DAILY NEWS

Daily News – 5 April 2022 (Tue)

Singapore Real Estate

International Plaza relaunched for sale with unchanged S$2.7b reserve price
International Plaza has been relaunched for collective sale via tender with an unchanged reserve price of S$2.7 billion, sole marketing agent Edmund Tie said on Monday (Apr 4). The tender will close on Apr 29 at 3 pm.
https://www.businesstimes.com.sg/real-estate/international-plaza-relaunched-for-sale-with-unchanged-s27b-reserve-price
https://www.straitstimes.com/business/property/international-plaza-in-tanjong-pagar-relaunched-for-collective-sale-at-27b

Family of scion of Singapore pioneer Khoo Kay Hian selling GCB for over $35 million
Singapore – A good class bungalow (GCB) in Gallop Park Road belonging to the late daughter-in-law of Singapore pioneer Khoo Kay Hian, founder of Chinese stockbroking firm Kay Hian and Co – now known as UOB Kay Hian – is in early stages of a sale for more than $35 million, The Straits Times has learnt.
https://www.straitstimes.com/business/property/family-of-scion-of-singapore-pioneer-khoo-kay-hian-selling-gcb-for-over-35-million

Could there soon be a wave of hotel conversions into condominiums?
As conditions for the hospitality industry are likely to be rough over the next few years, some hotel owners here may potentially convert their hotels to other uses.
https://www.businesstimes.com.sg/real-estate/could-there-soon-be-a-wave-of-hotel-conversions-into-condominiums

3 decades-old school campuses in Balestier and Queenstown to be demolished for housing
Singapore – Three school campuses in Balestier and Queenstown that are decades old will soon make way for housing developments, with the Housing Board (HDB) in the midst of awarding demolition tenders.
https://www.straitstimes.com/singapore/housing/3-decades-old-schools-in-balestier-and-queenstown-to-be-demolished-for-housing

Singapore Economy

Singapore March PMI lowest since August 2020 amid cooling factory activity in Asia
Singapore‘s factory activity dipped further in March, mirroring a region-wide drop in manufacturing sentiment amid rising prices and supply chain disruptions. Last month’s Purchasing Managers’ Index (PMI) fell 0.1 point to 50.1, marking the third month of decline, according to the Singapore Institute of Purchasing and Materials Management (SIPMM) on Monday (Apr 4).
https://www.businesstimes.com.sg/government-economy/singapore-march-pmi-lowest-since-august-2020-amid-cooling-factory-activity-in
https://www.straitstimes.com/business/economy/russia-ukraine-war-slows-singapore-factory-growth-for-3rd-month-in-a-row

Government ready to extend more support if cost pressures worsen: Wong
Singapore is ready to extend more support to households and businesses if cost pressures worsen – but there is no specific inflation threshold to take action, Finance Minister Lawrence Wong said in Parliament on Monday (Apr 4).
https://www.businesstimes.com.sg/government-economy/government-ready-to-extend-more-support-if-cost-pressures-worsen-wong

Most households able to service mortgages even as interest rates pick up: Alvin Tan
Most households in Singapore should still be able to service their mortgages as Singapore’s domestic interest rates pick up along with global rates, said Minister of State for Trade and Industry Alvin Tan on Monday (Apr 4).
https://www.businesstimes.com.sg/government-economy/most-households-able-to-service-mortgages-even-as-interest-rates-pick-up-alvin-0
https://www.straitstimes.com/singapore/politics/exercise-financial-prudence-in-home-purchases-given-potential-rising-interest-rates-alvin-tan

Not tenable for govt to subsidise electricity costs: Tan See Leng
While the government can help to smooth out “extreme fluctuations” in energy prices, it is not tenable for the authorities to subsidise electricity consumption in Singapore, said Second Minister for Trade and Industry Tan See Leng in Parliament on Monday (Apr 4).
https://www.businesstimes.com.sg/government-economy/not-tenable-for-govt-to-subsidise-electricity-costs-tan-see-leng
https://www.straitstimes.com/singapore/politics/businesses-to-get-more-support-as-electricity-prices-rise-tan-see-leng

Cutting fuel duties would ‘effectively amount to subsidy on private transport’: Lawrence Wong
Cutting or suspending fuel duties or giving out road tax rebates would effectively amount to a subsidy on private transport, and this will have counter-productive effects, said Finance Minister Lawrence Wong on Monday (Apr 4).
https://www.businesstimes.com.sg/government-economy/cutting-fuel-duties-would-effectively-amount-to-subsidy-on-private-transport
https://www.straitstimes.com/singapore/politics/lowering-or-suspending-fuel-duties-will-be-counter-productive-lawrence-wong

Singapore will always need to deal with carbon constraints, tight labour market: Lawrence Wong
Singapore – While war and global inflationary pressures are responsible for the current increase in prices here, carbon and labour are set to be permanent constraints for Singapore’s economy, Finance Minister Lawrence Wong said on Monday (April 4).
https://www.straitstimes.com/singapore/politics/singapore-will-always-need-to-deal-with-carbon-constraints-tight-labour-market-lawrence-wong

Companies’ Brief

Chip Eng Seng unit to acquire minority interest in a Shenton Way property for S$2.1m
Property player Chip Eng Seng Corporation is planning to acquire a minority stake in a property located at 8 Shenton Way for S$2.1 million. Its wholly-owned subsidiary CEL Shenton has entered into a share purchase agreement with the sellers to acquire 21 per cent of the issued share capital of PRE 13, which has an effective interest of 50 per cent of the property.
https://www.businesstimes.com.sg/companies-markets/chip-eng-seng-unit-to-acquire-minority-interest-in-a-shenton-way-property-for-s21m

Wing Tai unit sells Penang property for RM17.5m
Wing Tai Holdings’ Malaysian subsidiary has sold its property at 166A Rifle Range Road in Penang for RM17.5 million (S$5.6 million). The aggregate consideration for the disposal of the property, which comprises a leasehold land and a 5-storey factory building, is higher than RM13.7 million net book value as at Monday (Apr 4), Wing Tai said in a bourse filing on Monday.
https://www.businesstimes.com.sg/companies-markets/wing-tai-unit-sells-penang-property-for-rm175m

Lendlease Reit’s S$200m in perpetual securities 5.3 times subscribed
The first perpetual securities to be issued by a Singapore real estate investment trust (Reit) this year saw strong demand from investors, being subscribed 5.3 times, with orders exceeding S$780 million, the issuing Reit said on Monday (Apr 4).
https://www.businesstimes.com.sg/companies-markets/lendlease-reits-s200m-in-perpetual-securities-53-times-subscribed

Views, Reviews, Forum and Others

‘Turning point’ for S-Reits with Singapore office assets?
Some 2 years after Singapore’s Covid-19 lockdown, the return to normalcy appears to be finally gaining traction. Over the past week, the city-state has seen an easing of safe management measures, described by Prime Minister Lee Hsien Loong as a “major turning point”.
https://www.businesstimes.com.sg/opinion/turning-point-for-s-reits-with-singapore-office-assets

Making flexi-work possible for many more employees
Despite teething problems at the beginning, employers and employees were forced to adapt to work from home (WFH) during the pandemic. As a result, the proportion of employers with formal flexible work arrangements (FWAs) rose from 53 per cent in 2019 to 78 per cent in 2020.
https://www.straitstimes.com/opinion/making-flexi-work-possible-for-many-more-employees

Go for stagflation hedge and domestic demand buffer
The recent escalation in geopolitical tension in Russia and Ukraine and rising headwinds from Covid resurgence in China have raised debate about stagflation risks, and whether these risks portend the end of the expansion cycle for the economies in Asean, Korea and Taiwan.
https://www.businesstimes.com.sg/wealth-investing/go-for-stagflation-hedge-and-domestic-demand-buffer-0

Update on COVID-19 (Coronavirus Disease 2019) Situation

TraceTogether, SafeEntry to be reviewed once Covid-19 cases subside further: Ong Ye Kung
Singapore – Covid-19 safe management measures (SMMs), including the use of TraceTogether, SafeEntry and vaccination-differentiated measures, will be reviewed once cases subside further.
https://www.straitstimes.com/singapore/politics/tracetogether-safeentry-to-be-reviewed-once-covid-19-cases-subside-further-ong-ye-kung

Daybreak for nightlife sector: businesses to fully reopen from Apr 19
All nightlife businesses in Singapore will be permitted to fully reopen from Apr 19, 2022, as part of Singapore’s endeavour to live with Covid-19. These businesses include bars, pubs, karaoke establishments, discotheques and nightclubs.
https://www.businesstimes.com.sg/government-economy/singapore-to-permit-all-nightlife-businesses-to-fully-reopen-from-apr-19
https://www.straitstimes.com/singapore/all-nightlife-businesses-in-singapore-can-resume-from-april-19-mti-and-mha

Nightlife players cheer reopening, but staffing, ART tests top concerns
Nightlife businesses are set to stage a comeback this month after being shuttered for more than 2 years due to the pandemic, but even as industry players are hastily making plans to reopen, they remain concerned about manpower shortages and the need for supervised antigen rapid testing (ART).
https://www.businesstimes.com.sg/government-economy/nightlife-players-cheer-reopening-but-staffing-art-tests-top-concerns

askST: What if I test positive for Covid-19 upon arrival in Singapore? Do I have to pay my medical bills?
Singapore – All fully vaccinated travellers and children aged 12 and below will now be able to enter Singapore from more countries with just a pre-departure Covid-19 test. Those arriving from Malaysia via the land borders do not have to take any tests.
https://www.straitstimes.com/singapore/health/askst-what-if-i-test-positive-for-covid-19-upon-arrival-in-singapore-do-i-have-to-pay-my-medical-bills

*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