DAILY NEWS

Daily News – 19th April 2018

Top Story

Widening public-private home price gap may not dent upgrading demand
Is the growing divergence in prices of resale public housing flats and private homes snuffing out the Singaporean dream of owning a condominium? While price data might underscore such fears, market watchers note that there are many mitigating factors to keep the upgrading momentum from owners of Housing & Development Board (HDB) flats going, who sell their flats to move to private housing.
http://www.businesstimes.com.sg/real-estate/widening-public-private-home-price-gap-may-not-dent-upgrading-demand

Singapore Economy

Key industries to be grouped into 6 clusters as economy begins next phase of transformation
The next phase of Singapore’s economic transformation will involve deepening the linkages between complementary industries by grouping them into clusters, said Finance Minister Heng Swee Keat. The aim is to position Singapore as a key node for technology, innovation and enterprise in Asia and around the world. This follows the government’s roll-out of 23 sector-specific road maps for transforming key industries; these Industry Transformation Maps (ITMs) cover 80 per cent of the Singapore economy.
http://www.businesstimes.com.sg/government-economy/key-industries-to-be-grouped-into-6-clusters-as-economy-begins-next-phase-of
http://www.businesstimes.com.sg/government-economy/the-six-clusters-mapping-the-way-forward
http://www.straitstimes.com/business/economy/six-industry-clusters-to-drive-economic-transformation
https://www.channelnewsasia.com/news/singapore/position-singapore-as-a-global-asia-node-in-next-phase-of-10150684

Room for foreign manpower policy review in longer term: Heng Swee Keat
Singapore’s tight foreign manpower policies will stay in place for now to encourage companies to transform, but there is room for review in the longer term, said Finance Minister Heng Swee Keat. The government is sticking to its stance in the short term to signal the importance of raising productivity, he said at a media briefing on Wednesday. “Our priority in the coming years must be to continue to develop Singaporeans. At the same time, a well-calibrated inflow of foreign manpower can complement our people,” he said.
http://www.businesstimes.com.sg/government-economy/room-for-foreign-manpower-policy-review-in-longer-term-heng-swee-keat
http://www.straitstimes.com/business/economy/tight-foreign-manpower-policies-to-stay-for-now-heng

Singapore looks to boost bilateral investments, trade with Shandong
Singapore and eastern Chinese province Shandong will explore ways to increase bilateral investments and trade as well as investment cooperation under the Belt and Road Initiative at their annual business council meeting later this year. These were among areas of cooperation discussed by Senior Minister of State for Communications and Information and Health Chee Hong Tat, who co-chairs the Singapore-Shandong Business Council, and Chinese officials during his visit to the province this week.
http://www.businesstimes.com.sg/government-economy/singapore-looks-to-boost-bilateral-investments-trade-with-shandong-0
http://www.straitstimes.com/asia/east-asia/spore-shandong-to-boost-investment-trade

Singapore Real Estate

Choon Kim House launched for collective sale
Freehold Choon Kim House, located along Upper Serangoon Road, has been launched for collective sale, its sole marketing agent JLL announced on Wednesday. Owners of the four-storey cum attic, mixed-use development are expecting bids above S$55 million. This would translate to a land rate of S$1,287 per square foot per plot ratio (psf ppr), or S$1,257 psf ppr after factoring in the 10 per cent bonus balcony for the residential component and inclusive of a development charge payable currently estimated at around S$4.9 million.
http://www.businesstimes.com.sg/real-estate/choon-kim-house-launched-for-collective-sale
http://www.straitstimes.com/business/property/choon-kim-house-up-for-collective-sale-at-over-55m

Lian Beng JV buys Sembawang Shopping Centre for S$248m from CapitaLand Mall Trust
Lian Beng-Apricot Sembawang (LBAS) has entered into a sale and purchase agreement with CapitaLand Mall Trust (CMT) to purchase Sembawang Shopping Centre for S$248 million. LBAS is a 50-50 joint venture company of home-grown construction firm Lian Beng Group, and Apricot Capital, the private investment firm of the Super Group’s Teo family. The sale is among the largest in value in recent years for a standalone retail mall with an original 999-year leasehold, said Colliers International which brokered the deal.
http://www.businesstimes.com.sg/companies-markets/lian-beng-jv-buys-sembawang-shopping-centre-for-s248m-from-capitaland-mall-trust
http://www.straitstimes.com/business/companies-markets/capitaland-mall-trust-sells-sembawang-shopping-centre-to-lian-beng-joint

Companies’ Brief

Keppel Reit’s Q1 DPU dips to 1.42 Singapore cents
Keppel Reit’s distribution per unit (DPU) dipped to 1.42 Singapore cents for the first quarter ended March 31, 2018 from 1.45 Singapore cents in the year-ago period. That came as Q1 income available for distribution edged up 0.2 per cent to S$48.2 million. For the three months ended March 31, gross revenue slipped 0.3 per cent to S$39.7 million. Net property income (NPI) dipped 0.6 per cent to S$31.2 million.
http://www.businesstimes.com.sg/companies-markets/keppel-reits-q1-dpu-dips-to-142-singapore-cents-0
http://www.straitstimes.com/business/companies-markets/keppel-reits-q1-dpu-dips-on-lower-revenue

Ascott Reit DPU up 9% in Q1 on acquisitions, forex gains
Ascott Residence Trust (Ascott Reit) saw distribution per unit (DPU) rise 9 per cent to 1.28 Singapore cents for the first quarter ended March 31, after adjustment for one-off items, in results released yesterday. This was up from the restated DPU of 1.17 Singapore cents in the same period a year before, following a rights issue in April 2017. The gain came as unitholders’ distribution rose 16 per cent to S$29.2 million.
http://www.businesstimes.com.sg/companies-markets/ascott-reit-dpu-up-9-in-q1-on-acquisitions-forex-gains
http://www.straitstimes.com/business/companies-markets/ascott-reits-q1-dpu-up-9-to-128-cents

VIEWS, REVIEWS, FORUM & Others

Don’t blame Airbnb for rising rents in popular cities
I recently returned from a trip to Japan. Travelling in that country – especially for longer periods of time – is infinitely easier than it was just a decade ago. One of the main reasons is Airbnb. With a few button clicks on a smartphone or laptop, you can book a reasonably priced, centrally located private apartment with all the furnishings of a well-kept Japanese home.
http://www.businesstimes.com.sg/real-estate/dont-blame-airbnb-for-rising-rents-in-popular-cities