DAILY NEWS

Daily News – 5, 6 & 7 Oct 2019

Singapore Real Estate

Coworking here to stay despite WeWork concerns
The coworking business is here to stay notwithstanding the recent woes of coworking giant WeWork that has forced it to pull the plug on an initial public offering, according to separate reports from Jefferies and DBS. A Credit Suisse report earlier this week said poor sentiment on the company could further damp demand for coworking spaces amid slowing gross domestic product growth, hurting office Reits in…
https://www.businesstimes.com.sg/companies-markets/coworking-here-to-stay-despite-wework-concerns
https://www.straitstimes.com/business/property/co-working-here-to-stay-despite-wework-concerns-jefferies-dbs

Grange Road carpark to transform into event space
The open-air carpark in Grange Road will be turned into a permanent event space for pop-up events and entertainment, as part of government efforts to rejuvenate Orchard Road and encourage more activities outside of its shopping malls. The 4,482 square metre carpark, operated by the Urban Redevelopment Authority (URA), will cease operations on Feb 29, 2020. It is one of three carparks in the Orchard area…
https://www.businesstimes.com.sg/companies-markets/grange-road-carpark-to-transform-into-event-space
https://www.straitstimes.com/singapore/orchard-rd-to-get-new-event-space
https://www.straitstimes.com/singapore/grange-road-carpark-to-be-transformed-into-vibrant-event-space
https://www.channelnewsasia.com/news/singapore/orchard-grange-road-car-park-closed-transform-tender-11970136

Singapore Economy

MAS to ease policy in October as risk of technical recession lingers: Economists
Singapore: Amid sluggish growth and benign inflation, economists expect the Singapore central bank to ease its exchange-rate based monetary policy at this month’s semi-annual meeting. The Monetary Authority of Singapore (MAS) would likely reduce the slope of the Singapore dollar nominal effective exchange rate (S$NEER) policy band, which means slowing down the local currency’s pace of appreciation…
https://www.channelnewsasia.com/news/business/mas-to-ease-policy-in-october-as-risk-of-technical-recession-11954250

Singapore cannot jump the gun on economic bail-out
With factory output and exports falling year on year, business sentiment darkening and gross domestic product (GDP) growth grinding to a halt, no one would say that the Singapore economy is in tip-top shape. But senior political leaders still stressed in recent weeks that there is no need yet for off-cycle moves and that a recession has not hit.
https://www.businesstimes.com.sg/government-economy/singapore-cannot-jump-the-gun-on-economic-bail-out

OECD’s proposed tax changes may hit revenue for Singapore
The international community is considering resetting the rules that could fundamentally change the global tax landscape. Singapore’s position is to improve the current value creation concept rather than have it replaced by an approach that focuses on the size of the market. The city-state further asks that there be no minimum effective tax and to let jurisdictions be allowed to pursue their own policy mix appropriate to…
https://www.businesstimes.com.sg/government-economy/oecds-proposed-tax-changes-may-hit-revenue-for-singapore

Companies’ Brief

Ascott Reit’s whirlwind merger to lead the global hospitality space
It took a matter of three days for the proposed S$1.2 billion merger between Ascott Residence Trust (ART) and Ascendas Hospitality Trust (A-HTrust) to be approved and unveiled to the public. The merger of the two Reits had been subject to much speculation since January after ART’s parent, CapitaLand – one of Asia’s largest real estate companies – announced its S$11 billion acquisition of Ascendas-Singbridge, A-HTrust’s…https://www.businesstimes.com.sg/companies-markets/ascott-reits-whirlwind-merger-to-lead-the-global-hospitality-space
https://www.straitstimes.com/business/ascott-reits-manager-is-hunting-for-more-properties

Knight Frank appoints new global real estate chief
Knight Frank Singapore has appointed Daniel Ding, former chief executive of Soilbuild Construction Group, as its new head of investment and capital markets (land, building and global real estate) with effect from Jan 1, 2020. Mr Ding will focus on “setting up and leading a team to capitalise on the increasing opportunities in cross-border transactions, for both outbound and inbound capital looking for direct real…https://www.businesstimes.com.sg/real-estate/knight-frank-appoints-new-global-real-estate-chief

Perennial unit seeking to start conspiracy claim against ex-Sakae director
Mainboard-listed property and healthcare firm Perennial Real Estate announced on Monday that its 50 per cent joint venture (JV), TYN Investment Group (TYN Group), has applied to the court seeking leave to commence a claim for conspiracy against Griffin Real Estate Investment and former Sakae Holdings director Andy Ong. The conspiracy claim is in connection with TYN Group’s acquisition of TYN Investment Pte Ltd…https://www.businesstimes.com.sg/companies-markets/perennial-unit-seeking-to-start-conspiracy-claim-against-ex-sakae-director
https://www.straitstimes.com/business/companies-markets/perennial-unit-seeking-to-file-conspiracy-claim-against-ex-sakae-director

Views, Reviews, Forum & Others

Time for ST Telemedia, Singtel to inject their data centres into Reits?
Up to S$6 billion worth of data centre assets could be spun off into real estate investment trust (Reit) initial public offerings, should CLSA’s suggestion in a recent report on a potential restructuring of Temasek’s portfolio materialise. This would follow in the footsteps of Keppel DC Reit, Asia’s first data centre Reit. It would also be great news for the Singapore Reit sector – the only sector that seems to be attracting any…https://www.businesstimes.com.sg/companies-markets/time-for-st-telemedia-singtel-to-inject-their-data-centres-into-reits

Make public rental housing available to under 21s too
The Housing Board recently announced that it will be more flexible on the income criteria for eligibility to rent flats under the Public Rental Scheme. This is a welcome development. Such flexibility will benefit single parents who do not earn enough to afford private flats.
https://www.straitstimes.com/forum/letters-in-print/make-public-rental-housing-available-to-under-21s-too

Commentary: A look at HDB flat affordability after recent housing policy moves
Singapore: Public housing has played an important role in building a social compact that holds Singapore’s society together. More than 78.7 per cent of resident households in Singapore live in flats built by the Housing and Development Board (HDB) in 2018.
https://www.channelnewsasia.com/news/commentary/hdb-income-ceilings-new-enhanced-housing-grant-affordability-11965140