of-assets-to-uk-student-housing-portfolio

ESR gets 20b yen loan from UOB to fund purchase of land in Yokohama
Logistics real estate company ESR has obtained a 20 billion yen (S$242 million) loan from United Overseas Bank (UOB) to partially fund its acquisition of a plot of land in Yokohama, Japan, to be developed into a billion-dollar distribution centre. UOB’s Tokyo branch and ESR Sachiura TMKs inked the non-recourse financing facility agreement.
https://www.businesstimes.com.sg/companies-markets/esr-gets-20b-yen-loan-from-uob-to-fund-purchase-of-land-in-yokohama
https://www.straitstimes.com/business/companies-markets/esr-gets-242m-loan-from-uob-to-buy-prime-tokyo-land-for-distribution

First Sponsor almost fully redeems convertible perps ahead of proposed rights issue
Mainboard-listed First Sponsor Group said on Tuesday night that it has converted into shares and cancelled S$159.6 million or 98.4 per cent in initial aggregate principal amount of its Series 1 perpetual convertible capital securities. This was after it had converted and cancelled an additional S$12.8 million or 7.9 per cent of the initial aggregate principal amount of the 3.89 per cent securities between April 8 and April 16 of this year.
https://www.businesstimes.com.sg/companies-markets/first-sponsor-almost-fully-redeems-convertible-perps-ahead-of-proposed-rights