DAILY NEWS

Daily News – 28, 29 & 30 Nov 2020 (Sat, Sun & Mon)

Singapore Real Estate

Loss-making private home resales bear watching as stimulus tapers off
The proportion of loss-making residential transactions in the secondary market has eased in recent months after climbing in the second quarter (Q2) of the year, although some analysts say the situation may bear monitoring as policy stimulus and support measures progressively taper off. Still, the extension to the relief on mortgage repayments beyond the year-end will give a buffer to some property owners in financial distress, analysts pointed out.
https://www.businesstimes.com.sg/real-estate/loss-making-private-home-resales-bear-watching-as-stimulus-tapers-off
https://www.straitstimes.com/business/property/spore-residential-property-market-remains-resilient-despite-downturn

Balestier unit fetches S$3.5m profit in October sale; Sentosa apartment records S$6.2m loss
A 5,253 square foot (sq ft) unit at freehold development Rajah Towers was sold for S$4.5 million last month – more than four times the purchase price of S$960,000 – earning the seller a handsome profit. In addition to racking up the highest gain by percentage, the transaction was also among the top three in October by quantum.
https://www.businesstimes.com.sg/real-estate/balestier-unit-fetches-s35m-profit-in-october-sale-sentosa-apartment-records-s62m-loss

90% of units sold at The Landmark condo over launch weekend, averaging $2,250 psf
Singapore – The property market continues to draw interest amid the pandemic, with over 90 per cent of 120 units released for The Landmark condominium snapped up on its launch weekend. About 110 units were sold as of Sunday, representing some 30 per cent of the total number of units at the 99-year leasehold project in Chin Swee Road. The units went for at an average price of $2,250 per sq ft (psf). About half of them are one-bedroom units with a starting price of $1,955 psf.
https://www.straitstimes.com/business/property/90-of-units-sold-at-the-landmark-condo-over-launch-weekend-averaging-2250-psf
https://www.businesstimes.com.sg/real-estate/over-90-of-the-landmark-units-launched-sold-on-first-day

Singapore, Hong Kong office Reits prove resilient in post-virus world
The office may never reach its past heights in the post-pandemic world, but the outlook for Singapore and Hong Kong offices is promising. Relatively small homes in these cities, short commutes to work and new tech firm tenants bode well for property trusts that focus on these markets. Domestically focused real estate investment trusts (Reits) in these hubs have outperformed their peers in Australia and Japan this year, and continue to rise on the back of a rotation to economically sensitive stocks.
https://www.straitstimes.com/business/property/spore-hk-office-reits-prove-resilient-in-post-virus-world

Passing on property as an inheritance
Maybe you own a condominium or a Housing Board flat, and you want to leave that property to the next generation. In all likelihood, you will need a will, a family trust or life estate. According to Ms Jacintha Pillay, a partner at Sim Mong Teck & Partners, there are several intricacies of inheritance laws here that property owners should take note of.
https://www.straitstimes.com/business/invest/passing-on-property-as-an-inheritance-0

Reits (Nov 28-29, 2020)
https://www.businesstimes.com.sg/real-estate/reits-nov-28-29-2020

Singapore Economy

The economic impact of Covid-19
It’s close to a year since the first case of Covid-19 emerged – has the economic recovery begun? While most economists are cautiously optimistic about Singapore’s trajectory, elsewhere, it’s an unclear picture amid the chaos of yet another wave of infections, promising vaccine trials and economic reopening
https://www.businesstimes.com.sg/infographics/the-economic-impact-of-covid-19

Services sector sees reprieve in Q3, but revenue 9.5% lower than last year
Singapore’s services sector saw a 9.5 per cent year on year decline in revenue in the third quarter of 2020, although receipts improved on a quarterly basis compared to Q2, according to the Singapore Department of Statistics (SingStat) on Friday.
https://www.businesstimes.com.sg/government-economy/services-sector-sees-reprieve-in-q3-but-revenue-95-lower-than-last-year
https://www.straitstimes.com/business/economy/more-revenue-for-spores-service-sector-in-q3-than-q2

More businesses set up in S’pore despite Covid-19 recession
Despite Covid-19 tightening the noose around some businesses, more firms have been set up in the past five months than in the same period last year, with experts describing this new wave of entrepreneurs as a sign of confidence in Singapore’s recovery.
https://www.straitstimes.com/business/companies-markets/more-businesses-set-up-in-spore-despite-covid-19-recession

More firms tipped to close in coming months, say experts
Despite a recent uptrend in business formations in Singapore, entity closures are also expected to rise in the coming months, experts told The Sunday Times. Around 35,400 were deregistered between January and October – lower than the average of 41,100 seen over the same 10-month period between 2015 and last year, according to data from the Accounting and Corporate Regulatory Authority (Acra).
https://www.straitstimes.com/business/economy/more-firms-tipped-to-close-in-coming-months-say-experts

Retail sales at Changi terminals plunge 74%
When the $1.7 billion Jewel Changi Airport opened its doors in April last year, it was to much fanfare and large crowds. But a year and a half later, with leisure and business air travel practically disappearing amid the raging Covid-19 pandemic, the situation is markedly different.
https://www.straitstimes.com/singapore/transport/retail-sales-at-changi-terminals-plunge-74
https://www.straitstimes.com/singapore/transport/changi-pivots-online-to-help-retailers

Hard-won RCEP trade pact draws queue of potential new partners
The ink has barely dried on the Regional Comprehensive Economic Partnership (RCEP), already several parties are interested in joining the trade pact, said Singapore’s chief negotiator Sulaimah Mahmood. And while India’s departure from negotiations last November caused “the greatest pain”, it is welcome back at any time, she added, in an interview with the Ministry of Trade and Industry’s negotiating team.
https://www.businesstimes.com.sg/government-economy/hard-won-rcep-trade-pact-draws-queue-of-potential-new-partners
https://www.straitstimes.com/singapore/politics/how-worlds-largest-trade-pact-benefits-sporeans-businesses
https://www.straitstimes.com/singapore/asean-played-central-role-in-driving-rcep-process-observers-say
https://www.straitstimes.com/singapore/politics/eight-year-journey-of-trade-pact-marked-by-twists-and-turns

Companies’ Brief

CDL to report full-year loss as Covid-19 impact lingers
City Developments Limited (CDL) expects to fall into the red in 2020 with a full-year loss, reversing from a S$564.6 million net profit in 2019, dragged by the prolonged impact of the coronavirus outbreak. It foresees further impairment losses, and British subsidiary Millennium & Copthorne Hotels (M&C) and China-based joint venture (JV) Sincere Property Group are set to spill some red ink.
https://www.businesstimes.com.sg/companies-markets/cdl-to-report-full-year-loss-as-covid-19-impact-lingers

SPH to invest in digitalising media business, seek new recurring income
Singapore Press Holdings (SPH) will continue to invest in the transformation of its media business in response to changing consumer habits, which have been accelerated by the Covid-19 pandemic. At its annual general meeting (AGM) on Friday, SPH chief executive Ng Yat Chung said: “We have not been spared from rapid changes disrupting the news media industry everywhere.
https://www.businesstimes.com.sg/companies-markets/sph-to-invest-in-digitalising-media-business-seek-new-recurring-income-0
https://www.straitstimes.com/business/companies-markets/sph-to-continue-media-business-transformation

Sabana-ESR-Reit merger: Minority unitholders should make voices heard
It is not often that minority shareholders get the chance to determine the outcome of a significant corporate deal, but the proposed merger between Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (Sabana Reit) and ESR-Reit is one such instance since substantial shareholders, both managers and concert parties will abstain from voting.
https://www.businesstimes.com.sg/companies-markets/sabana-esr-reit-merger-minority-unitholders-should-make-voices-heard

Proxy advisers Glass Lewis, ISS recommend proposed merger of Sabana and ESR-Reit
Proxy advisers Glass Lewis and ISS have issued recommendations in favour of the resolutions up for voting at the upcoming extraordinary general meeting (EGM) and scheme meeting of Sabana Shari’ah Compliant Industrial Real Estate Investment Trust (Sabana Reit) and ESR-Reit on Dec 4, which includes unitholders voting for the proposed merger of the two real estate investment trusts (Reits).
https://www.businesstimes.com.sg/companies-markets/proxy-advisers-glass-lewis-iss-recommend-proposed-merger-of-sabana-and-esr-reit

Corporate digest
https://www.businesstimes.com.sg/companies-markets/corporate-digest-1267
https://www.businesstimes.com.sg/companies-markets/corporate-digest-1268

Views, Reviews, Forum & Others

Terrorism threat is very much alive
Singaporeans should be perturbed by the announcement earlier this week that the Internal Security Department had investigated 37 individuals, 14 of them Singaporeans, in the wake of the recent terror attacks in France. These people were involved in inciting violence and stoking communal unrest, or made derogatory remarks against Muslims.
https://www.straitstimes.com/opinion/st-editorial/terrorism-threat-is-very-much-alive-0

STB explains why stacking of tourism vouchers not allowed
The decision to prevent the stacking of SingapoRediscovers Vouchers was made so that the tourism vouchers could benefit more businesses, said the Singapore Tourism Board (STB) yesterday. While many welcome the scheme, some consumers have lamented the $100 vouchers cannot be stacked or combined with those of their family and friends within the same redemption.
https://www.straitstimes.com/singapore/consumer/stb-explains-why-stacking-of-tourism-vouchers-not-allowed

Vietnam is top pick for businesses going overseas
Vietnam is drawing record numbers of Singapore businesses as companies continue to look for expansion opportunities despite Covid-19. Enterprise Singapore (ESG) said it has supported more than double the number of internationalisation projects for enterprises looking to expand into Vietnam since 2018.
https://www.businesstimes.com.sg/asean-business/vietnam-is-top-pick-for-businesses-going-overseas

Malaysia yet to finalise plans for KL-S’pore HSR project
The Malaysian government said yesterday it has yet to finalise plans for the Kuala Lumpur-Singapore High-Speed Rail (HSR) project, after a news report claimed it was considering changes so that the line ends in Johor Baru and not Singapore.
https://www.straitstimes.com/asia/se-asia/malaysia-yet-to-finalise-plans-for-kl-spore-hsr-project

48% of Singapore households switched to electricity retailer
Fewer than half of households here have switched to an electricity retailer since the liberalisation of the energy market two years ago. The Energy Market Authority (EMA) said many of the island’s 1.4 million households are still purchasing electricity from SP Group.
https://www.straitstimes.com/singapore/48-of-spore-households-switched-to-electricity-retailer

Update on COVID-19 (Coronavirus Disease 2019) Situation

Eight new Covid-19 cases in Singapore; one in the community
[Singapore] There were eight new coronavirus cases confirmed as of Sunday noon, taking Singapore’s total to 58,213. There were seven imported cases who had been placed on stay-home notices on arrival in Singapore. Sunday’s figure also included one community case, said the Ministry of Health (MOH).
https://www.businesstimes.com.sg/government-economy/eight-new-covid-19-cases-in-singapore-one-in-the-community

2 Covid-19 cases that tested positive in checks around Tekka Centre likely past infections
Two people tested positive for Covid-19, of the 876 stallholders in and around Tekka Centre who went for community surveillance testing last Thursday, said the Ministry of Health (MOH). Both the cases picked up from surveillance testing are likely to be past infections, as indicated by their serological test results, it said yesterday. The remaining 874 individuals tested negative.
https://www.straitstimes.com/singapore/2-cases-that-tested-positive-in-checks-around-tekka-centre-likely-past-infections

Major flare-up from Tampines case unlikely
More infections could emerge from the family of 13 who had dinner together at a Tampines restaurant after one of them fell ill two days later and tested positive for Covid-19. But a major flare-up is unlikely, given contact tracing and other measures, say experts.
https://www.straitstimes.com/singapore/major-flare-up-from-tampines-case-unlikely
https://www.straitstimes.com/singapore/seoul-garden-outlet-visited-by-covid-19-case-to-reopen-today-0
https://www.straitstimes.com/singapore/more-cases-may-emerge-but-a-major-cluster-unlikely-experts-0

Nations firm up on strategies for vaccination
The hotly anticipated Covid-19 vaccines are almost here. Now for the issue of how to dispense them to the masses. Across the globe, governments are gearing up to roll out nationwide inoculation campaigns, as the development of a handful of experimental vaccines inches closer to the finish line. They are set to face a host of challenges and make many judgment calls in their vaccination strategies.
https://www.straitstimes.com/world/nations-firm-up-on-strategies-for-vaccination
*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