To be global manufacturing hub, Singapore firms need deep capabilities: Iswaran
To fulfil Singapore’s vision of becoming a leading global manufacturing hub, its companies will have to develop deep capabilities and go into international markets, Minister for Trade and Industry (Industry) S. Iswaran has said. Manufacturing is expected to remain a significant pillar of the economy and continue contributing 20 per cent of Singapore’s gross domestic product, even as the sector faces global competition and disruptive tech trends, he said.
Inflation eases in March but expected to pick up in months ahead
Inflation stayed muted last month as the cost of food and services rose more slowly and car prices fell – but increases are looming. Prices across the economy are expected to pick up in the months ahead, due in part to the stronger economic outlook. The consumer price index – the main measure of inflation – edged up 0.2 per cent in March compared with the same month last year, according to Department of Statistics data released yesterday. This was below February’s 0.5 per cent rise and also below economist estimates of a 0.5 per cent increase.
Singapore Real Estate
Freehold site in Jalan Besar for sale by expression of interest
A freehold commercial site at the former New World Amusement Park along Jalan Besar has been launched for sale via an expression of interest (EOI) exercise. On Monday, marketing agent JLL said the indicative guide price of the site is about S$13.5 million, reflecting a unit land rate of S$1,392 per square feet per plot ratio (psf ppr). No development charge is payable for the intensification of the site.
Two freehold sites going en bloc
Park House in Orchard and St Michael’s Condominium in Serangoon have joined the collective sale frenzy with guide prices of S$308 million and S$112 million respectively. The S$308 million reflects a land rate of approximately S$2,387 per sq ft per plot ratio, or S$2,170 per sq ft per plot ratio after taking into consideration the 10 per cent bonus gross floor area allowed for balconies.
Oxley tipped to clinch Pei Fu Industrial Building
Oxley Holdings is expected to clinch Pei Fu Industrial Building off Upper Paya Lebar Road in what could be the first collective sale of an industrial property to be awarded this year. The Business Times understands that the mainboard-listed group will be paying S$76.25 million for the freehold property in New Industrial Road.
Olina Lodge sold for S$230.9 million
The hilltop Olina Lodge was sold on April 20 for S$230.9 million, 5 per cent higher than the reserve price of S$220 million, to Peak Opal, a related company of Kheng Leong. The sale price works out to a land rate of S$1,712 per square foot per plot ratio. Development charge will not be payable due to the high development baseline.
MIT posts 2.4% rise in Q4 DPU
Buoyed by contributions from new properties, industrial landlord Mapletree Industrial Trust (MIT) reported a 2.4 per cent year-on-year rise in distribution per unit (DPU) to 2.95 Singapore cents for the fourth quarter ended March 31, 2018. This was underpinned by contribution from a build-to-suit project for HP Singapore and a 40 per cent interest in a portfolio of 14 data centres in the US, its Reit manager said on Monday.
Ascendas Reit’s Q4, full-year DPU up on acquisitions
Ascendas Reit on Monday reported an increase in distribution per unit (DPU) to 3.91 Singapore cents for its fourth quarter ended March 31, 2018. This is higher than the 3.852 Singapore cents it paid out a year ago. Gross revenue of the trust rose 3.3 per cent to S$215.7 million, while net property income rose 2.5 per cent to S$157.9 million, as the contributions from the acquisition of 108 Wickham Street in Brisbane, Australia last December kicked in, partly offset by the divestment of 84 Genting Lane in Singapore in January this year.
Sabana Reit’s DPU constant at 0.88 Singapore cents
Lower contributions from some of its properties, cushioned by reduced property expenses, dented results for landlord Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (Sabana Reit) in its first quarter ended March 31. Distribution per unit (DPU) was flat at 0.88 Singapore cents, thanks to the manager forgoing 20 per cent of its base fees in a goodwill move. DPU would have been 0.86 cents, up from 0.80 cents from the year-ago quarter when it waived 75 per cent, or S$944,000, of base fees.
ESR-Reit acquires Tampines logistics facility for S$95.8m
ESR-Reit announced that it had on Monday entered into a conditional agreement with vendor Tampines Distrihub to acquire a logistics facility for S$95.8 million. The purchase price includes a consideration of S$86.2 million and estimated upfront land premium payable for the balance lease term of S$9.6 million. The total acquisition cost amounts to S$99.9 million, factoring in stamp duties of S$2.9 million and S$1.2 million in other transaction costs.
CapitaLand Commercial Trust Q1 DPU down 11.7% at 2.12 Singapore cents
CapitaLand Commercial Trust (CCT) posted a lower distribution per unit (DPU) of 2.12 Singapore cents for the first quarter from 2.40 Singapore cents the year before. This was due to an enlarged number of CCT units arising from the issue of new units from a rights issue, conversion of convertible bonds in fiscal 2017, and the issue of units for management fees.
Firm that owned Le Meridien hotel in Sentosa hit by financial woes
When Movenpick Heritage Hotel Sentosa was rebranded as Le Meridien in June 2016, there was much fanfare over the return of the then Starwood Hotels & Resorts brand to Singapore after nearly a decade. But behind the scenes, Mr Rodney Tan Boon Kian, whose company Treasure Resort owned the luxury five-star hotel, was quietly trying to sell it amid deepening financial difficulties.
Advancer Global wins S$10.7m of facilities management contracts
Advancer Global has secured S$10.7 million of facilities management services contracts in the three months ended March 31, 2018, the workforce solutions and services provider announced on Tuesday (April 24) before the market opened. The contracts run from one month to two years, and stem from the division that provides security services, cleaning and stewarding, property management, landscaping and pest control. About 52.8 per cent of the contracts’ value comes from existing customers, with the remaining 47.2 per cent from new customers, Advancer Global said.
Views, Reviews, Forum & Others
Various options for seniors to monetise HDB flats
We thank Mr Ronnie Lim Ah Bee for his letter (Seniors facing problems selling old flats; April 3). The saleability of an HDB flat is dependent on many factors and not just the length of the lease. Other factors include location, the amenities in the neighbourhood and the physical condition of the flat.
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Additional Articles of Interests – Local & Overseas Real Estate
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