DAILY NEWS

Daily News – 17th May 2018

Top Story

Moderate-growth forecast not cause for worry: PM
Although Singapore’s growth has moderated from the highs of earlier decades, today’s forecast of 2 to 4 per cent is “quite good for a mature economy”, Prime Minister Lee Hsien Loong said in Parliament on Thursday.
https://www.businesstimes.com.sg/government-economy/moderate-growth-forecast-not-cause-for-worry-pm
https://www.channelnewsasia.com/news/singapore/many-possibilities-to-grow-economy-reinvent-and-redevelop-10238750

Singapore Economy

More than 100 SMEs gain from group-based upgrading solutions
Over 100 small and medium-sized enterprises (SMEs) have benefited from 22 group-based upgrading projects implemented by SME Centres in the past year, said Senior Minister of State for Trade and Industry Chee Hong Tat on Tuesday. The centres are keen to spearhead more such projects and have set a target to involve another 200 SMEs by year’s end, he added.
https://www.businesstimes.com.sg/government-economy/more-than-100-smes-gain-from-group-based-upgrading-solutions

one-north hub offers new retail experience
A communal space for one-north district’s residents and workers to shop, eat and gather has reopened after a year of upgrading works. Renovations to Fusionopolis’ retail and recreational hub were completed last December, and it now offers new “experiential concepts” and technology initiatives, giving shoppers a chance to do more than just buy a product or service.
https://www.straitstimes.com/singapore/one-north-hub-offers-new-retail-experience

Singapore Real Estate

TT International’s Big Box in Jurong East put up for sale by receivers
The receivers and managers for the owner of Big Box have put the warehouse retail mall put up for sale. The landmark eight-storey building in Jurong East Regional Centre is owned by Big Box, a 51 per cent subsidiary of struggling mainboard-listed consumer electronics retailer TT International.
https://www.businesstimes.com.sg/real-estate/tt-internationals-big-box-in-jurong-east-put-up-for-sale-by-receivers
https://www.straitstimes.com/business/companies-markets/warehouse-retail-mall-big-box-put-up-for-sale

Cavenagh Gardens, Flynn Park, Rosalia Park join bandwagon
The collective sale fever continues, as JLL launched five freehold residential sites with a total value of over S$1.2 billion. The five sites are Cavenagh Gardens off Orchard Road; Flynn Park in Pasir Panjang; Rosalia Park near Serangoon Central; La Ville at Tanjong Rhu Road; as well as the joint sale of three single-storey detached houses at Lorong H Telok Kurau. The three houses at Telok Kurau are owned by three families and do not require approval from the Strata Titles Board.
https://www.businesstimes.com.sg/real-estate/cavenagh-gardens-flynn-park-rosalia-park-join-bandwagon
https://www.straitstimes.com/business/property/five-residential-sites-worth-over-12b-launched-for-collective-sale

Two more District 9 sites launched for collective sale
Two freehold developments in the prestigious Cairnhill enclave of prime District 9, completed in the 1980s, have been launched for collective sale through public tender. Owners of the 36-unit Cairnhill Astoria in Cairnhill Rise are asking for at least S$196 million, while owners of the 18-unit Trendale Tower at Cairnhill Road have put up the development with a reserve price of S$163.52 million.
https://www.businesstimes.com.sg/real-estate/two-more-district-9-sites-launched-for-collective-sale
https://www.straitstimes.com/business/property/cairnhill-astoria-up-for-sale-en-bloc-at-196m

Far East bags coveted Holland site for S$1.2b
A consortium led by property giant Far East Organization, which has clinched a coveted commercial and residential site in Holland Road, is planning a development with apartments for sale, dual office/residential use units, offices, retail space and serviced residences on the site.
https://www.businesstimes.com.sg/real-estate/far-east-bags-coveted-holland-site-for-s12b
https://www.straitstimes.com/business/property/far-east-led-group-clinches-holland-rd-site
https://www.channelnewsasia.com/news/singapore/holland-village-stirling-land-tender-awarded-retail-dining-10239744

New private homes could cost up to S$2,900 psf on average by 2030: DBS report
Singapore — Projecting the population here to hit 6.3 million to 6.5 million by 2030, a research report released by DBS on Wednesday (May 16) forecasts new private homes to cost between S$2,300 and S$2,900 per square foot (psf) by then – sharply higher than the current S$1,500 psf.
https://www.todayonline.com/singapore/new-private-homes-could-cost-s2900-psf-2030-dbs-report

Companies’ Brief

AA Reit: Redevelopment at 3 Tuas Ave 2 to cost S$48.2m
Aims AMP Capital Industrial Reit (AA Reit) on Thursday announced that the redevelopment of its property at 3 Tuas Avenue 2 will cost about S$48.2 million and the property’s value upon completion is estimated at S$51.0 million.
https://www.businesstimes.com.sg/companies-markets/aa-reit-redevelopment-at-3-tuas-ave-2-to-cost-s482m
https://www.straitstimes.com/business/companies-markets/aa-reit-says-redevelopment-at-3-tuas-ave-2-to-cost-482m

CCT to buy prime Frankfurt property for 343m euros, raise at least S$212m via private placement
Capitaland Commercial Trust (CCT) is buying a majority stake in a prime Frankfurt property for 342.7 million euros (S$542.5 million), which will be partially funded through an equity placement of at least S$212 million.
https://www.businesstimes.com.sg/companies-markets/cct-to-buy-prime-frankfurt-property-for-343m-euros-raise-at-least-s212m-via
https://www.straitstimes.com/business/companies-markets/cct-to-buy-prime-frankfurt-commercial-property-for-3427m-euros-to-be

Surbana Jurong, CAI clinch projects in India’s Pune Metropolitan Region
Temasek-owned Surbana Jurong said it will be providing the masterplan for the fast-growing Pune Metropolitan Region in the state of Maharashtra in western India. Separately, Changi Airports International (CAI) will be providing advisory services for the proposed new Pune Airport.
https://www.businesstimes.com.sg/companies-markets/surbana-jurong-cai-clinch-projects-in-indias-pune-metropolitan-region
https://www.straitstimes.com/asia/south-asia/singapore-partners-maharashtra-to-develop-masterplan

OKP group MD, employees charged for worksite accident
OKP Holdings’ wholly owned subsidiary Or Kim Peow Contractors, group managing director Or Toh Wat, and employees Allen Yee and Wong Kiew Hai have been charged for alleged offences arising from a work-site accident in July last year.
https://www.businesstimes.com.sg/companies-markets/okp-group-md-employees-charged-for-worksite-accident

Japanese property firm CRE to invest US$6.2m in Sembcorp Infra Services
Japanese property firm CRE Inc – through subsidiary CRE Asia – has agreed to invest US$6.2 million in Sembcorp Infra Services (SIS) in a share subscription agreement.
https://www.businesstimes.com.sg/companies-markets/japanese-property-firm-cre-to-invest-us62m-in-sembcorp-infra-services

Views, Reviews, Forum & Others

Will CCT divest Twenty Anson?
Over the past couple of years, CapitaLand Commercial Trust (CCT) has reconstituted its portfolio and recycled some capital. This has resulted in the trust gaining a bigger presence in Singapore’s core office markets of Raffles Place and Marina Bay, while shedding an asset in a city-fringe location.
https://www.businesstimes.com.sg/companies-markets/will-cct-divest-twenty-anson

Shrinking the Fed’s large balance sheet
At its meeting in March 2018 the US Federal Reserve raised the target range of the Fed funds rate by a quarter point to 1.5 per cent – 1.75 per cent. Fed officials are projecting a steeper path of rate increases for the next two years, and recent inflation data would hint at the central bank staying firmly on track for another quarter point increase in June.
https://www.businesstimes.com.sg/opinion/shrinking-the-feds-large-balance-sheet

Tighten measures to bring down property prices
Dr Jeremy Teo Chin Ghee’s letter deserves serious consideration by our future-looking Government (Govt should rein in soaring private property prices; May 14). Those belonging to the sandwiched class who do not qualify for public housing have few choices, and the usual route is to purchase a condominium unit. This, however, is now priced out of their reach.
https://www.straitstimes.com/forum/letters-in-print/tighten-measures-to-bring-down-property-prices