DAILY NEWS

Daily News – 8th August 2017

Singapore Economy

Future Economy Council holds first meeting with Heng as chair
The high-level Future Economy Council (FEC) met yesterday for the first time since Finance Minister Heng Swee Keat took over its reins from Deputy Prime Minister Tharman Shanmugaratnam in May. The national council oversees skills and innovation efforts and was formerly known as the Council for Skills, Innovation and Productivity. It was renamed on May Day.
http://www.straitstimes.com/business/future-economy-council-holds-first-meeting-with-heng-as-chair

Sultan of Johor questions design of Singapore-Johor Rapid Transit System
The Sultan of Johor has voiced his reservations on the proposed design of the Rapid Transit System (RTS) rail track linking Singapore and Johor Bahru in Malaysia. In an interview with the New Straits Times (NST) published on Tuesday, Sultan Ibrahim Sultan Iskandar said that while he welcomed the project, he disagreed with the curve-shaped design of the track and the 30-metre elevation above water in the middle section. The bridge, he said, would disrupt the city skyline along the Johor Straits.
http://www.businesstimes.com.sg/transport/sultan-of-johor-questions-design-of-singapore-johor-rapid-transit-system
http://www.todayonline.com/world/asia/singapore-johor-rapid-transit-system-design-needs-go-back-drawing-board-sultan-johor

Committee recommends that Founders’ Memorial be at Bay East Garden
The Founders’ Memorial committee on Monday (Aug 7) recommended that the site be located at Bay East Garden, and be opened to the public by 2025 – in time for celebrations for Singapore’s 60th birthday. The 15-member committee submitted its report to the Government after two years of outreach to more than 32,000 people. The report included six key findings in addition to the recommendation of the location and time of opening, according to the press release.
http://www.channelnewsasia.com/news/singapore/committee-recommends-that-founders-memorial-be-at-bay-east-9098430

Singapore Real Estate

Private condo resale prices fall 0.5% in July on 10% drop in volume: SRX
Resale prices of private condominiums and apartments fell 0.5 per cent in July, after rising 0.7 per cent in June, SRX Property data showed on Tuesday. By region, both the Core Central Region and Rest of Central Region (referring to the city fringe) recorded a price increase of 0.6 per cent and 0.4 per cent respectively, while the Outside Central Region (referring to the suburbs) price index fell by 1.9 per cent.
http://www.businesstimes.com.sg/real-estate/private-condo-resale-prices-fall-05-in-july-on-10-drop-in-volume-srx
http://www.straitstimes.com/business/property/condo-resale-prices-slip-05-in-july-as-sales-also-drop-srx-property?login=true

En bloc, huge deals push S’pore up on list of most active markets in Asia-Pac
Singapore climbed to its highest position in five years on a list of most active big-ticket real estate market makers in the Asia-Pacific with US$5.8 billion worth of sales volume in the first half of 2017, data released by Real Capital Analytics (RCA) on Monday showed.
http://www.businesstimes.com.sg/real-estate/en-bloc-huge-deals-push-spore-up-on-list-of-most-active-markets-in-asia-pac

Roxy to build River Valley block with more than 100 units
Roxy-Pacific Holdings plans to redevelop a freehold plot in River Valley Road, which it bought for S$110 million, into an apartment block of at least 18 storeys and housing more than 100 units. The price paid by the developer for the 28,798 sq ft site opposite the Yong An Park condo works out to about S$1,582 per square foot per plot ratio (psf ppr), inclusive of an estimated development charge of S$17.6 million.
http://www.businesstimes.com.sg/real-estate/roxy-to-build-river-valley-block-with-more-than-100-units
http://www.businesstimes.com.sg/companies-markets/roxy-pacific-buys-residential-plot-on-river-valley-road-for-s110m

Singapore is Asia-Pacific’s fourth most active commercial real estate market in H1
Singapore climbed to its highest position in five years on a list of most active commercial real estate markets in the Asia-Pacific in the first half of 2017, based on Real Capital Analytics data released on Monday.
http://www.businesstimes.com.sg/real-estate/singapore-is-asia-pacifics-fourth-most-active-commercial-real-estate-market-in-h1

Country Garden woos non-Chinese buyers for Forest City project
Country Garden Holdings Co said it’s looking to attract customers from countries such as Thailand and Vietnam as some Chinese buyers hit by capital controls have pulled back from the US$100 billion Forest City project in southern Malaysia.
http://www.businesstimes.com.sg/real-estate/country-garden-woos-non-chinese-buyers-for-forest-city-project

Apartment owners welcome news that they may no longer be stopped from putting up window grilles
Window grilles are as commonplace in residential homes here as air-con compressors sitting on balconies. They are mainly for safety, to keep children from climbing out of the windows. Yet some private estates have not allowed grilles to be installed. This is despite the Building and Construction Authority (BCA) reminding management corporation strata titles (MCSTs) in 2015 that home owners should not be stopped from installing grilles to prevent harm to children.
http://www.straitstimes.com/singapore/housing/boost-for-home-owners-eyeing-safety-grilles

Condo MC gets nod from court to remove cooling towers
The management corporation (MC) for Leonie Towers off Grange Road can go ahead and remove the central cooling towers servicing its 35-year- old air-conditioning system, over the objections of a resident. In the High Court, Justice Lee Seui Kin ruled in the MC’s favour after hearing the arguments of both parties yesterday. In doing so, he set aside the Strata Titles Board decision in March that was in favour of dissenting unit owner Yap Choo Moi.
http://www.straitstimes.com/singapore/condo-mc-gets-nod-from-court-to-remove-cooling-towers

Changi Airport’s new Terminal 4 opens doors to public
Changi Airport’s new Terminal 4 opened its doors on Monday (Aug 7) to the public for a limited time before operations begin. Until Aug 20, registered guests can visit the terminal from 9am to 6pm daily. Visitors will be let in to the terminal at 10-minute intervals, with 1,500 people entering the terminal every hour, said Changi Airport Group (CAG).
http://www.channelnewsasia.com/news/singapore/changi-airport-new-terminal-4-opens-doors-to-public-9098700

First Re-Offer of Balance Flats exercise oversubscribed by almost 4 times
The Housing and Development Board’s (HDB) first Re-Offer of Balance Flats (ROF) exercise has been oversubscribed by about four times, with more than 5,500 applications received for the 1,394 flats on offer as of 5pm on Monday (Aug 7).
http://www.channelnewsasia.com/news/singapore/first-re-offer-of-balance-flats-exercise-oversubscribed-by-9099676
http://www.todayonline.com/singapore/inaugural-sale-unsold-hdb-flats-oversubscribed

Companies’ Brief

Perennial Real Estate Q2 profit rises to S$17.1m
Perennial Real Estate Holdings on Tuesday announced a net profit of S$17.1 million for the second quarter ended June 30, up from S$0.6 million a year ago. It attributed the significant increase in net profit to the fair value gain of S$16.6 million from the revaluation of Xi’an North High Speed Railway Integrated Development Plot 4.
http://www.businesstimes.com.sg/companies-markets/perennial-real-estate-q2-profit-rises-to-s171m
http://www.straitstimes.com/business/companies-markets/perennial-real-estate-sees-jump-in-q2-profit-to-17m-from-fair-value-gain

Warburg-backed shareholder may ride in as Sabana Reit white knight
The troubled Sabana Reit may have found its white knight in Warburg Pincus-backed logistics developer e-Shang Redwood (ESR), following its unitholders’ attempts in April to oust its manager and months of trying to sell its underperforming industrial portfolio.
http://www.businesstimes.com.sg/companies-markets/warburg-backed-shareholder-may-ride-in-as-sabana-reit-white-knight
http://www.straitstimes.com/business/companies-markets/esr-in-talks-to-buy-sabana-reit

Ho Bee Land’s Q2 earnings fall 14%; revenue tumbles 78.4%
Real estate group Ho Bee Land reported a 14.1 per cent year-on-year drop in net profit to S$36.1 million for the second quarter while revenue for the three months ended June 30 tumbled 78.4 per cent to S$37.4 million.
http://www.businesstimes.com.sg/companies-markets/ho-bee-lands-q2-earnings-fall-14-revenue-tumbles-784
http://www.businesstimes.com.sg/companies-markets/ho-bee-lands-q2-profit-slips-14-to-s361m
http://www.straitstimes.com/business/companies-markets/ho-bee-lands-q2-gains-fall-despite-lift-from-china-ops
http://www.straitstimes.com/business/companies-markets/ho-bee-land-turns-in-weaker-second-quarter-results-after-strong-sales

Frasers Centrepoint posts 18.4% rise in Q3 profit
Real estate company Frasers Centrepoint Ltd (FCL) earned a net profit of S$182.39 million for the third quarter ended June 30, up 18.4 per cent from S$153.99 million for the year-ago period, bolstered by the group’s Australia strategic business unit and international business.
http://www.businesstimes.com.sg/companies-markets/frasers-centrepoint-posts-184-rise-in-q3-profit
http://www.businesstimes.com.sg/companies-markets/frasers-centrepoint-reports-higher-q3-profit
http://www.straitstimes.com/business/property/aussie-international-units-boost-frasers-centrepoints-q3-profit?login=true
http://www.straitstimes.com/business/property/frasers-centrepoint-reports-q3?login=true

Heeton’s Q2 earnings nearly triple to S$10.6m
Property developer Heeton Holdings’ net profit for the second quarter ended June 30 nearly tripled to S$10.56 million from S$3.56 million in the year-ago period, boosted by gains from fair-value adjustments of investment properties. Revenue was about 35 per cent higher year on year at S$18.95 million while earnings per share rose to 3.25 Singapore cents from 1.09 Singapore cents a year ago.
http://www.businesstimes.com.sg/companies-markets/heetons-q2-earnings-nearly-triple-to-s106m

HNA’s Reit partner mulls reducing ties with firm
HNA Group Co’s partner in an overseas property trust is exploring ways to potentially scale back its ties to the embattled Chinese conglomerate, people with knowledge of the matter said.
http://www.businesstimes.com.sg/companies-markets/hnas-reit-partner-mulls-reducing-ties-with-firm

SPH, Mediacorp tie up to offer programmatic advertising
Singapore Press Holdings (SPH) and Mediacorp on Monday announced an alliance to create a new digital advertising marketplace using programmatic solutions, and to offer brands access to a wide audience of consumers in Singapore.
http://www.businesstimes.com.sg/companies-markets/sph-mediacorp-tie-up-to-offer-programmatic-advertising

Deloitte picks Singapore for its first centre of excellence
More help is now available for companies that face challenges in their business operations due to the changing nature of work, such as emerging technologies. Deloitte announced the launch of its Future Work Centre of Excellence that aims to create solutions that anticipate market disruptions, address problems arising from mismatched skills and identify future job requirements.
http://www.businesstimes.com.sg/companies-markets/deloitte-picks-singapore-for-its-first-centre-of-excellence

Views, Reviews & Forum

Earlier intervention, tougher action needed from regulators
Singapore’s financial market regulators can and should do a better job of holding management and companies accountable for misinformation. They should consider tougher and more targeted sanctions for wrongdoing, and look into earlier intervention measures, such as imposing tighter checks and balances on problematic companies when there is sufficient reason for concern.
http://www.businesstimes.com.sg/companies-markets/earlier-intervention-tougher-action-needed-from-regulators

Signs point to Asia becoming key medtech innovation hotspot
For most of recent history, research and development (R&D) in the field of medical technology, also known as medtech, happened mainly in the US and Europe. But as Asia develops, the region will contribute a growing share of medtech innovation in the coming years. Several Asian countries already have robust innovation ecosystems that are producing new intellectual property, products and business models every year. This will drive business opportunities for medtech companies in Asia and expand access to much-needed treatments across the region; it may also lead to insights and products that have value in other regions, including the US and Europe.
http://www.businesstimes.com.sg/opinion/signs-point-to-asia-becoming-key-medtech-innovation-hotspot