Singapore Real Estate
Knight Frank chairman Tan Tiong Cheng to retire
Tan Tiong Cheng will step down as executive chairman of Knight Frank Singapore on March 31 next year. However, this will not mark the end of his career with the property consulting group, where he has been for the past 35 years. Mr Tan, 66, will assume a newly created role of president – Knight Frank Asia Pacific, helping the head, Kevin Coppel, to propel the group’s business across the region. At the same time, Mr Tan will be an adviser to Knight Frank Singapore. Danny Yeo, 63, will become chairman of Knight Frank Singapore on April 1 next year in addition to continuing in the current job of group managing director of the local office.
Margaret Drive site triggered for sale with minimum bid of S$185.76m
A land parcel in Margaret Drive that is big enough for 275 homes has been triggered for sale after a developer committed to bid at least S$185.76 million for it. This is a Reserve List site under the government land sales (GLS) programme that can be released for sale only when the minimum price committed by a developer is acceptable to the government. Based on the maximum gross floor area (GFA) of 22,195 square metres, this minimum price translates to S$777.54 per square foot per plot ratio (psf ppr).
Sin Ming Industrial Estate tenants to move to new complex
To rent three units to run his workshops at Sin Ming Industrial Estate, Mr Mike Keh now pays $6,000 a month per unit. From early next year, he may have to pay $8,800 per unit at the new Sin Ming AutoCity. It follows a move to relocate tenants of Blocks 11 to 21, 27 and 34 in the estate to the high-rise industrial building. The relocation was announced in 2010, under the Housing Board’s Industrial Redevelopment Programme which aims to make better use of land. In all, 154 tenants will be relocated to the new Sin Ming AutoCity. Mr Keh’s units are at blocks 19 and 21.
HDB resale prices in October stay flat
HDB resale prices dipped 0.1 per cent in October compared to September, the SRX Property Price Index for HDB Resale released on Thursday showed. But for the most part, the index has been fairly flat for a few months now, analysts noted. The resale price dip was driven by a 0.9 per cent fall in the resale prices of five-room flats. By contrast, the resale prices of HDB three-room flats and executive flats rose 0.6 per cent and 0.8 per cent respectively, while resale prices of four-room flats held steady. Comparing regions, HDB resale prices in mature and non-mature estates both decreased by 0.1 per cent in October.
Drop in private housing vacancy rate confounds
The much anticipated annual publications — Population in Brief 2016, Population Trends 2016, and the Housing and Development Board’s (HDB) Key Statistics 2016 — as well as the Urban Redevelopment Authority’s (URA) third-quarter 2016 property report card have provided a lot of data for analysts to chew on in recent weeks. While most indicators, such as the housing rental and price indices, in the URA’s report fell, there was one set of data that stood out as the only green dot in a sea of red. The decline in the private residential vacancy rate — in other words, an increase in the occupancy rate — by 0.2 percentage point was to me, a major surprise.
Scaling down on VIPs boosts Genting Singapore’s Q3 earnings
The strategy of focusing on boosting its profit margins and cutting back on its bid to lure high-rollers has paid off for Genting Singapore, the casino operator said as it recorded a surge in third-quarter net profit despite a slide in revenue. Earnings for the three months ended Sept 30, 2016, rocketed 187.2 per cent to S$106.9 million from the previous year’s S$37.2 million, the group said in a Singapore Exchange filing on Thursday.
Views, Reviews & Forum
Fund platforms give developers flexibility
Singapore property developers are building up fund platforms adjacent to their primary development business – though not in the traditional way that private equity firms do. Different developers have different motivations for diversifying into fund management. They adopt different strategies for their fund platforms, and use them to meet company-specific agenda. This is unlike the typical real estate private equity fund that simply pools money from investors to buy properties, enhances the assets over time through redevelopment or repositioning, and sells them before distributing capital back to investors.
The case for building new HDB flats in the city centre
Should Singapore’s city centre have Housing Board flats? If a city’s core is where one finds its pulse and essence, should it include HDB flats, since HDB living – a quintessential Singaporean experience – is a vital piece of the social fabric? This question resurfaced recently in the context of the discussion on having more HDB flats in the central area, such as at the Greater Southern Waterfront that extends from Labrador Park to Marina South, south of Tanjong Pagar.
More buildings opt to have fibre-optic cables pre-installed
Close to 200 commercial buildings have signed up for a scheme that will see fibre-optic cables installed in their premises, regardless of whether they plan to take up fibre broadband services. This will allow businesses to get such services quickly when they want them. The latest to come on board is Singapore-based developer Ascendas-Singbridge, which manages more than 130 properties in Singapore, including the Singapore Science Park, and Changi City at Changi Business Park. About 70 of its buildings will come under the Fibre Ready Scheme, which was first announced in February 2014.
Hotel chains eye further growth in region
There’s plenty of gloom around the economy these days but try telling that to the hotel industry. Expansion and optimism are the watchwords as far as the hospitality sector goes, with operators devising ambitious plans for growth across the region. Pan Pacific Hotels Group (PPHG), InterContinental Hotels Group (IHG) and the Carlson Rezidor Hotel Group have all opened new hotels this year, with more to come, thanks to a regional tourism boom and relatively positive economic growth.
Global Economy & Global Real Estate
Fed holds rates steady, sets stage for December hike
US factory orders inch up for third straight month in Sept
Biggest rise for pound against dollar since July
Wynn Macau misses Q3 profit estimates
BOE drops rate cut plans after Brexit hit to sterling
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