Singapore Real Estate
Singapore office rents expected to soften after 2.3% rise in Q2
Office rents in the central business district (CBD) are expected to moderate further. This comes after downtown office rents rose more slowly in the second quarter of 2023 amid tight market conditions.
https://www.businesstimes.com.sg/property/singapore-office-rents-expected-soften-after-23-rise-q2
https://www.edgeprop.sg/property-news/grade-office-rents-cbd-soften-02-q-o-q-growth-2q2023
Retail sector on the road to recovery as tourism rebounds
Singapore’s retail sector has turned the corner as tourism and consumer spending recovered, although some challenges may still lie ahead, say analysts. Figures released by the Urban Redevelopment Authority on Friday (Jul 28) showed rents of retail space in the central region edged up by 0.3 per cent in the second quarter of 2023, reversing five consecutive quarters of decline.
https://www.businesstimes.com.sg/property/retail-sector-road-recovery-tourism-rebounds
https://www.edgeprop.sg/property-news/retail-rents-end-five-consecutive-quarters-declines-03-q-o-q-growth-2q2023
Resale condo prices flat in June, volume down 19.7%: SRX, 99.co
Singapore condominium resale prices were muted in June as sales activity slowed because of the school holidays. There were fewer home viewings, leading to a drop in deals closed.
https://www.businesstimes.com.sg/property/resale-condo-prices-flat-june-volume-down-197-srx-99co
https://www.straitstimes.com/business/property/condo-resale-price-growth-slows-in-june-volume-drops-as-market-responds-to-absd-hikes
More equitable access to housing types for singles being studied: Desmond Lee
Singapore – Suggestions for more equitable access for singles to housing types across mature and non-mature estates and prime locations will be studied, as well as other ideas that emerged in the Forward Singapore exercise, National Development Minister Desmond Lee said.
https://www.straitstimes.com/business/more-equitable-access-to-housing-types-for-singles-being-studied-desmond-lee
HDB resale prices rise by modest 1.5% in Q2, but volumes fall 6.7%
Resale prices of public housing continued to rise in the second quarter of 2023, going up 1.5 per cent – though the increase is less than the average quarterly growth of 2.5 per cent in 2022, data released by Housing and Development Board (HDB) on Friday (Jul 28) showed.
https://www.businesstimes.com.sg/property/hdb-resale-prices-rise-modest-15-q2-volumes-fall-67
https://www.straitstimes.com/business/property/hdb-resale-prices-rose-15-fewer-units-sold-in-q2
https://www.todayonline.com/singapore/hdb-q2-resale-prices-15-resale-volume-falls-lowest-3-years-2221381
https://www.channelnewsasia.com/singapore/hdb-resale-prices-volume-lowest-rental-bto-flat-supply-3660476
https://www.edgeprop.sg/property-news/hdb-prices-mark-13th-straight-quarterly-increase-rising-15-2q2023
HDB pushes back August BTO launch to end-September, early October
Singapore – The upcoming Build-to-Order (BTO) sales exercise in August has been pushed back to end-September or early October, the Housing Board said on Friday.
https://www.straitstimes.com/business/property/hdb-pushes-back-august-bto-launch-to-end-september
Companies’ Brief
CapitaLand Ascott Trust’s manager eyes stronger second half amid travel recovery
The manager of CapitaLand Ascott Trust (Clas) sees upside for its portfolio in the second half, after delivering a “strong” set of results in the first half ended Jun 30. Serena Teo, chief executive of the manager, said at a results briefing on Friday (Jul 28) that indicators for the second half look positive on a sequential basis, and when considered against H2 2022.
https://www.businesstimes.com.sg/companies-markets/reits-property/capitaland-ascott-trusts-manager-eyes-stronger-second-half-amid
CapitaLand India Trust’s H1 DPU falls 22% on higher finance costs, enlarged unit base
CapitaLand India Trust (Clint) distribution per unit (DPU) fell 22 per cent to S$0.0336 for its first half ended Jun 30, from S$0.0428 in the same period a year earlier. This was mainly due to higher finance costs, the depreciation of the Indian rupee against the Singapore dollar and an enlarged unit base from a preferential offering in July, the manager said on Monday (Jul 31).
https://www.businesstimes.com.sg/companies-markets/capitaland-india-trusts-h1-dpu-falls-22-higher-finance-costs-enlarged-unit-base
https://www.theedgesingapore.com/capital/results/capitaland-india-trust-reports-22-lower-1hfy2023-dpu-336-cents-due-higher-finance
Hongkong Land H1 underlying profit flat at US$422 million
Property group Hongkong Land on Friday (Jul 28) reported underlying profit of US$422 million for the first half of 2023, marginally down from US$425 million a year ago, amid lower planned sales completions.
https://www.businesstimes.com.sg/companies-markets/hongkong-land-h1-underlying-profit-flat-us422-million
https://www.theedgesingapore.com/capital/results/hongkong-land-reports-us333-mil-loss-1hfy2023-underlying-earnings-down-1-y-o-y-us422
HPL expects net loss in H1 2023
Hotel Properties Limited (HPL) on Friday (Jul 28) said it is expecting a net loss for the six months ended Jun 30, based on a preliminary review of its financial results. The group said there was an improvement in the general performance of its hotels and resorts.
https://www.businesstimes.com.sg/companies-markets/hpl-expects-net-loss-h1-2023
https://www.theedgesingapore.com/news/results/hotel-properties-limited-guides-net-loss-1hfy2023-higher-interest-costs-and-share
Koh Brothers Group and Koh Brothers Eco Engineering guide for net loss in 1HFY2023
Koh Brothers Group is guiding for a net loss in the 1HFY2023 ended June ahead of its results which are due to be released by Aug 14. The net loss was incurred by the group’s construction and building materials and real estate divisions, which registered an increase in materials, labour, subcontractor and finance costs, as well as the finalisation of construction project accounts.
https://www.theedgesingapore.com/news/results/koh-brothers-group-and-koh-brothers-eco-engineering-guide-net-loss-1hfy2023
Mandarin Oriental’s H1 loss widens to US$69.2 million on fair-value losses
Mandarin Oriental saw its net loss widen to US$69.2 million for the first half of the year from US$18.3 million in the year-ago period. The hotel investment and management group booked a net fair value loss of S$140.2 million on its investment assets – a commercial property under development and a completed residential property.
https://www.businesstimes.com.sg/companies-markets/mandarin-orientals-h1-loss-widens-us692-million-fair-value-losses
https://www.theedgesingapore.com/capital/results/mandarin-oriental-reverses-profit-us28-mil-driven-recovery-key-owned-hotels-asia
Wing Tai calls off S$76.3 million Holland Tower en bloc purchase
Wing Tai Holdings wholly-owned subsidiary has rescinded the contract for the acquisition of residential property Holland Tower for S$76.3 million. Wing Tai, in a bourse filing on Friday (Jul 28), said the contract was rescinded as certain conditions were not fulfilled. It added that the calling off of the purchase has no material impact on the group’s net asset value.
https://www.businesstimes.com.sg/companies-markets/wing-tai-calls-s763-million-holland-tower-en-bloc-purchase
https://www.straitstimes.com/business/wing-tai-calls-off-763-million-holland-tower-en-bloc-purchase
https://www.theedgesingapore.com/news/property/wing-tai-rescinds-contract-collective-purchase-holland-tower
Global Economy & Real Estate
US consumer sentiment rises to highest since 2021 as prices ease
https://www.businesstimes.com.sg/international/us-consumer-sentiment-rises-highest-2021-prices-ease
https://www.straitstimes.com/business/economy/softening-inflation-props-up-us-consumer-sentiment-to-nearly-2-year-high
US annual inflation slows in June, consumer spending solid
https://www.businesstimes.com.sg/international/us-annual-inflation-slows-june-consumer-spending-solid
US labour costs growth slows in Q2
https://www.businesstimes.com.sg/international/us-labour-costs-growth-slows-q2
Australia’s retail sales decline as rising rates take toll
https://www.straitstimes.com/business/australia-s-retail-sales-decline-as-rising-rates-take-toll
Canada growth slows to 1% in Q2; GDP shrank in June
https://www.businesstimes.com.sg/international/canada-growth-slows-1-q2-gdp-shrank-june
China moves to bolster consumer industries, grow fledgling bourse
https://www.businesstimes.com.sg/international/china-moves-bolster-consumer-industries-grow-fledgling-bourse
China factory activity likely to contract for fourth month in July: Reuters poll
https://www.channelnewsasia.com/business/china-factory-activity-likely-contract-fourth-month-july-reuters-poll-3661086
China’s domestic tourism to hit 90% of pre-Covid levels in 2023
https://www.businesstimes.com.sg/international/chinas-domestic-tourism-hit-90-pre-covid-levels-2023
China consumer spending slows, reining in growth, survey shows
https://www.businesstimes.com.sg/international/china-consumer-spending-slows-reining-growth-survey-shows
https://www.straitstimes.com/business/china-consumer-spending-slows-reining-in-growth-survey-shows
China’s housing minister urges efforts to strengthen property recovery
https://www.businesstimes.com.sg/property/chinas-housing-minister-urges-efforts-strengthen-property-recovery
https://www.channelnewsasia.com/business/chinas-housing-minister-urges-efforts-strengthen-property-recovery-3660551
China’s property problems appear poised to improve, but can ‘much more risky’ real estate still drive economic growth?
https://www.scmp.com/economy/china-economy/article/3229305/chinas-property-problems-appear-poised-improve-can-much-more-risky-real-estate-still-drive-economic
Moody’s cuts ratings of state-backed Chinese property giants Greenland and Sino-Ocean
https://www.businesstimes.com.sg/international/global/moodys-cuts-ratings-state-backed-chinese-property-giants-greenland-and-sino
ECB could hike rates or pause at next meeting: Lagarde
https://www.businesstimes.com.sg/international/ecb-could-hike-rates-or-pause-next-meeting-lagarde
https://www.straitstimes.com/business/ecb-could-hike-rates-or-pause-at-next-meeting-lagarde
German economy stagnates in Q2
https://www.businesstimes.com.sg/international/german-economy-stagnates-q2
Hong Kong’s economic growth to taper off in second quarter, fresh ideas needed to raise competitiveness amid new spending habits: Paul Chan
https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3229392/hong-kongs-economic-growth-taper-second-quarter-fresh-ideas-needed-raise-competitiveness-amid-new
Hong Kong property prices have room to fall before mortgage peak heralds return of buy-to-let investors
https://www.scmp.com/business/money/article/3229351/hong-kong-property-prices-have-room-fall-mortgage-peak-heralds-return-buy-let-investors
Hong Kong hotels: cash-rich investors can find bargains of up to 30 per cent in ‘hot asset class’
https://www.scmp.com/business/article/3229403/hong-kong-hotels-cash-rich-investors-can-find-bargains-30-cent-hot-asset-class
Japan set for largest ever minimum wage hike after panel proposal
https://www.businesstimes.com.sg/international/japan-set-largest-ever-minimum-wage-hike-after-panel-proposal
Malaysia, Hong Kong plan economic hub near Singapore border
https://www.theedgesingapore.com/news/global-economy/malaysia-hong-kong-plan-economic-hub-near-singapore-border
Affordable apartments are coming to the top of New York’s skyline
https://www.businesstimes.com.sg/property/affordable-apartments-are-coming-top-new-yorks-skyline
Swedish household lending growth hits all-time low on rates
https://www.businesstimes.com.sg/property/swedish-household-lending-growth-hits-all-time-low-rates
Taiwan Q2 GDP returns to growth, pulling out of recession from Q1
https://www.businesstimes.com.sg/international/taiwan-q2-gdp-returns-growth-pulling-out-recession-q1
https://www.channelnewsasia.com/business/taiwan-returns-growth-q2-strong-domestic-demand-exports-weak-3661401
https://www.scmp.com/economy/global-economy/article/3229260/taiwans-economy-returns-growth-second-quarter-pulling-out-recession-after-145-cent-gdp-growth
UK second-home owners may see tax double from 2025
https://www.businesstimes.com.sg/property/uk-second-home-owners-may-see-tax-double-2025
UK’s war on inflation is hitting families and renters hardest
https://www.businesstimes.com.sg/property/uks-war-inflation-hitting-families-and-renters-hardest
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