Discover upcoming condo launches in Singapore

Embrace, not obstruct, technological change: PM

Prime Minister Lee Hsien Loong has called on countries to embrace technological change instead of yielding to their anxieties by obstructing it. During a brief speech about the future of work at the Group of 20 summit, he urged governments to help workers displaced by new technology take on new jobs. Companies and industries must adapt to new technologies and market conditions, while workers have to adopt the mindset of lifelong learning. Singapore is attending the G-20 summit as a representative of Asean - which it chairs this year - at the invitation of this year's G-20 president, Argentina. Singapore is also speaking on behalf of an informal coalition of small and medium-sized states known as the Global Governance Group. 


Singapore extends port limits off Tuas, says will guard sovereignty

Singapore has extended its port limits off Tuas in response to Malaysia's latest intrusion in its waters, warning it would not hesitate to take firm action to protect its territory and sovereignty if necessary. "This extension is well within Singapore Territorial Waters and tracks the eastern boundary of the 1999 Johor Bahru Port Limits," Transport Minister Khaw Boon Wan said in a prepared statement at a press conference. He explained that Malaysia had unilaterally drawn and published the territorial water it claims in 1979. This included its claim on Pedra Branca as well as areas at the eastern and western approaches to Singapore. Mr Khaw said the boundary lines Malaysia claimed at the western approach to Singapore have intruded into the Republic's port limits. Singapore has protested to Malaysia to reject its claim on Pedra Branca and stated categorically that these new boundary lines violated Singapore's sovereignty and were unacceptable.


MAS unveils S$30m grant to bolster cybersecurity

The Monetary Authority of Singapore (MAS) launched a S$30 million Cybersecurity Capabilities Grant to raise the cybersecurity capabilities of the financial sector and help financial institutions develop local talent in cybersecurity. Funded under the Financial Sector Technology and Innovation Scheme (FSTI), the grant will support the development of advanced cybersecurity functions within financial institutions. MAS will co-fund up to 50 per cent of qualifying expenses, capped at S$3 million, for financial institutions to establish their global or regional cybersecurity centres of excellence in Singapore, and financial institutions with key global or regional cybersecurity functions and operations in the Republic to expand and deepen their cybersecurity capabilities locally. It will also encourage Singapore-based financial institutions to upskill their local workforce through cybersecurity-related training programmes. This will help attract more cybersecurity professionals and expand the local talent pool in the financial sector.


Singapore is Asia's second most costly city for rich Asians:

Julius Baer report Boosted by a stronger Singapore dollar and costlier luxury goods and services overall, the Republic is now Asia's second most expensive city for luxury living, up from third place last year. This finding came from private bank Julius Baer's latest wealth report, which tracks luxury spending by Asia's high-net-worth individuals, defined as those with net investable wealth of US$1 million or more, excluding the property that is their main residence. Singapore is also Asia's third most expensive city to secure a luxury property. Julius Baer said that the demand for luxury homes in Singapore is being driven by foreigners, especially those from China, Malaysia and Indonesia, as is the case in Hong Kong and Shanghai. But for the global elite, luxury homes in Singapore still remain "relatively more affordable than in cities like Hong Kong or New York for a similar, if not higher, standard of living". In contrast, Kuala Lumpur remains Asia's cheapest city for luxury goods and services, particularly residential property, hotel accommodation, wine, jewellery, pianos and cars, compared to other Asian cities.

Cabinet reshuffle to take place after Budget 2019: PM Lee

Changes to the Cabinet to put younger ministers in key posts will be announced sometime after the Budget debate next year. Prime Minister Lee Hsien Loong indicated this timeframe for a reshuffle in an interview with Singapore media in Argentina, where he was attending the Group of 20 leaders' summit. The Budget debate ends in March, and Mr Lee hinted that the changes could be made in April or May. But for the leadership transition to the fourth generation (4G) team to go according to plan, the People's Action Party (PAP) must first win the next general election, Mr Lee added. Finance Minister Heng Swee Keat is expected to be deputy prime minister, the post which the second and third PMs - Goh Chok Tong and Mr Lee - held while they were earmarked for the top post.


Plan unveiled to help the media industry become digital-ready

Small-and-medium-sized enterprises (SMEs) as well as professionals in the media industry can now access a step-by-step guide to see how they can develop their digital capabilities and get advice on how to thrive in the digital economy. The Media Industry Digital Plan (IDP) was announced by Sim Ann, Senior Minister of State, Ministry of Communications and Information, and Ministry of Culture, Community and Youth, at the opening ceremony of the Asia TV Forum & Market (ATF) and ScreenSingapore at Marina Bay Sands Expo and Convention Centre. She said that the plan was created as the media environment continues to "evolve at a fast pace". She said: "We recognise the need for stronger, more agile companies and more higher skilled professionals to seize opportunities in Asia and beyond. Not only must we build creative skills, which remain important in the media sector, but also digital skills, so our media SMEs and professionals can thrive in an increasingly digital environment." At the core of this plan is something known as the digital roadmap, which includes a list of solutions to guide media industry SMEs and professionals in their adoption of technology at each stage of their growth. This can start at the basic level of an SME wanting to streamline operations for freelancer contracts and billing management, for example, or moving on to more advanced levels of creating artificial intelligence-enabled content. 


Finance ministers focused on preparing for a downturn: Heng

Finance ministers from the world's 20 largest economies were concerned about the state of financial markets this year, and some of their work at the Group of 20 summit at the weekend focused on preparing for the eventuality of a downturn, said Finance Minister Heng Swee Keat. "We have had a prolonged period of economic upturn. The question is, when is the downturn coming? And how do we prepare for that?" Mr Heng said in an interview with Singapore media after the summit in Argentina, which he attended. Singapore was invited as chairman of Asean this year. Mr Heng said that the finance ministers focused on three major areas, the first of which was short-term risk in the global financial system. The second area of focus was on building a more resilient financial system with "safety nets" on a national, regional and global scale. The third area listed by Mr Heng was developing the financial system to support structural changes in various economies.


SMEs expect lower turnover in 2018; sentiment weighed down by trade war: survey

More small and medium-sized enterprises (SMEs) in Singapore are expecting a decline in turnover this year, citing the challenging business environment as the main culprit for the dampened outlook, weighed down at least partially by the US-China trade war. The 2018 SME Development Survey by DP Info found that 15 per cent of SMEs project revenues to fall this year, up from 11 per cent in 2017, and 12 per cent in 2016. Only two in five SMEs expect turnover growth in 2018. The survey conducted between June and August this year, which was also when the US-China trade spat began in earnest. According to the study, one in five SMEs said that they were affected by the ongoing trade conflict between the US and China. Among those impacted, 54 per cent said that it would affect the competitiveness of exports, while 40 per cent said that it reduces overseas sales. Some 28 per cent of SMEs said that it would affect or delay their internationalisation plans.


Trade war drives companies to review business plans

In the face of trade tensions between the United States and China, members of the American Chamber of Commerce in Singapore (AmCham Singapore) are delaying or cancelling investment plans, looking to other markets, and tweaking supply chains. Helping members cope is the chamber's top priority for 2019, said AmCham Singapore chairman Dwight Hutchins of a survey on the impact of the trade war. Of 179 member firms who responded to the November survey, 68 per cent said they were reviewing their business strategies in response to the trade war. The most common move, taken by half of these firms, was delaying or cancelling investment decisions. Firms are also looking for alternatives, whether by increasing their presence in other markets (40 per cent) or adjusting supply chains by sourcing components or assembly outside China (38 per cent) or outside the US (30 per cent). Some firms are mulling more dramatic moves, with 15 per cent considering relocating some or all of their manufacturing operations out of China, 10 per cent considering a similar move out of the US, and 5 per cent considering exiting China altogether.

S-E Asia GDP growth to slow in 2019 amid trade war: ICAEW

Economic growth across the South-east Asia region is expected to slow in 2019 to 5 per cent, after an estimated 5.3 per cent in 2018, according to the Institute of Chartered Accountants in England and Wales' (ICAEW) latest Economic Insight report on the region. Singapore specifically is expected to experience the sharpest downturn, with gross domestic product (GDP) growth set to moderate from an expected 3.3 per cent in 2018 to 2.5 per cent next year, as US-China tensions and the resulting slowdown in Chinese demand continue to weigh on growth. Many of the region's economies are small open economies heavily dependent on exports, with a high level of exports to China, noted ICAEW. In particular, Malaysia and Vietnam are both highly exposed to China with total exports to China in value-added terms accounting for 10.7 per cent and 10.3 per cent of GDP respectively in 2017. Of this, more than half were to meet Chinese domestic demand. On the other end of the spectrum, Indonesia and the Philippines will be the least affected by the trade tensions. And, while growth is set to ease in Vietnam, Indonesia and the Philippines in 2019, they will still be among the top 10 fastest growing economies globally. 


StanChart to cut Dubai, Singapore jobs

Standard Chartered Plc is cutting jobs in Dubai and key markets including Singapore as it looks to curb expenses, people familiar with the matter said. Some senior roles are included in the cuts, the people said, asking not to be identified because the emerging-markets lender's strategy isn't yet public. As many as 100 positions may be impacted in Dubai although the number hasn't been finalised, two of the people said. The eliminations also include leadership at the firm's priority banking operations, which offer personalised wealth-management services, one of the people said. The staff reduction is coming as Standard Chartered chief executive officer Bill Winters is looking for ways to reignite growth. The bank is weighing a plan to simplify its structure, reduce funding expenses and free up liquidity, people familiar with the matter said earlier last week. 


S'pore factory growth slows for third month

Manufacturing growth slowed for a third consecutive month in November to record its lowest reading since July last year. The key electronics sector marked its first contraction as well after 27 consecutive months of growth, said the Singapore Institute of Purchasing and Materials Management (SIPMM). The overall Purchasing Managers' Index (PMI) dipped 0.4 point from October to 51.5. A reading above 50 indicates growth.

​This was in line with economist expectations, according to an earlier Bloomberg consensus forecast. The lower PMI reading last month was due to slower growth in new orders, new exports, factory output, inventory and employment levels, said SIPMM, which publishes the index based on a survey of over 150 industrial companies. Despite slower growth, the employment index recorded its 15th month of consecutive expansion. 


Global economic recovery will be hit if trade row escalates:

WTO All countries will lose in a global trade war, the head of the world's trade referee warned in a speech. The outcome in all simulations is that trade and economic growth will slow down and that all countries, without exceptions, will lose out in a global trade war, Mr Roberto Azevedo, directorgeneral of the World Trade Organisation said. That is a warning the International Monetary Fund has also issued. Mr Azevedo stressed that most of the job losses are due to technological change, rather than trade. Trade is "an engine of growth, productivity, innovation, job creation", he said.

Private housing supply to be cut

Private housing supply for the first half of next year under the Government Land Sales programme will be cut by nearly 20 per cent, the Ministry of National Development (MND) said. It cited concerns over the large supply pipeline from buoyant collective sales during this cycle, slower demand in the wake of the July property cooling measures and rising global economic uncertainty. MND said it is releasing 6,475 private residential units for the upcoming land sales programme - the lowest supply since the first half of 2007, when 5,475 units were offered. The upcoming supply is 19.5 per cent lower than the 8,040 units released in this year's second half. The ministry said the supply pipeline now stands at 45,000 units. In contrast, developers' demand for land is moderating, and overall transaction volumes have fallen following the cooling measures. 


Variety of choice sites on H1 slate; seven of total 14 sites are new

In all, there are five sites on the confirmed list and nine on the reserve list. Seven of the total 14 sites are new. Some property consultants rate the most attractive plot as the one along Tan Quee Lan Street, on top of the Downtown Line Bugis MRT Station. It was just made available for application on the current-half reserve list but is being transferred to the H1 2019 confirmed list. The move indicates the authorities' desire to build on the rejuvenation momentum in the area - referring to the completion of DUO and South Beach, and the upcoming Guoco Midtown. The Tan Quee Lan site can generate some 580 homes and about 2,000 sq m gross floor area (GFA) of commercial space. Another favourite is a land parcel in one-north Gateway that can yield 170 homes, making it a relatively small and palatable offering. The site is next to one-north Residences. Lee Sze Teck, head of research at Huttons Asia, said the timing of this site's offering is opportune, given that the number of residences in the locale has remained stagnant while the number of professionals working there have been rising over the years. The Canberra Link executive condominium (EC site) is expected to be hotly contested, given the tight supply for this public-private hybrid housing. The site is next to another EC plot that was awarded in September for S$558 psf ppr and attracted nine bids. 


Keen developer interest expected for Bugis GLS sites

Bugis' rejuvenation will deepen with two rare residential Government Land Sales (GLS) sites there launched for sale and analysts believe the area's potential will draw keen developer interest. The location of these two plots within the Central Area also makes them unencumbered from the recently revised development control guidelines, which pare down the maximum number of units allowable for the two other GLS sites launched at Geylang and Dairy Farm.

One of the Bugis sites is on Middle Road and has been launched under the Confirmed List. Spanning about 80,300 sq ft, the site which is zoned residential with commercial at the first storey can yield an estimated 375 homes. Just a stone's throw away is a site on Tan Quee Lan Street, launched under the Reserve List. The site is about 124,100 sq ft, also zoned residential with commercial at the first storey, and can yield about 580 homes. Analysts predict a winning bid of between $1,300 and $1,550 psf ppr for the Middle Road plot.

Builders venture abroad for new income streams, to diversify

Singapore property developers have been diversifying into new markets and business segments in recent years after several rounds of property cooling measures, which have contributed to a tougher operating environment. Following the most recent measures, developers that The Business Times spoke to nonetheless still see Singapore as a core market and will continue to look for opportunities here, in addition to overseas. In July, the government announced a hike in the additional buyer's stamp duty rates and tightened loan-to-value limits on residential property purchases. Meanwhile, the Urban Redevelopment Authority (URA) has revised the guidelines for the maximum allowable dwelling units in private residential developments outside the Central Area to curb the number of shoebox units in new projects. The guidelines kick in from Jan 17, 2019.


OCBC neutral on residential property, predicts -3% to 2% price change in 2019

OCBC analysts are taking a cautious stance on Singapore's residential property sector in 2019 on expectations of low-to-negative growth in private home prices. The brokerage's latest report on the sector projected 2019 price growth to range between -3 per cent and 2 per cent, with an expectation of 10,000 to 12,000 private transaction unit sales next year. OCBC stated that negative demand drivers might outweigh the positives in 2019. Negatives will stem from moderating economic growth, continued impact from property cooling measures and continued tight immigration policies. It noted that Singapore's economy is projected to expand at a pace of 1.5 per cent to 3.5 per cent in 2019, slower than the 3 per cent to 3.5 per cent growth expected in 2018. On the positive front, OCBC said investors can look forward to a stable resident household formation and wage growth, redeployment of proceeds from collective sales and increased pool of demand from Housing and Development Board (HDB) upgraders. It sees a spike in the number of public housing units eligible to be sold in 2019, with approximately 30,200 HDB and Design, Build and Sell Scheme (DBSS) flats reaching their ​minimum occupation period (MOP) next year - significantly higher than the yearly average of 10,900 from 2012 to 2018. 


Teeing off for the last time at Toa Payoh Golf Range

Toa Payoh Golf Range was informed by the authorities that the 2.9ha site has been zoned for residential use. The Toa Payoh Golf Range was built after Haw Par Leisure won its Housing Board tender in 1992. Group Exklusiv took over the lease at the start of the millennium, before it was awarded to Poh Bros in 2008. In recent years, numerous golf courses and ranges have closed, including Raffles Country Club this year and Jurong Country Club last year, as well as driving ranges like Nature Park Driving Range (2015) and Queens Golf Range (2009). In 2014, the Law Ministry said Keppel Club will not be able to renew its lease when it expires in 2021. Marina Bay Golf Course faces a similar fate in 2024, as will Orchid Country Club in 2030. Tanah Merah Country Club and National Service Resort and Country Club (Changi) will be offered new leases, but they will be downsized as parts of the sites will be affected by Changi Airport's expansion plans.

Former Midas chairman's bungalow fetches S$30.8m in mortgagee sale

Some notable bungalow deals have taken place recently in Good Class Bungalow (GCB) Areas as well as in the Sentosa Cove waterfront housing locale. In a deal involving a mortgagee sale, a bungalow along Cluny Road owned by Chen Wei Ping, the former executive chairman of embattled Midas Holdings, is being bought by the family of Philip Ng, chief executive of property group Far East Organization, for S$30.8 million. The price the Ngs are paying in the latest transaction reflects S$1,901 psf on the freehold land area of nearly 16,200 sq ft. This pricing is seen as attractive by analysts, given that the house stands on elevated grounds on a quiet cul-de-sac near the Lermit Road locale within the Cluny Park GCB Area. Other recent transactions in GCB Areas include a property in Bishopsgate which went for S$26 million or S$1,571 psf and another along Cassia Drive (in the Raffles Park GCB Area) that fetched nearly S$18.39 million or S$1,731 psf. There was also a S$22 million or S$1,554 psf deal in Oei Tiong Ham Park. 


Exec flats prop up HDB resale prices in Nov

Resale prices of Housing Board flats rose 0.2 per cent last month after a slight dip in October as the number of transactions fell again. The price rise was most significant for executive flats at 2.5 per cent, while the cost of fourroomers dropped 0.3 per cent and that of five-room units fell 0.5 per cent, from flash estimates. Resale prices of three-room flats remained unchanged although costs in mature estates rose 0.6 per cent, and dropped 0.1 per cent in non-mature areas. Compared with November last year, however, resale prices last month were 1.7 per cent lower. They were also down by 14.1 per cent from a peak in April 2013. The number of resale transactions continued to fall last month, with 1,881 HDB resale flats sold - down from 1,994 in October and 1,999 in September, and lower than the resale volume in November last year as well.


Judge orders condo owner to restore balcony's design

The owner of a condo unit in The Acardia widened the entrance from her living room to her balcony by removing the wall columns and installing sliding doors. The management corporation said it did not give her permission to do so.

The High Court has ordered a condo unit owner to reinstate the original design of the balcony area after ruling that her renovations had breached relevant rules and affected the overall aesthetics of the building's facade. The court, in the rare case, clarified that though the works were carried out within the unit she wholly owns, it did not follow that she fully controls the unit, given that there are community interests. The owner is appealing the decision

Global risks grow but S'pore resilient

Tighter financial conditions and ongoing trade tensions have increased risks to global financial stability even as Singapore's system remains resilient, the Monetary Authority of Singapore (MAS) said. Rising interest rates and pressure on currencies could affect governments, corporates and households, particularly those that have borrowed in foreign currencies, making it harder for them to pay off their debts. But stress tests that MAS has conducted showed that companies, banks and households can withstand external shocks, though they need to guard against weaknesses, said the regulator's Financial Stability Review released. For example, companies should exercise financial prudence and watch out for headwinds though corporate balance sheets have remained broadly stable amid a supportive operating environment.


Business groups positive as Heng looks set to be fourth PM

Armed with a clean bill of health by his doctors and a steely resolve to serve Singapore and its people, Finance Minister Heng Swee Keat said he was "deeply conscious" of the heavy responsibility he is taking on at the ruling People's Action Party (PAP). The 57-year-old was elected as the party's first assistant secretary-general, a powerful post that paves the way for him to become Singapore's fourth prime minister after the next general election (GE). He chaired the session alongside Trade and Industry Minister Chan Chun Sing, whom Mr Heng had earlier asked to be his deputy. Mr Chan, 49, was elected as second assistant secretary-general in the PAP's Central Executive Committee, the party's highest decision-making body. Both men are now on course to become deputy prime ministers when Prime Minister Lee Hsien Loong - who has made known his wish to step down before he turns 70 in 2022 - makes the next round of changes to his Cabinet line-up.


Govt seeks to modernise wholesale industry with digital roadmap

A guide to help SMEs in the wholesale trade on their journey towards more efficient processes has been launched. Called the Wholesale Trade Industry Digital Plan (IDP), the guide comprises a three-stage digital roadmap that charts out the different solutions that wholesale trade SMEs can adopt at each phase of their growth, as well as the relevant training programmes required to enhance employees' digital skill sets. Contributing about 16 per cent of the nation's gross domestic product (GDP) in 2017, the wholesale trade industry is largely burdened by paper-ridden, old-fashioned processes. Within the sector, SMEs account for about 97 per cent of total outfits. Administered by Enterprise Singapore and the Infocomm Media Development Authority (IMDA), the IDP is one of the strategies under the wholesale trade Industry Transformation Map rolled out last year to help more trading companies adopt digital technology and internationalise. According to data from the Department of Statistics, more than 80 per cent of sales in the wholesale trade are derived from overseas markets. Therefore, it is highly influenced by the evolving global trading environment such as the rise of digital business-to-business (B2B) marketplaces and the use of blockchain and artificial intelligence to improve trade processes. 

​Singapore and Argentina to work on economic pacts

Singapore and Argentina will start talks next year on a pact to avoid double taxation, and plan to conclude negotiations on an investment treaty by the first half of next year. Also, a first round of talks on a free trade agreement between Singapore and the South American Customs union Mercosur is scheduled to take place by the first quarter of next year. Argentina is the incoming chair of Mercosur, whose other members are Brazil, Paraguay and Uruguay. The timelines for the agreements were agreed during a breakfast meeting between Prime Minister Lee Hsien Loong and Argentinian President Mauricio Macri. PM Lee, who is on a four-day working visit to Argentina, will attend the G-20 summit in capital Buenos Aires this weekend.


Headline inflation flat at 0.7% in October

Headline inflation was unchanged last month from September as private road transport costs again declined, although pricier electricity and gas are still putting the squeeze on consumers. The consumer price index, which measures cost rises for all items, rose 0.7 per cent in October over the same month last year - the same pace of increase since August this year. This was a hair's breadth beneath the 0.8 per cent forecast in a Bloomberg survey of economists. But core inflation, which strips out housing and private transport costs, rose marginally as the private watchers had predicted, from 1.8 per cent in September to 1.9 per cent last month, according to the Monetary Authority of Singapore (MAS) and Ministry of Trade and Industry (MTI). 

Singapore's industrial output up a surprise 4.3% in October

Singapore's manufacturing output grew 4.3 per cent year on year in October, more than rebounding from September's marginal 0.1 per cent fall, according to preliminary estimates from the Economic Development Board. Excluding the volatile biomedical manufacturing sector, output grew 3 per cent. Still, economists remain cautious on the manufacturing outlook, despite October's figure exceeding their expectations of 2.6 per cent growth.

On a seasonally adjusted month-on-month basis, October's industrial production also ended a three-month streak of decline by growing 2 per cent, or 3.9 per cent excluding biomedical manufacturing. With overall manufacturing output having grown 7.5 per cent year on year for the first 10 months of 2018, it is expected to grow 7 per cent in 2018 even if the sector slowdowns in the final months.


Service sector revenue rises across the board - up 8% in Q3

Revenue grew across the board in the service sector in the third quarter. Turnover was up 8 per cent in the three months to Sept 30 over the same period last year, and a smidgen up on the revised growth figure of 7.7 per cent in the second quarter. Growth was led by the information and communications services industry, with revenue up 11.3 per cent on higher receipts from computer programming and consultancy firms, as well as activities such as Web hosting and Web portal services. Financial and insurance services notched up 10.6 per cent revenue growth, beating the previous quarter's 10.4 per cent increase, while turnover in education services raked in 4.5 per cent more than the second quarter and a smart 9.7 per cent increase over the same period last year. Business services - which include real estate, legal and accounting work, travel agencies and security - posted 6.3 per cent growth, slower than the previous quarter's 7.6 per cent improvement.


2019's hottest Singapore jobs are analytics, data-driven roles

Singapore hiring is likely to see stable growth in 2019, with top jobs in demand to be analytical and data-driven in nature, according to the latest annual salary survey by recruitment firm Robert Walters. These include data scientists, product management, user experience (UX) designers, and digital roles, with cybersecurity to remain a major focus, in the wake of recent high-profile cyberattacks in Singapore. The report also found that job movers in Singapore can expect pay increments of 5 to15 per cent in 2019, and larger hikes can be expected for candidates with specialised skillsets in IT, digital and financial services. Among employers, HR professionals with strong experience in HR technologies, as well as talent acquisition professionals for the technology sector will be sought after. Hiring levels for jobs in financial services will also remain positive, with a continued focus on technical and commercial skillsets. Demand will be high for skilled contracting professionals, trade finance professionals in corporate banking, investment and research analysts, and IT professionals in the financial services sector. In addition, sales and marketing professionals with big data, digital, e-commerce and transformation experience will be in increasing demand as companies continue their digitalisation efforts. 


More Singaporeans employed; saw faster pay gains in 2018

A greater share of younger and older Singapore residents were employed in 2018, and the average full-time worker enjoyed faster income growth, with the labour market improving as economic growth picked up. The unemployment rates for resident workers, both professionals, managers, executives and technicians (PMETs), and non-PMETs, also dipped slightly as at June this year, compared with the same period last year. The positive labour market outcomes this year were in line with good economic growth, said the Ministry of Manpower (MOM. The unemployment rate for PMETs was 2.9 per cent in June, compared with 3 per cent a year earlier. For non-PMETs, the rate was 4 per cent, down from 4.5 per cent. The real median gross monthly income of residents in full-time jobs grew by an average of 3.5 per cent per year from 2013 to 2018, taking preliminary inflation figures into account for this year. The median income was S$4,437 this year, including employer contributions to the Central Provident Fund, up from S$4,232 last year. 

Singapore's real estate investment market is No 2 in Asia-Pac: report

Singapore's real estate investment market has been ranked second in the Asia Pacific region in a real estate forecast jointly published by the Urban Land Institute (ULI) and PricewaterhouseCoopers (PwC). This is due to a large number of major office deals in the last 12 months, with domestic investors being the biggest buyers, ULI and PwC said in a joint statement. The forecast report titled "Emerging Trends in Real Estate Asia Pacific 2019" listed the top five Asia Pacific markets for investment and development in 2019 as Melbourne, Singapore, Sydney, Tokyo and Osaka. It also indicated that Singapore continues to rebound from cyclical lows of a couple of years ago, as it climbed to second place from third last year. Office rents have risen strongly due to a lack of supply and revived tenant demand, while coworking and other flexible office space operators are now among the biggest lessors of office space.


More Singaporeans employed; saw faster pay gains in 2018

A greater share of younger and older Singapore residents were employed in 2018, and the average full-time worker enjoyed faster income growth, with the labour market improving as economic growth picked up. The unemployment rates for resident workers, both professionals, managers, executives and technicians (PMETs), and non-PMETs, also dipped slightly as at June this year, compared with the same period last year. The positive labour market outcomes this year were in line with good economic growth, said the Ministry of Manpower (MOM. The unemployment rate for PMETs was 2.9 per cent in June, compared with 3 per cent a year earlier. For non-PMETs, the rate was 4 per cent, down from 4.5 per cent. The real median gross monthly income of residents in full-time jobs grew by an average of 3.5 per cent per year from 2013 to 2018, taking preliminary inflation figures into account for this year. The median income was S$4,437 this year, including employer contributions to the Central Provident Fund, up from S$4,232 last year.


Newly-minted en bloc millionaires offer rich pickings for banks

Banks have been homing in on residents who have sold homes through an en bloc sale, a property transaction process which is throwing up a uniquely Singapore species of freshly minted millionaires who are collectively worth billions of dollars. 11 United Overseas Bank bankers descended on the residents of Dunearn Gardens as they got their cheques for the sale of the 114-unit freehold residential development located off Newton Road. Marketing to en bloc sellers is usually done at the invitation of the MCST, or the Management Corporation Strata Title, the managing body of the condo, one banker said. Other banks which have reached out to en bloc sellers include OCBC, DBS Bank and Citi.


Goodluck Garden gets court's nod for sale despite missteps by committee, advisers

The High Court granted a sale order to Goodluck Garden, making it the latest property to have its collective sale resolved by the courts, though the court also found several missteps in the sale process. Justice Woo Bih Li also found that the conduct of the collective sale committee (CSC), marketing agent and the lawyers for the CSC Rajah & Tann was "wanting in various respects". Still, after considering all the facts, Justice Woo said that he found "no bad faith after taking into account the sale price", which was some 12.6 per cent higher than the independent valuation. He also said that the valuation of the property at S$542 million, was not flawed; whereas a belated S$637 million valuation - which objectors relied on - was. The latter valuation had assumed a higher gross plot ratio than the one used in the Master Plan. One major area of dispute was that of the development charge (DC). The marketing agent had provided various DC estimates from S$48.4 million to S$63.19 million to the owners, and had advised owners that DC rates could increase from March 1.

​The marketing agent and the CSC launched the collective sale without yet getting an official response from the Urban Redevelopment Authority (URA) about the actual amount of DC; but a little more than a week before the tender closing date on March 7, they were officially informed that there would be no DC. Justice Woo said that the results of the DC verification was "material" to potential bidders, and for the purposes of determining the reserve price. The CSC and marketing agent should have been more careful about the possibility that the DC might be materially different, he said. Justice Woo said that the CSC should have extended the tender by at least a week to give more time to spread this information. The CSC should also have informed and consulted owners and let them have their say as to what to do next, Justice Woo said.

​Justice Woo also said that the apportionment of sale proceeds and of the terms and conditions of the collective sale agreement (CSA) should have been approved at a general meeting of the management corporation, and through "overt means" such as voting. Rajah & Tann had advised the CSC that it was enough for those owners who were in agreement to sign the CSA after the meeting, which Justice Woo said was wrong advice as it was in conflict with the Land Strata Titles Act. It is not yet known if the objectors will appeal.

Phoenix Road shops and apartments to sell en bloc for $42m

A row of apartments with commercial shops in Phoenix Road, Bukit Panjang will be put up for collective sale via public tender tomorrow for $42 million. It marks the first time the owners are embarking on a collective sale. The asking price translates to a land rate of $617 psf ppr, or to $566 psf ppr after factoring in the 7 per cent bonus balcony gross floor area. No development charge is payable. The property sits on a 5,853.1 sq m site and comprises a row of 36 units, with 24 apartments and 12 commercial shops spread over two three-storey blocks. The site has a 99-year leasehold tenure with effect from Jan 1, 1969. Under the Urban Redevelopment Authority's Master Plan 2014, the site is zoned residential and has a gross plot ratio of 1.4. Subject to relevant approvals, the site can be redeveloped to offer 84 residential units, with an average size of 950 sq ft (88 sq m) each.


Beauty World Plaza up for tender with $165m reserve price

​The owners of Beauty World Plaza are putting up the retail and residential development for tender with a reserve price of $165 million, said its marketing agent. The 2,305.6 sq m site in Upper Bukit Timah comprises a single block with 61 retail and 30 residential units. Under the Urban Redevelopment Authority's (URA) Master Plan 2014, the site is zoned "commercial and residential" with a gross plot ratio of three times the site area. With no development charge payable, the land rate works out to $2,189 psf ppr based on a maximum permissible gross floor area of 7,001.38 sq m. An outline application for the change of use of the residential component to serviced apartments has been submitted to URA. The freehold property at 110 to 122 Upper Bukit Timah Road was built in the late 1980s and comprises seven apartments and seven shops. The tender for Beauty World Plaza will close on Jan 30 at 3pm.


Completed condo, private apartment prices fall 0.6% in Oct

Prices of completed private apartments and condominiums in Singapore fell further by 0.6 per cent in October from the previous month, accelerating from a 0.2 per cent month-on-month decline in September. This is according to the National University of Singapore's flash estimates for Singapore Residential Price Index (SRPI), which tracks prices of completed non-landed private homes. October's decline was driven by a 0.9 per cent drop in prices for apartments in the non-central region, excluding small units, versus a 0.3 per cent fall in the previous month. Prices of apartments in the central region, excluding small units, also fell more steeply - by 0.3 per cent in October, compared with a 0.1 per cent decline in September. However, prices of small units, which are defined as being no bigger than 506 sq ft, rose 0.3 per cent last month, after falling 0.3 per cent in the previous month. 


Coming soon: A one-stop app for HDB residents

Residents will soon have a mobile device application that allows them to make appointments with banks or clinics in Housing Board estates or apply to use public spaces such as void decks. It will even prompt them when shops nearby are having promotions. While the beta version that will be released by the first quarter of next year contains only a digital directory of commercial shops, the app will have more features adapted to residents' needs by the year end. It is part of a tie-up between the HDB, StarHub and tech start-up Sentient, and is the first app in a planned "digital ecosystem" to use smart technologies and data analytics to create services that benefit residents.

YTL launching freehold condo in Orchard Boulevard

Malaysia-based property developer YTL Land & Development (YTL Land) will launch a 77-unit freehold condominium in Orchard Boulevard, with 53 apartments to be released for sale on Saturday. Located at 3 Orchard Boulevard, 3 Orchard By-The-Park will have an average selling price of S$3,400 per sq ft, depending on the size of the unit.

The condominium - envisioned by its Italian architect and designer Antonio Citterio as "villas in the sky" - is a short walk to the Botanic Gardens, and within the enclave of the Orchard Road shopping belt and amenities such as the Camden Medical Centre. 3 Orchard By-The-Park is YTL Land's third luxury residence collection in Singapore and Mr Citterio's first residential development in South-east Asia. The condominium features two-, three- and four-bedrooom apartments, with two five-bedroom penthouses in three towers named "Wood", "Wilderness" and "Water", YTL Land said. For this Saturday's launch, 30 apartments from the "Wood" Tower and 23 apartments from the "Wilderness" Tower will be released for sale. This comprises a mixture of 14 two-bedroom, 22 three-bedroom, 15 four-bedroom, one double storey garden suite with four bedrooms, as well as one five-bedroom penthouse on the top floor.


Shaw Tower alerts tenants it may be redeveloped

Shaw Tower at 100 Beach Road is the latest in a string of post-independence landmarks that could undergo redevelopment, following the advance notice its 150 tenants have been given to relocate elsewhere on or before June 30, 2020. According to an update to tenants seen by The Straits Times, the property's management said it has appointed a project team to undertake a study to "evaluate the most scalable-cum-feasible option for the building". Owned and managed by Shaw Towers Realty, Shaw Tower comprises a 35-storey office/retail block with 260,000 sq ft of office space and 100,000 sq ft of retail space. According to an analyst, the property is "a prime site for redevelopment". "Sandwiched between GuocoLand's Guoco Midtown and the South Beach project by City Developments and IOI Properties, if Shaw Tower were to be redeveloped, then the entire area will be re-gentrified”, he said. 

2019 home prices could fall in some smaller Chinese cities:

Fitch Home prices in some smaller Chinese cities could fall next year as the world's second-largest economy slows, Fitch Ratings said, while adding that the government is expected to step in to stem any precipitous decline. Nationwide growth in China's property prices has moderated this year in response to measures to curb speculation. Sales volumes may fall up to 10 per cent, following low-single-digit gains in 2018, with declines likely to be the strongest in lower-tier cities, it said. Smaller cities will be most affected by the scaling back of monetised resettlement of shanty-town residents, Fitch said. But the rating agency said the downturn is likely to be muted, and the government has considerable scope to ease policies to support the market if required. 


Some claim fingers burnt in Iskandar buy-and-leaseback scheme

A group of 116 people - mostly Singaporeans - who bought serviced apartments in a waterfront development at Johor's Puteri Harbour are claiming that they have had their fingers burnt in a buyand-leaseback scheme. They are accusing a company linked to the developer of giving "unreasonably and inconceivably negligible" rental returns after the first two years of guaranteed returns in a 10-year contract. This began in March 2015 and they got at least five per cent a year. But when the guarantee period expired in February 2017, the returns plunged. The 204-unit development, sited in the massive Iskandar township and just 10 minutes from the first Legoland theme park in Asia, is called Somerset Puteri Harbour as it is managed and operated by The Ascott, which uses the brand name Somerset.


Singaporeans seek to get the best out of their JB homes

An oversupply of high-end condos in Iskandar Malaysia has been pushing rent lower, said industry experts. More owners are turning to short-term leasing because of the lower rental yield and challenges in finding long-term tenants. Airbnb is an alternative solution according to an analyst. It broadens the demand base because it's on an international website. Rental demand at Iskandar has not been as strong as projected. And now, with the Malaysian government pushing for more affordable homes for locals, chances are slim for those who want to make a profit from selling their units.


Indonesia plans tax revisions to prop up sluggish property sector

Indonesia plans to cut taxes on luxury properties and revise other tax rules in a bid to support the real estate industry and attract investment in South-east Asia's biggest economy, Finance Minister Sri Mulyani Indrawati said. The threshold for a luxury tax of 20 per cent applied to houses and apartments would be raised to at least 30 billion rupiah (S$2.8 million) from 20 billion rupiah, she said in comments published on the cabinet secretary's website late on Wednesday. Sales of luxury property will also be subject to a lower tax of 1 per cent of the selling price, against 5 per cent now.

Lack of new homes may save UK market from Brexit-driven crash

Anyone fearing a Brexit-induced house-market crash in the UK would do well to remember that the country isn't even close to keeping up with demand for new homes. Figures show that construction continues to lag behind the government's targets, suggesting that a failure to meet demand will buoy the market for some time to come. Limited access to land, increasing construction costs and a slow planning process mean that homebuilders have failed to deliver enough properties for at least a decade. The problem is especially acute in London, where net additions fell about 20 per cent from a year ago to 31,723 units, less than half the 65,000 units pledged by Mayor Sadiq Khan in his effort to convince voters he could solve the city's chronic housing shortage. 


UK housing woes deepen as asking prices fall

Property asking prices in the UK fell from a year earlier for the first time since 2011, led by declines in London and among the most expensive properties. Asking prices slipped 0.2 per cent to £302,023 (S$532,000). Prices were 1.7 per cent lower compared with October, the biggest drop for the month since 2012. The property market in Britain is weakening after a three-decade boom in which price growth vastly outstripped wage gains. The uncertainty around the outlook for the UK's divorce from the European Union is also making buyers more cautious and prompting sellers to be less ambitious with asking prices.


London's stockpile of unsold homes jumps to record high

London's stock of completed but unsold homes has surged by almost half this year as Brexit uncertainty and affordability issues dog the housing market. The number in the capital jumped to 2,374 units as of Sept 30, the most on record and up from 1,595 at the end of 2017, according to data compiled. The borough with the biggest stockpile is Wandsworth, an area that borders the River Thames, followed by Croydon, an outer borough in the south of the city. Britain's housing market is slowing after a multi-year boom as the UK's impending divorce from the European Union weighs on sentiment and prices remain out of reach for many potential buyers.


Australia housing will muddle through downturn

Australia's property downturn will weigh on economic growth, with prices set to keep falling through 2019. Nationwide housing prices will fall between 10 per cent to 15 per cent from recent peaks, with "slightly larger" declines in Sydney and Melbourne. While that would be the largest decline in recent times, it would just reverse the overvaluation of recent years. The decline is already well under way, with Sydney prices down 7.4 per cent in October from a year earlier, and Melbourne off 4.7 per cent. Nationally, house prices dropped 3.5 per cent last month from a year earlier, according to latest data. 

Foreign investors find trophy properties in unlikely US cities

US properties in places like Denver, Phoenix, Philadelphia and the suburbs of Atlanta have all drawn foreign investment this year as buyers look for growth outside the biggest US metro areas. The most popular second-tier markets for foreign capital this year include Dallas, California's Inland Empire and Philadelphia.


US existing-home sales rise for first time in seven months

Sales of previously owned US homes rose in October for the first time in seven months, suggesting that demand is stabilising at a lower level as available properties become less scarce. Contract closings increased from the prior month to an annual rate of 5.22 million, the National Association of Realtors (NAR) said. That compared with economists' projections for sales of 5.2 million. The median sales price rose 3.8 per cent from a year earlier, while the inventory of available homes expanded 2.8 per cent, the third straight increase. Even with the monthly increase, the market remains relatively soft, as sales were down 5.1 per cent from a year earlier, the biggest drop since 2014.


US housing starts rise, but underlying trend weak

US homebuilding rose in October amid a rebound in multi-family housing projects, but construction of single-family homes fell for a second straight month, suggesting the housing market remained mired in weakness as mortgage rates march higher. Other details of the report published by the Commerce Department on Tuesday were also soft. Building permits declined last month and homebuilding completions were the fewest in a year. Housing starts increased 1.5 per cent to a seasonally adjusted annual rate of 1.228 million units last month. In addition to rising borrowing costs, the housing market is also being squeezed by land and labour shortages, which have led to tight inventories and more expensive homes. Many workers are being priced out of the market as wage growth has lagged.


Canada's housing boom shifting to rugged north

Forget Vancouver. British Columbia's housing boom is set to shift to the province's rugged north as Royal Dutch Shell's US$31 billion liquefied natural gas project sparks an economic boom in the remote region. British Columbia's North Coast - a sparsely populated region usually synonymous with untamed wilderness, black bears and glacial fjords - is set for a turnaround as Shell and its four partners ramp up activity on Canada's largest infrastructure project ever. Residential home prices in the North Coast are set to surge faster than any other region in the province through 2020 as the project in Kitimat prepares to employ as many as 7,500 people at its peak. In contrast, prices in Vancouver's Lower Mainland area - once one of the hottest housing markets in North America - will fall, keeping the overall provincial median price flat.

Singapore economy to grow by 1.5% to 3.5% next year:

MTI The escalating trade war and other headwinds will rein in Singapore's economy next year, the Trade and Industry Ministry said. It forecasts economic growth of 1.5 per cent to 3.5 per cent next year, a drop from the estimated 3 per cent to 3.5 per cent expansion this year. The biggest risk would be the loss of global business and consumer confidence if the trade war between China and the United States intensifies. This means the outlook for demand is slightly weaker next year compared with this year, with more risks for the global economy. Signs of a weakening economy are already evident here, with the third quarter expanding at the slowest pace this year. Growth came in at 2.2 per cent in the three months to Sept 30 compared with the same period last year, and was well down on the 4.1 per cent expansion in the second quarter. The 2.2 per cent figure fell short of the 2.4 per cent consensus forecast of analysts polled by Bloomberg and the MTI's 2.6 per cent advance estimate. The ministry said growth was supported mainly by the finance and insurance, manufacturing and business services sectors. Most industries saw slower expansion or contraction.


Singapore exports not very exposed to trade war:

MTI analysts The world's biggest economies are at loggerheads but Singapore's exposure to the US-China trade war is small, an official analysis has found. Value added from US-China bilateral exports made up 1.29 per cent of Singapore's gross domestic product (GDP) last year, two government economists wrote in a report. Economists from the Ministry of Trade and Industry (MTI), added in their report that "the actual impact of the ongoing US-China trade conflict on the Singapore economy would likely be smaller for two reasons".

​Only some of the goods exported between the US and China have been slapped with tariffs, they noted. Also, while tit-for-tat duties could hurt bilateral export volume, "it is not likely that the exports would fall to zero". The Republic's top export partners, by value added, are the combined Asean-5 markets of Malaysia, Indonesia, the Philippines, Thailand and Vietnam; China; the European Union-28 bloc; the US; and India. The share of the economy embodied in Asean-5 exports in fact grew between 2011 and 2017, from 4.66 per cent to 5.25 per cent, even as value added built into exports to China, the US, and EU members dipped. Other watchers also believe that growth from exports to five key South-east Asian markets could shelter the Republic from the conflict. 


Business climate worsens, but Singapore's prospects still beat China's, survey finds

Global trade woes may send some business Singapore's way, but uncertainty is still weighing down companies' near-term outlook. This is the take-away from the latest Business Times-Singapore University of Social Sciences (BT-SUSS) Business Climate Survey, which polled 157 firms from Sept 18 to Oct 17. Companies reported weaker business performance in the third quarter, and their outlook for the six months to end-March was largely pessimistic. The last time that the quarterly survey turned up negative readings for all four key indicators was a year ago. But a fifth of the firms still named Singapore as the market with the rosiest prospects for the year ahead, beating out China and Vietnam - which shared second place - by a broad seven-point margin. 

S'pore non-oil exports jump 8% in third quarter

Non-oil domestic exports (Nodx) posted a better-than-expected 8 per cent jump year on year in the third quarter, driven by non-electronic shipments, which grew for the fifth straight quarter while electronics declined. Total trade rose for the eighth consecutive quarter, expanding 14.7 per cent in the three months to Sept 30, up from a 10.2 per cent increase in the second three months of the year, trade promotion agency Enterprise Singapore noted yesterday. The improvement in both oil trade and non-oil trade led Enterprise Singapore to raise sharply its official 2018 growth forecasts for trade to 9 to 9.5 per cent and 5.5 to 6 per cent for Nodx.


NODX outperforms in October after disappointing in September

Non-oil domestic exports (NODX) proved to be unpredictable once again, surging 8.3 per cent in October when the market was looking at an expansion of only 1.0 per cent The month before, NODX had underperformed with a growth of 8.1 per cent from a year ago. October saw the seventh straight month of increase - thanks to a strong advance in non-electronic shipments, which outweighed a continued decline in domestic electronics exports, said trade promotion agency Enterprise Singapore in a statement. The electronic NODX fell 3.5 per cent in October - the 11th straight month of decline - and the fall was sharper than the 1.3 per cent dip in September. Non-electronic NODX, on the other hand, grew at 12.8 per cent clip to extend the 11.8 per cent increase in the previous month.


Singapore at forefront in Asia for talent competitiveness

Singapore has come up tops in Asia for talent competitiveness this year, according to a global ranking by Swiss business school IMD. Among the Asian economies in the IMD World Talent Ranking 2018, Singapore retained its position as 13th in the world, ahead of traditional rival Hong Kong which fell six spots to 18th. This was followed by Malaysia, which jumped six places to come in 22nd. The ranking evaluated 63 economies from around the world in developing, attracting and retaining talent based on three factors: investment and development, appeal, and readiness. Singapore fared well in attracting highly skilled professionals from abroad, management remuneration and education outcomes, but it was dragged down by its investment in public education, where it ranked 60th.


Singapore among choice locations for finance companies

Hong Kong, Tokyo and Singapore are choice destinations in the region for finance companies to be based, a study said, with the financial services sector expected to continue to play a key role in growth for the region. ​The report is based on a comprehensive study of 16 cities in developed and emerging markets across Asia, looking at nearly 60 criteria covering areas such as socio-economic factors and property. Singapore was in No 3 position, behind Tokyo. The Republic remains an attractive regional base for many financial institutions owing to its stable political and economic environment, probusiness policies, active capital market and robust regulatory framework.

Minbu Villa takes second stab at en bloc sale at S$145.8m, but price may go lower

Faced with the cooling en bloc market, Minbu Villa, a freehold residential development in Novena, is going up for tender at S$145.8 million again, but this reserve price could be lowered if 80 per cent of the owners agree. Its earlier collective sale bid was launched in March and closed on April 17 without a winning bid. This time, more than 60 per cent of the owners by share value and strata area have signed a supplemental agreement to lower the reserve price to S$129.1 million, translating to a land rate of S$1,200 psf ppr. The site has a land area of 38,426 sq ft, and a gross plot ratio of 2.8. Completed in 1981, the 10- storey development comprises 33 apartments and a penthouse. In-principle approval has also been granted by the Singapore Land Authority for the alienation of a piece of adjoining state land approximately 195.9 sq m in size; this could lower the land rate by another S$34 psf ppr. The tender for Minbu Villa closes on Dec 18. 


Opposing collective sale doesn't exempt owners from stamp duty

In a collective sale of private homes, residents who oppose it will still have to pay any seller's stamp duty that applies to them, said Second Finance Minister Lawrence Wong in Parliament on Nov 20. The reason is that the collective sales committee is given the powers to enter into a sale-andpurchase agreement on behalf of all owners when it gets the consent of the required majority of residents in the property, he added. This agreement is binding on all owners. Mr Wong, who is also the National Development Minister, was replying to Mountbatten member of parliament Lim Biow Chuan, who asked whether the seller's stamp duty is waived for those who do not sign the agreement to launch a collective sale.


HDB terrace near Whampoa sold for record price of nearly S$1.2 million

A Housing and Development Board (HDB) terrace house was sold for nearly S$1.2 million in the third quarter of this year, smashing a previous record for the priciest HDB unit ever sold, according to a real estate trends report. The 237 sq m HDB terrace located along Jalan Bahagia near Whampoa was sold in September for S$1.185 million. The three-room property has 52 years remaining on the 99-year lease, which began in 1972. There are only 285 of such terrace properties in Singapore. Over the past five years, 63 HDB terrace homes have been sold across the island. In Jalan Bahagia alone, 23 HDB terrace transactions were made over the past five years, four of which were in the past nine months. The price of the Jalan Bahagia unit sold in September is slightly higher than the S$1.18 million record set by a five-room Design, Build and Sell Scheme (DBSS) flat in Bishan that changed hands in February last year. ​The third most expensive HDB unit sold is a five-room DBSS flat at Lorong 1A Toa Payoh, which transacted at S$1.16 million. 


New rules for housing developers to prevent money laundering

Housing developers will bear more responsibilities and duties to prevent money laundering and terrorism financing from happening in the real estate sector under a Bill passed in Parliament. This, along with other proposed changes in the Developers (Anti-Money Laundering and Terrorism Financing) Bill, will bring Singapore's anti-money laundering and terrorism financing regime in line with international standards, said Minister for National Development Lawrence Wong. Under the amendments, developers will need to carry out due diligence checks on purchasers, keep proper records relating to these checks, and report any suspicious transactions to Suspicious Transaction Reporting Officers. They will also need to train employees and establish processes to mitigate money laundering and terrorism financing risks. The Bill will make amendments to the Housing Developers (Control and Licensing) Act and the Sale of Commercial Properties Act. The changes include barring people convicted for money laundering and terrorism financing from being licensed housing developers, and disqualifying them from holding responsible positions at development firms. The Controller of Housing, who administers regulations related to developers, will also be given enforcement powers to ensure compliance with the new provisions. 


Lease Buyback Scheme extension: Details likely ready by early 2019

The details of the Lease Buyback Scheme's (LBS) extension to all flats should be ready by early next year. Under the LBS, flat owners aged 65 and above who meet several other criteria can sell part of their flat's lease to the Housing Board while retaining the length of lease based on the age of the youngest owner. The proceeds from such a sale will be used to top up their Central Provident Fund (CPF) Retirement Account, which can subsequently be used to purchase a CPF Life plan that provides individuals with a monthly income for life. 

Study finds more than 50m homes lying vacant in China

Chinese President Xi Jinping's mantra that homes should be for living in is falling on deaf ears, with tens of millions of apartments and houses standing empty across the country. Soon-to-be-published research will show that roughly 22 per cent of China's urban housing stock is unoccupied, according to Gan Li, an academic who ran the main nationwide study. That adds up to more than 50 million empty homes, he said. The nightmare scenario for policy makers is that owners of unoccupied dwellings rush to sell if cracks start appearing in the property market, causing prices to spiral. The latest data, from a survey in 2017, also suggests Beijing's efforts to curb property speculation - considered by leaders a key threat to financial and social stability - are coming up short.


Smaller China cities help lift prices of new homes

Prices of China's new homes accelerated last month, led by gains in smaller cities, suggesting a key driver of the country's economic growth remained intact despite slower investment and increasing economic headwinds. Average new-home prices in China's 70 major cities rose 1 per cent in October from a month earlier, a touch higher than the previous month's reading of 0.9 per cent, according to Reuters calculations based on an official survey. While solid growth in the sector could cushion the impact of a vigorous multi-year government crackdown on debt and escalating trade tensions with the United States, it could also stoke fears of a bubble if prices climb too quickly. China's property market has been relatively resilient, despite tighter property curbs, as many investors exploited regulatory loopholes and turned to smaller cities facing fewer restrictions. China's four biggest cities - Beijing, Shanghai, Shenzhen and Guangzhou - posted no change in their average monthly prices. However, signs of a slowdown in the property sector - a key driver of gross domestic product - are emerging, with growth in China's real estate investment in October cooling to a 10-month low and home sales falling again, as developers held back expansion plans in the face of broadly softening economic conditions.

This is what's killing Australia's property boom

A potent combination of nervous buyers, cautious lenders and retreating investors has turned Australia's once booming housing market to dust. With the downturn now in its second year, the question for home-owners, house-hunters and property investors is how much further there is to go. Prices in Sydney, the epicentre of the preceding boom, are falling at an annualised pace of about 8 per cent. The optimistic view is that with employment still growing, the declines will stay orderly and help return some affordability to a stretched housing market. As prices decline, fear of missing out has turned to fear of paying too much. 


HK property prices - it's all down to location, size

Hong Kong's notoriously unaffordable property prices have started to turn down. In thinking about how bad the reversal may get, four words offer a useful guide - location, location, location, and size. The real estate broker's mantra holds as true for the Chinese city as for housing markets anywhere - prices of homes in the most central districts will be more resilient than those in the suburbs. The distinguishing feature of Hong Kong is the premium on space. In a city where rising prices have encouraged developers to build ever tinier apartments, the relative undersupply of larger properties should ensure they hold up better in a slump. Hong Kong property prices rose more than fivefold between 2003 and the middle of this year, and the city is frequently ranked as the world's least affordable market in global surveys. A sagging stock market is also taking a toll on buyers' confidence in Hong Kong, while the trade war will pressure an already slowing Chinese economy. That could impact Hong Kong's unemployment rate, which at 2.8 per cent at the end of September was the lowest since before the Asian financial crisis in 1997. To top it off, the influx of mainland Chinese buyers who helped to power the boom has slowed to a trickle.

Demand for new London offices to progress even as Brexit weighs: survey

Demand for new office space in London will continue even with the imminent exit of the UK from the European Union (EU), a closely-watched industry survey showed on Tuesday, with technology, media and telecom companies taking up most spaces in the city. The London office market remains resilient despite the slow pace of Brexit negotiations and growing speculation about a no-deal weighing heavily on business sentiment, the London Office Crane Survey by Deloitte Real Estate showed. Britain is due to leave the EU in March 2019, with the BBC reporting that the EU and Britain agreed to a draft Brexit divorce deal text on Tuesday. The survey showed that office take-up in central London was 6 per cent higher in the third quarter than a year earlier as businesses shrugged off Brexit uncertainty. Some of the biggest central London property deals in Q3 were Facebook renting three buildings in the King's Cross Central development and Publicis Group take-up of space at White City Place. 


Asean meetings to take stock, boost regional cooperation

Singapore will be in the spotlight this week as leaders of all 10 Asean members gather for the 33rd Asean Summit and several related meetings at the Suntec Singapore convention centre. The summit, which mark the final milestone of Singapore's chairmanship of Asean this time round, will be chaired by Prime Minister Lee Hsien Loong. The leaders are expected to adopt the Asean Smart Cities Framework, the Prime Minister's Office (PMO) said in a statement. The framework covers the setting up of a network of smart cities in the region. Its initial 26 members include Bangkok, Cebu City and Yangon, all of which will tap technology and work with partners to improve public services and economic opportunities for residents, among others. The leaders will also take stock of Asean's achievements this year in strengthening the grouping's resilience and innovation - two key themes of Singapore's chairmanship - and discuss how to take Asean forward at a time of geopolitical and economic change. 


Vietnam becomes 7th country to ratify Trans-Pacific trade deal

Vietnam's lawmaking body, the National Assembly, unanimously ratified a landmark 11-country deal that will slash tariffs across much of the Asia-Pacific. One of the region's fastest-growing economies, its status cemented by strong exports and robust foreign investment, the South-east Asian nation is believed to be among the largest beneficiaries of the trade deal. The ratification makes Vietnam the seventh country to have passed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the National Assembly said in a statement. 

PM Lee, Mahathir reaffirm strong ties between Singapore and Malaysia

Prime Minister Lee Hsien Loong and Malaysian Prime Minister Mahathir Mohamad reaffirmed the strong ties between Singapore and Malaysia. At the start of an official lunch at the Istana, Mr Lee said that while this was Dr Mahathir's first official visit to Singapore as the seventh prime minister of Malaysia, he is very familiar with the Republic, having visited many times and collaborated on bilateral projects such as the Linggiu Dam in Johor and the Second Link in Tuas. "Malaysia is Singapore's closest neighbour and vice versa. We are bound by geography and history. Our economies are extensively intertwined." Mr Lee noted that Singapore and Malaysia are each other's second-largest trading partners, and Singapore is Malaysia's second-largest foreign investor. "Our relationship is further strengthened by bonds of kinship, friendship and memories. We all have friends and relatives who live, study or work across the Causeway, and we feel at home when we visit each other," he added.


Putin breaks ground for new Russian Cultural Centre

A Russian Cultural Centre that houses a Russian Orthodox Church will rise at an empty plot of land in Rangoon Road near Little India, a symbol of Russia's growing ties with Singapore. The ground-breaking ceremony for the project was officiated by Russia's President Vladimir Putin and President Halimah Yacob, with the unveiling of a large cornerstone by the two leaders.

The ceremony was held just hours after Mr Putin arrived in Singapore for his two-day state visit, his first ever to Singapore, with this year marking the 50th anniversary of the establishment of diplomatic ties between the two countries. The last top Russian leader to visit Singapore was then-prime minister Dmitry Medvedev in 2009. There were 690 Russian companies in Singapore as of 2017. Russia is Singapore's 24th largest trading partner. Similarly, Singapore companies have ventured into many parts of Russia including in the Moscow, Tatarstan and Penza regions. 


MAS launches US$5b kitty to woo fund managers to drop anchor here

​The Monetary Authority of Singapore (MAS) is making a US$5 billion move to anchor fund managers in Singapore, in preparation for a scale-up in private market activity. This is the first time it is launching a fund for private market investments, to be managed by top global private equity and infrastructure fund managers. The managers must either be committed to deepening their existing presence in Singapore or establishing a significant one. Under the programme, MAS will allocate US$5 billion of its own capital as part of its investment in the private markets asset class. The fund was announced by Enterprise Singapore chairman and MAS board member Peter Ong at the Global Investor Summit, which is being held during this year's Singapore Fintech Festival. 

Leaders vow to create world's largest free trade area in 2019

​Leaders of Asean's 10 members and six key trading partners vowed to seal a pact to create the world's largest free trade area next year - the Regional Comprehensive Economic Partnership (RCEP). Five more chapters of the pact were concluded this year, bringing the total to seven. And "significant breakthroughs" were made in negotiating parts on trading rules. 


China, Singapore agree to deepen ties in various areas

Singapore-China relations have been "progressive, forward-looking and strategic", and leaders from both countries have committed to working closer together in a wide range of areas, from science and technology to trade and culture. The two governments said they would build on the foundations laid by past generations of leaders from both sides and maintain frequent high-level exchanges. They also vowed to keep to the principles of mutual respect, sovereign equality and noninterference in each other's internal affairs. Singapore will also maintain its consistent "one China" policy.


Singapore can achieve steady, sustained growth

Singapore's economy must continue to grow, and that is why the government is pressing on with its economic transformation plans, said Prime Minister Lee Hsien Loong. Speaking at the biennial People's Action Party conference at the Singapore Expo, he pointed out that there are already some early successes, and "companies big and small are restructuring themselves, embracing technology and training workers". He noted that high-tech industries such as robotics, aerospace engineering and digital farming have taken root in Singapore. The country's startup scene, meanwhile, is "beginning to thrive" in areas such as fintech, where a number of home-grown firms are doing well, he said. The prime minister made these remarks on the broader point about the importance of imbuing Singaporeans with hope for the future. 


Asean on track to realise 2025 vision of free and open trade

Three agreements sewn up were billed as part of Asean's growing economic integration and the bloc's commitment to free, open trade, en route to its plan for 2025. The South-east Asian body must forge ahead with its 2025 vision for the Asean Economic Community (AEC), said Minister for Trade and Industry Chan Chun Sing, as he opened the AEC Council's afternoon meeting. "Against the backdrop of rising anti-globalisation sentiments and trade tensions, Asean will need to continue to stay open and connected, and leverage on our collective strength to navigate the disruptive trends and anchor our relevance to the global economy," he added. He noted that the region has already hit "critical milestones in Asean's transition towards AEC 2025". 

Nearly half of Kent Ridge Hill Residences units sold at official launch 

Almost half of the 250 units at Kent Ridge Hill Residences were sold at its official launch last weekend, said home-grown property developer Oxley Holdings. A total of 116 units at the five-storey property along South Buona Vista Road were snapped up on Saturday and Sunday, Oxley said in a news release on Tuesday.

The average price of the units sold was S$1,700 psf. Eighty per cent of the units sold comprised one-bedders, one-bedroom and a study, and two-bedroom units. The remaining 20 per cent were three-bedroom units, five-bedroom penthouses and strata landed homes. Four out of every five buyers were Singaporeans, and the rest were permanent residents and foreigners.


100 units of The Woodleigh Residences released for sale

The Woodleigh Residences sold 60 per cent of the 50 units released for sale during the soft launch, which prompted joint developers Kajima Development and Singapore Press Holdings to release another 50 units. Units sold over the weekend achieved an average of above S$2,000 psf. Located at the junction of Upper Serangoon and Upper Aljunied roads, The Woodleigh Residences is part of a mixed-use commercial and residential development that will feature 667 premium residential units overlooking Alkaff Lake and Bidadari Park, while The Woodleigh Mall will offer close to 28,000 sq m of retail, dining and commercial space. The 99-year-leasehold property comprises two-, three-, and four-bedroom units, which start at S$1,873 psf. A two-bedroom apartment has a starting price of S$1.088 million, while the fourbedroom units are S$2.55 million onwards. 

October new private home sales fall, rebound seen this month on new launches

New private home sales slumped month-on-month in October owing to a dearth of new launches, but analysts expect sales to rebound in November, thanks to a slew of major launches. Developers in Singapore sold 487 private homes - excluding ECs - last month, falling nearly 48 per cent from the 932 units moved in September, and 36 per cent lower than the 761 units they booked in October last year. There was only one new launch - the 56-unit freehold condo 10 Evelyn located off Newton Road - which sold two units at a median price of $2,478 psf. The 202 units from existing projects launched for sale last month were the lowest number since February this year.

The trend is similar to that following earlier rounds of cooling measures "where the number of project launches, units launched and units sold eased in the third month of the measures", Huttons Asia head of research Lee Sze Teck noted. "This is likely to be a blip. Buyers are finding value in earlier launched projects and committing to a buy... Sales volumes are still heavily concentrated in the city fringe or rest of central region (RCR) largely due to a number of major launches in the RCR in 2018," he added. An analyst expects new sales to rebound this month, fuelled by new major launches such as Whistler Grand, Kent Ridge Residences, Parc Esta and Woodleigh Residences. "Total developer sales could potentially near or even exceed 1,000 units in November," she said.

UOL to launch two projects in 2Q 2019; Q3 profit slides 85%

Despite highlighting that the July cooling measures have affected sentiment in the Singapore residential property market, UOL Group is planning to launch two projects in the second quarter of next year. They are a freehold residential project with about 56 units on the former Nanak Mansions site in Meyer Road, and a 99-year leasehold project in Silat Avenue with about 1,074 residential units and 1,300 sq m of commercial space. Revenue shrank 3 per cent to S$523.8 million from the preceding year. The drop was due to a 43 per cent contraction in revenue from property development to S$165 million, due to lower recognition from Principal Garden and Botanique at Bartley as the projects approach completion in Q4 2018 and Q1 2019, respectively, as well as the completion of Alex Residences in September 2017. The revenue decline was partly offset by Amber45, which was launched in May this year, and higher revenue from The Clement Canopy project arising from the UIC consolidation.


Keppel Land ready to roll out AI-backed smart homes

Keppel Land and Habitap have unveiled Singapore's first smart home powered by artificial intelligence. This smart home that comes equipped with the machine learning capabilities is touted as being capable of anticipating users' preferences and usage patterns. Property developer Keppel Land said that it intends to apply such smart home systems at its upcoming residential development in Nassim Hill. This would not be the first deployment of smart home system in a Keppel Land's development. Back in 2016, Keppel Land had also collaborated with Habitap to deploy a smart home system at the former's Corals at Keppel Bay residential development. Similar smart mobile applications were rolled out for residents at three other Keppel Land's projects here - Highline Residences, The Glades and the Garden Residences. 

​
Shoebox units remain popular with developers and buyers alike

The latest move by the government to revise a guideline that caps residential units in projects outside the Central Area (CA) is laudable in its intent to curb excessive building of shoebox units and prevent new projects from posing a strain on local infrastructure. Last month, URA announced a revision to the guideline by raising the average GFA parameter in the formula from 70 sqm to 85 sqm. While this move is widely seen as a response to the stark increase in new units from the many collective sale sites sold over the past two years, the reality is that this revised guideline would not apply to any of these sites.

This is because the revised guideline only applies to development applications submitted to URA from Jan 17 next year. Most collective sale sites sold to developers would already have their development applications for new projects submitted to URA before then, and would thus not be subject to the new guideline. For these sold collective sale sites, however, the maximum number of dwelling units is already capped by a pre-application feasibility study that developers need to undertake when seeking the approval of the Land Transport Authority (LTA). This is on top of an existing LTA requirement on Transport Impact Assessment for sites with at least 700 residential units. All things considered, while developers have been blamed for the ramp-up of shoebox apartments in their quest for profit maximisation, it is clear that there is demand for these small units. The total debt servicing ratio (TDSR) regime since June 2013 has clipped the capital outlay of aspiring homebuyers and investors.

Shoebox units appeal to a substantial group of quantum sensitive home buyers, singles looking to live separately, and investors. This is reflected in strong buying demand for shoebox units. In new non-landed projects outside the CA, shoebox units sold as a percentage of total sales continued to climb from 16 per cent in 2012 to as high as 22 per cent in 2016 and remains elevated at 19 per cent this year, based on caveats as of end-October. It is assumed that developers are keen to build more shoebox units because they can sell these units more quickly and peg a higher psf price. But there is a limit to how high these shoebox units can be priced without hurting their appeal to quantum-sensitive home buyers. An exceedingly high psf pricing will also turn yield-seeking investors away. 


Tengah flats among 7,214 HDB units launched for sale
​
The Housing Board launched 7,214 flats for sale under the Build-To-Order (BTO) and Sale of Balance Flats exercise this month. There are 3,802 BTO units for sale, with prices ranging from $101,000 (excluding grants) for a two-room Flexi unit in non-mature estate Tengah, to over $472,000 (excluding grants) for a fiveroom flat in mature estate Tampines. The number includes 1,620 flats at BTO project Plantation Grove in Tengah, Singapore's first new town in more than 20 years after Punggol, as well as the first batch of BTO flats with shorter waiting times. Tengah is touted as the first "forest town" in Singapore, and will have a car-free town centre and lush greenery around the site. The town will be about 700ha, roughly the size of Bishan. Buyers of the BTO project in Tengah can also opt to subscribe to a centralised cooling system, the first to be piloted in an HDB estate, instead of installing their own air-conditioning units. The November launch also comprises the first batch of BTO flats with shorter waiting times, of two to three years from application, in the Sembawang, Sengkang and Yishun projects. The usual waiting time is about three to four years. There are also 3,412 Sale of Balance Flats for sale in locations such as Bukit Batok, Bishan and Clementi. 

KL to help first-time home buyers from lower-income groups
Malaysia's Pakatan Harapan announced in its budget that it will spend RM1.5 billion (S$495 million) on public housing next year - more than double last year's allocation - to encourage home ownership, especially for first-time buyers from lower-income groups. Finance Minister Lim Guan Eng said that a RM1 billion fund will be set up by Malaysia's central bank to give out home loans with an interest rate of 3.5 per cent per annum to help those earning less than RM2,300 a month to buy properties priced at RM150,000 and below.

Runaway home prices were a major grouse during the former Najib Razak administration despite extensive efforts to provide affordable options. Bank Negara Malaysia on Sept 26 said the country's housing glut was worsening as more units remained unsold, with 80 per cent of these priced above RM250,000 and seen as unaffordable to most Malaysians. These measures are expected to give between 7 per cent and 11 per cent cost savings to house buyers, before taking into consideration any promotional discounts that may be offered by property developers.


US home prices cool as sales slump in pricey western cities
​US home-price gains and sales slowed in the third quarter as higher mortgage rates cut into affordability, the National Association of Realtors said. The national median price of a previously owned single-family home was US$266,900, up 4.8 per cent from a year earlier. In last year's third quarter, prices rose 5.3 per cent on an annual basis. While the inventory of home listings is climbing, it is still historically low, and the job market is strong. The combined forces of a tight supply and heightened demand are still driving up prices, albeit at a slower pace. Higher borrowing costs have made some buyers hesitate. While supplies are adequate on the high end, there is an insufficient supply of low- to mid-priced homes, so would-be buyers in those segments are getting pushed out of the market. 

China's developers bracing for major shakeout
The marketing materials for Ruyi Island, a man-made chunk of land about 5km north-east of the capital of China's Hainan province, depict a utopia for the wealthy. An artist's impression shows families strolling along marina boardwalks strung with fairy lights and villas nestled around palm tree-lined lagoons. In reality, Ruyi Island - five years after construction started - remains a huge sand bank, a few cranes sitting idle. Its developer, Beijing-based Zhonghong Holding, is in the process of selling, or at least trying to sell, the 13 billion yuan (S$2.6 billion) project to a competitor after burning through cash and piling up debt. Ruyi Island offers a glimpse of the convulsions shaking China's more than 100,000 developers, who rushed to capitalise on friendly government policies, insatiable housing demand and a nearlimitless supply of cheap debt in recent years. With the government now prioritising keeping corporate China's mountain of debt in check, the industry finds itself in the early innings of an epic shakeout. Making matters worse, local authorities in parts of China are starting to dismantle a system where developers collect cash from buyers long in advance of finishing their homes, potentially robbing them of a major funding channel. 

​
S'pore firms look to China's millennials to drive future sales
Singapore companies are putting their bets on China's rising wealthy millennials to drive future sales despite the ongoing trade war between China and the United States and a cyclical downturn in electronics, a survey has found. A majority of the 120 Singapore firms surveyed in September by British bank HSBC said competing on price is not a sustainable strategy in the Chinese market. They feel regional trade pacts such as the Asean-China Free Trade Area (ACFTA) will likely help them with their businesses in China. The Singapore firms were among the 1,205 small and large companies from 11 key economies, including Hong Kong, France and Mexico, surveyed in HSBC's inaugural Navigator: Made for China report. Among the Singapore companies polled, 49 per cent say China is currently a sales destination. Out of these firms, 69 per cent say it is among the most important destinations. More than 80 per cent of the Singapore companies see millennials as the driver of future sales.


Chongqing-Singapore financial links get boost with over 10 MOUs inked
Interest is picking up on opportunities for collaboration between South-east Asia and western China as more than 500 business leaders and government officials descended on Chongqing for the inaugural China (Chongqing)-Singapore Connectivity Initiative Financial Summit on Friday.

Ten memoranda of understanding (MOUs) were inked during the summit, which aims to enhance regional connectivity under China's Belt and Road Initiative, and the Chongqing Connectivity Initiative Southern Transport Corridor (STC), a rail-sea transport link between China and Southeast Asia. Among the agreements signed, the Singapore FinTech Association will form an alliance with the Chongqing authorities to develop Chongqing's fintech industry, the Monetary Authority of Singapore (MAS) said in a Friday press statement.


China and Singapore have concluded talks on upgrade of FTA
Singapore and China have concluded negotiations on an upgraded free trade pact (FTA) between the two countries, said Singapore's Ministry of Trade and Industry (MTI). This was announced after a meeting between Chan Chun Sing, Singapore's Minister for Trade and Industry and Fu Ziying, one of China's Vice-Commerce Ministers and its International Trade Representative, on the sidelines of the inaugural China International Import Expo in Shanghai. Both countries are "working towards the signing of the upgrade protocol later this year", MTI said. Many more companies and businesses will benefit from this upgrade. And it will cover more areas than before. The enhanced trade pact will provide Singapore businesses with greater trade facilitation and investment protection in China. It will also extend cooperation in legal and financial services, as well as e-commerce and the environment. The current free trade pact between the two countries came into force in 2009 and was China's first with another Asian country. 

Rich Asians with eye on securing wealth spark family office boom
Rich Chinese and other Asians are increasingly seeking more control of their wealth, driving a rapid rise in the number of so-called family offices, or private investment vehicles, being set up in Hong Kong and Singapore. As the wealthy target greater investment diversification and as business owners hand over the reins to successors, family offices are sprouting in the Asian financial hubs, taking advantage of incentives such as tax breaks and residency being offered. The family office is a relatively new concept in Asia, with less than 500 such entities, compared to thousands in the West. They offer a one-stop solution to managing the wealth of the rich, including investments, charitable giving, taxation and wealth transfer. Staffed by bankers, fund managers, lawyers and tax practitioners, some even provide overseas private schooling and travel arrangements as add-on services. The rich are favouring family offices as they get personalised attention and are able to have a bigger say in their wealth management.

Singapore still second easiest place to do business: World Bank
Singapore has retained its No 2 spot on the latest World Bank rankings for ease of doing business,
coming after New Zealand for the third straight year. In the ranking of 190 economies, Singapore was one of three Asian economies in the top 10, with Hong Kong in fourth place and South Korea in fifth. Denmark ranked third, with Georgia, Norway, the United States, the United Kingdom and Macedonia rounding out the top 10.

Singapore's score of 85.24 was up marginally from 84.97 in the previous year. In its Doing Business 2019: Training for Reform report, the World Bank noted two reforms which improved Singapore's performance: abolishing corporate seals, which made it easier to start a business, and introducing a consolidated law on voluntary mediation, making it easier to enforce contracts. Those were also the two indicators on which Singapore ranked highest: third overall for starting a business, and top for enforcing contracts.

​
Singapore may need to review 2019 growth forecasts
Singapore may need to review its economic growth projections for next year as a trade spat between the world's two biggest economies increases uncertainty and crimps business investment, said Finance Minister Heng Swee Keat. "In the short run, the impact is not fully felt yet", with Singapore retaining its growth forecast for this year at 2.5 per cent to 3.5 per cent, Mr Heng said in an interview with Bloomberg Television. "But any trade tension that sets back globalisation will affect everyone, including the countries that are directly involved, but also collateral damage right across all economies." Singapore, an international trading hub that benefits from trade flows and the movement of goods between the region's manufacturing centres, the US and Europe, has already seen exports ease this year.

Fitch cuts loan growth forecasts for Singapore banks Banks will struggle to lift lending in the months ahead, given the combination of worsening global conditions due to trade tensions, higher interest rates and strict property curbs, according to Fitch Solutions. The research and consultancy firm has cut its loan growth forecasts from 5 per cent to 4 per cent for this year, and down from 4.5 per cent to 3 per cent for next year. Fitch noted that loan growth for the local banks softened to 4.5 per cent year on year in September, the lowest level since February. Since property cooling measures were introduced in July, "the growth of housing and bridging loans trended lower to 3.5 per cent year on year in September from a high of 4.8 per cent year on year in May, and a further slowdown is likely, as seen from previous episodes when property curbs were tightened", the report said. Overall mortgage growth appears set to weaken despite demand from first-home buyers and those with collective sale proceeds to spend.

S'pore well placed to be e-commerce hub for region
​Goods imported into Singapore take slightly over 30 hours to clear the border compliance process. This might sound like a long time, but it is almost a third of the time that goods imported into Indonesia might take. Indeed, Singapore is the quickest when it comes to export and import times, compared with neighbours such as Malaysia, Indonesia, the Philippines, Vietnam and Thailand. Among these six countries, the Republic also has the highest percentage of the population making digital payments, with 84 per cent having made digital payments in the past year. It also has nearly half of the population owning credit cards, ahead of the other South-east Asian countries surveyed. When it comes to infrastructure, Singapore has the lowest risk scores based on the EIU's Risk Briefing for port facilities, air transport facilities, retail and distribution network and road network. The infrastructure risk scores measure infrastructure deficiencies that will cause a loss of income or prove lacking in meeting business needs.

​
Fintech gives fillip to jobs and funding in Singapore financial sector
Singapore’s move to develop the fintech sector came at a critical juncture, a time of weakness in traditional job creation in the financial industry, and just as the Monetary Authority of Singapore (MAS) was intent on spurring enterprise financing for growth companies, MAS' managing director Ravi Menon has said. Some 2,000 jobs have been created in the fintech sector over the last two years, feeding into a net increase of 7,800 jobs in financial services and fintech - close to the financial services' Industry Transformation Map (ITM) target of 8,000 jobs. MAS now expects job growth in financial services to exceed the ITM target this year. Being able to hit the fresh ITM targets was a pleasant surprise, said Mr Menon, who noted that the main drivers came from jobs related to digital technology and associated areas such as cyber security.

Positive start for sales of three private residences
Buyers snapped up a good number of the units released for three private residential developments - Arena Residences, Belgravia Green and Whistler Grand - over the weekend of 3rd to 4th October. City Developments Limited (CDL) sold about 160 units out of 240 units released for the Whistler Grand condominium on the 4th Oct 2018.

Some 91 per cent of the buyers are Singaporeans, with foreigners and Singapore permanent residents (PRs) making up the remaining 9 per cent. Of the Singaporeans and PRs, 71 per cent are first-time home buyers. Another real estate developer, Roxy Pacific, also kicked off a soft launch of its freehold development, the 98-unit Arena Residences on Friday. At the end of Saturday, 40 units were sold, out of 70 units released. The units were sold at prices averaging between $1,750 and $1,850 psf. Located in Guillemard Crescent, Arena Residences is developed by RH Guillemard, a subsidiary of Roxy Pacific. The third development, Belgravia Green, is a strata landed housing development off Ang Mo Kio developed by a unit of Tong Eng Group. Twenty-seven units of this 81-unit landed development were sold as at press time, Sunday. Tong Eng said it intends to open 49 units for sales during the first phase.

Kent Ridge Hill Residences, a residential project by Oxley Holdings in 50 South Buona Vista Road, has sold 116 units or over 46 percent of the 250 homes released for sale in just two days after it was launched on Saturday (10 Nov). According to an SGX filing on Monday (12 Nov), 80 percent of the units taken up consisted of one- and two-bedroom apartments. The remaining 20 percent were three-bedders, five-bedroom penthouses and strata landed homes. These were sold at an average price of $1,700 psf. Around 80 percent of the buyers are Singaporeans, while the rest are permanent residents (PRs) and foreigners. 

Located near the 1,000ha Greater Southern Waterfront site and an eight-minute walk to Pasir Panjang MRT station, the 99-year leasehold Kent Ridge Hill Residences consists of 498 private condos and 50 strata landed houses. Aside from having good accessibility to public transport as well as educational hubs and business centres, the residential project comes with various facilities.


Demand for small flats edging up
Homebuyers' affinity for shoebox units and slightly larger offerings below 800 sq ft has been creeping up, according to a study on new sales and resales of small apartments between 2008 and 2018. The study centered on units below 500 sq ft or roughly the size of a one-bedder or shoebox unit, and those slightly larger, between 500 and 800 sq ft or roughly the size of a two-bedder. The study believes that such small homes will remain relevant, amid the latest government measures to increase the average unit size of private homes outside the central area to at least 85 sq m, from 70 sq m.

Such sales could even increase in upcoming launches as the supply is set to be reduced by the
latest measures. There has also been a spurt of shoebox units in the Outside Central Region (OCR). In 2008, 23 shoebox units or 8 per cent of all shoebox units sold were in the OCR; last year 557 OCR units
were sold, comprising 46 per cent of all shoebox units transacted. As for resale, caveat analysis found that volumes for shoebox units rose last year to a 10-year record of 670 units, compared to just 18 units in 2008. 

HDB resale prices dip 0.2% in October, volume slips 0.3%
Resale prices of HDB flats dipped 0.2 per cent in October 2018 from September, according to flash estimates. October's prices were down 14.3 per cent from their peak in April 2013, and also marked a 2.1 per cent drop from the same month last year. Three-room flats and five-room units saw a price increase of 0.8 per cent and 1.5 per cent respectively, while prices of four-roomers and executive flats fell 0.7 per cent and 2.2 per cent respectively. In mature estates, resale prices were up 0.4 per cent from September. But in non-mature estates, prices dropped 0.6 per cent. Meanwhile, the data showed that 1,994 HDB resale flats were sold in October, a 0.3 per cent dip from the 1,999 transacted units in September. However, transactions in October were 11.8 per cent higher than in the same month last year. A total of 1,783 resale flats were sold in October 2017. In October 2018, the overall transaction-over-x-value (TOX) was negative S$1,000. This figure is up S$100 from negative S$1,100 in September. 

​