DAILY NEWS

Daily News – 25, 26 & 27 Jun 2022 (Sat, Sun & Mon)

Singapore Real Estate

Shocks to property sector usually stretch beyond the recessions: IREUS
An analysis of historical data has shown that real estate downturns in Singapore associated with recessions tend to last longer than the periods of economic decline, according to the Institute of Real Estate and Urban Studies (IREUS) at the National University of Singapore.
https://www.businesstimes.com.sg/real-estate/shocks-to-property-sector-usually-stretch-beyond-the-recessions-ireus

Retail investors of Reits should take a closer look at corporate governance
‘A dumping ground for underperforming real estate (assets)’. That was what a lawyer friend uttered when our lunch conversation topic turned to Reits, a relatively new investment vehicle that was introduced to the Singapore capital market at the turn of the century.
https://www.businesstimes.com.sg/wealth-investing/retail-investors-of-reits-should-take-a-closer-look-at-corporate-governance

Five S-Reits drawing net institutional inflows in 2022 year to date
In Q2 2022 to date, the Straits Times Index (STI) has generated an 8 per cent decline in total returns, while the FTSE Developed Index declined 16 per cent. The iEdge S-Reit Index maintained resilience with a 2 per cent decline in total returns, while the FTSE EPRA Nareit Developed Index (a benchmark for global Reits) declined 15 per cent.
https://www.businesstimes.com.sg/companies-markets/five-s-reits-drawing-net-institutional-inflows-in-2022-year-to-date

How to get lower rental rates, better leasing terms
In the first quarter of this year, condo rents grew at their fastest pace since 2010 to a new record and are up by almost 12 per cent from last year. During the pandemic, demand changes have accelerated with many Singaporeans renting due to construction delays in housing projects, especially Build-To-Order flats.
https://www.straitstimes.com/business/invest/how-to-get-lower-rental-rates-better-leasing-terms

Demand for housing loans from HDB expected to grow as bank rates rise
Singapore – HDB housing loans, currently offered at 2.6 per cent per annum, are emerging as a more attractive and stable option for risk-averse owners as mortgage rates from private banks rise.
https://www.straitstimes.com/business/property/demand-for-housing-loans-from-hdb-expected-to-grow-as-bank-rates-rise
https://www.straitstimes.com/business/property/hdb-buyers-should-now-expect-higher-interest-rates-on-bank-loans-for-their-flats

First-timers have good chance to book BTO flat as 40% of applicants invited to do so decline: HDB
About 40 per cent of applicants who have been invited to book a Build-To-Order (BTO) flat end up declining the offer. This is despite robust housing demand in the past 2 years, with some of the most popular BTO projects so popular that up to 16 applicants vie for each 4-room flat available.
https://www.businesstimes.com.sg/real-estate/first-timers-have-good-chance-to-book-bto-flat-as-40-of-applicants-invited-to-do-so
https://www.straitstimes.com/singapore/housing/40-per-cent-of-applicants-invited-to-book-bto-flat-do-not-do-so-hdb

Singapore Economy

More complex world situation reinforces need for dialogue to build trust and cooperation: PM Lee
The world is in a new situation whereby the understanding that the major powers will compete with each other but stop short of damaging the peace no longer holds, Prime Minister Lee Hsien Loong said on Saturday (June 25).
https://www.businesstimes.com.sg/global-enterprise/more-complex-world-situation-reinforces-need-for-dialogue-to-build-trust-and
https://www.straitstimes.com/world/more-complex-world-situation-reinforces-need-for-dialogue-to-build-trust-and-cooperation-pm-lee

Singapore started stockpiling and diversifying food supplies since Covid-19 began: PM Lee
While the recent trend of countries imposing food export bans is worrying, it is not surprising given the domino effect that the shortage and price spike of feedstock caused by the war in Ukraine has had on products like poultry, said Prime Minister Lee Hsien Loong.
https://www.businesstimes.com.sg/government-economy/singapore-started-stockpiling-and-diversifying-food-supplies-since-covid-19-began
https://www.straitstimes.com/singapore/singapore-anticipated-disruption-of-food-supplies-started-stockpiling-and-diversifying-since-covid-19-began-pm-lee

Companies’ Brief

Boustead Projects acquires Bideford Road property at S$515m, below valuation
Boustead Projects has acquired an 18-storey freehold luxury mixed-used development along 28 and 30 Bideford Road through its 50 per cent-owned joint venture of the group’s wholly-owned subsidiary, BP-Real Estate Investment.
https://www.businesstimes.com.sg/companies-markets/boustead-projects-acquires-bideford-road-property-at-s515m-below-valuation

Frasers Logistics & Commercial Trust buys freehold logistics development in UK for £101m
The manager of Frasers Logistics & Commercial Trust (FLCT) announced on Saturday (Jun 25) that it has acquired a freehold logistics development in the UK for a total consideration on a completed basis of £101 million (S$171.7 million).
https://www.businesstimes.com.sg/companies-markets/frasers-logistics-commercial-trust-buys-freehold-logistics-development-in-uk-for

Knight Frank, SAS to set up committee safeguarding security workers
Property managing agent Knight Frank and Security Association Singapore (SAS) have agreed to set up a committee to safeguard the welfare of security workers and foster collaboration among security services and managing agents, the organisations said in a joint statement on Friday (Jun 24).
https://www.businesstimes.com.sg/real-estate/knight-frank-sas-to-set-up-committee-safeguarding-security-workers

Lian Beng’s Singapore construction order book lifted to S$1.8 billion as unit bags contract
United Tec Construction, which is 60 per cent-owned by construction company Lian Beng Group secured a new construction project which has bumped up the group’s construction order book in Singapore to some S$1.8 billion.
https://www.businesstimes.com.sg/companies-markets/lian-bengs-singapore-construction-order-book-lifted-to-s18-billion-as-unit-bags

Views, Reviews, Forum and Others

JB property owners halt cash-out plans in anticipation of price rebound
Many property owners who were looking at letting go of their properties in Johor Baru have changed their minds after Singapore and Malaysia’s land borders reopened on April 1, in the anticipation of property prices rebounding in the near future.
https://www.businesstimes.com.sg/asean-business/jb-property-owners-halt-cash-out-plans-in-anticipation-of-price-rebound

Malaysia’s economic recovery stymied by top talent flight to Singapore
Malaysia’s economy is cranking up after the pandemic. Land borders with Singapore have reopened, bringing in millions of visitors. Kuala Lumpur’s notorious traffic jams are back and shoppers are flocking to malls.
https://www.businesstimes.com.sg/government-economy/malaysias-economic-recovery-stymied-by-top-talent-flight-to-singapore

Top tips on buying property in Britain
This fortnightly column addresses readers’ queries on investing issues. This week, we look at residential property markets overseas.
https://www.straitstimes.com/business/invest/inthemoney-things-to-consider-when-buying-a-property-in-britain

Home loans with UK bank likely to cost more after latest rate hike
This fortnightly column addresses readers’ queries on investing issues. This week, we look at residential property markets overseas.
https://www.straitstimes.com/business/invest/home-loans-with-uk-bank-likely-to-cost-more-after-latest-rate-hike

Update on COVID-19 (Coronavirus Disease 2019) situation

Countries should do much more together to prepare for next pandemic: PM Lee at Commonwealth leaders’ meeting
There is a pressing need for the international community to deepen cooperation ahead of the next pandemic, Prime Minister Lee Hsien Loong told his counterparts from more than 50 nations on Friday (June 24).
https://www.straitstimes.com/world/countries-should-do-much-more-together-to-prepare-for-next-pandemic-pm-lee-at-commonwealth-leaders-meeting

Stay alert to threat of Covid-19 returning
The authorities here have put the public on notice with a warning this week that there had been a 23 per cent week-on-week increase in community infections of the coronavirus pandemic.
https://www.straitstimes.com/opinion/st-editorial/stay-alert-to-threat-of-covid-19-returning

Vaccination centres busier this week as more aged 50 and above go for booster shots
Singapore – More people aged 50 and above have gone for their first as well as their second Covid-19 booster shots, as vaccination centres saw higher footfall this week than in previous weeks.
https://www.straitstimes.com/singapore/environment/vaccination-centres-busier-this-week-as-more-aged-50-and-above-go-for-booster-shots

Most parents open to letting their kids under 5 get Covid-19 vaccination
Singapore – When Ms Julia Wang’s daughter turned five earlier this year, she thought hard about whether to get her vaccinated against Covid-19 as she was worried about side effects.
https://www.straitstimes.com/singapore/parents-open-to-giving-children-under-5-covid-19-jab-as-authorities-study-safety-effectiveness

*For more information, please visit the Ministry of Health (MOH) website at www.moh.gov.sg and refer to go.gov.sg/mohupdates for updates on the COVID-19 (Coronavirus Disease 2019) situation