Daily News - 30 Jan 2015

30th Jan (Thu)
Real Estate
Daily News
Daily News & Views
Singapore Economy
S'pore No. 2 on Safe Cities Index
Singapore is the world's second safest city, after Tokyo and ahead of Osaka, according to a report by the
Economist Intelligence Unit that looks at urban security. The Safe Cities Index, with a focus on 50 cities
worldwide, looked at more than 40 qualitative and quantitative indicators spread across four categories:
digital security, health security, infrastructure safety and personal safety.
MAS move timely to tackle threat of 'hot money'
A move by the Monetary Authority of Singapore (MAS) yesterday to ease its monetary policy came as a
considerable surprise. However, the unscheduled intervention is actually well- timed as it puts Singapore in
a better position to deal with the threat of speculative "hot money" inflows from abroad and low inflation
at home, economists said.
Singapore Real Estate
Sengkang plot not for commercial columbarium: Khaw
No commercially-driven columbarium will be built on land set aside for a Chinese temple, National
Development Minister Khaw Boon Wan told Parliament yesterday. He explained that the project in
Sengkang was awarded to funeral services firm Eternal Pure Land (EPL) because Housing Board officers
assumed that the company was acting for a religious group.
Relief over no-go for Fernvale commercial columbarium
Future residents of Fernvale Lea were mostly relieved after being told that the building of a commercially
run columbarium close to their new homes will not be happening now. But some were still uncomfortable
with the idea that the eventual Chinese temple in the estate might still include a resting place for the dead,
if its trustees decide to include niches for ashes.
Rents rise in trendy districts
Hipster cafes, ice cream parlours and quirky retail shops have found their way into the Republic's
heartlands. According to analysts, their rising popularity over the years has pushed up - and in some cases
even doubled - shop rental rates in neighbourhoods like Haji Lane and Tiong Bahru. Looking ahead, they
said this trend of rising rents could replicate itself in new up-and-coming "hip" districts.
Mosquitoes mushroom at building sites
Daily News & Views
Companies’ Brief
CapitaRetail China Trust ready for asset growth; Q4 DPU up 12.7%
Capitaretail China Trust (CRCT) is now "geared for growth" where acquisitions are concerned, after
reporting a 12.7 per cent year-on-year rise in distribution per unit (DPU) to 2.48 Singapore cents in the
fourth quarter on the back of an overall strong portfolio income. Tony Tan, chief executive officer of the
Reit manager, said on Thursday that there are already some potential targets on the table, as owners
become increasingly willing to sell their assets.
Higher Optus Centre valuation boosts AA Reit's Q3 DPU
AIMS AMP Capital Industrial Reit (AA Reit) on Thursday posted a distribution per unit (DPU) of 2.83
Singapore cents for its third quarter ended December 2014. This was an increase of 2.2 per cent from the
2.77 cents it paid out a year ago.
Tuan Sing's Q4 profit dips 4% to S$24.3m
Tuan Sing's net profit for the fourth quarter ended Dec 31, 2014 dipped 4 per cent from a year ago to
S$24.34 million, as other operating expenses and finance costs offset a surge in revenue. Revenue for the
quarter rose 72 per cent year on year to S$112.1 million, attributable to higher revenue from the property
segment and maiden contribution from Grand Hotel Group (GHG) between Dec 2 and Dec 31, 2014, after
the group completed its acquisition of the remaining 50 per cent stake in GHG.
Frasers Hospitality beats forecasts in maiden results
Frasers Hospitality Trust announced a distribution income of S$35.7 million for the period July 14 (its listing
date) to Dec 31, 2014, and an illustrative distribution per unit of 2.97 cents, both of which are 5.3 per cent
above forecast.
CDL Hospitality Trusts
In FY2015, we expect a recovery in CDL Hospitality Trusts' earnings due to an improvement in
overall/Chinese tourist arrivals into Singapore and contribution from the recently acquired Japanese hotels.
However, Q1 2015 may see some softness, due to a combination of cautiousness on the part of corporates
ahead of the Chinese New Year and the lack of the airshow this year.
Starhill Global Reit
Starhill Global Reit (SGReit) reported its Q4 2014 results which met our expectations. The brightest
development during Q4 2014 came from the 17 per cent positive rental reversions accomplished for leases
committed at Wisma Atria (retail). We continue to like SGReit for its healthy financial position (gearing of
28.6 per cent as at Dec 31, 2014) and attractive valuations and distribution yields vis-à-vis its peers. The
stock is trading at FY2015F price-to-book and yield of 0.88 times and 6.3 per cent, respectively.
Daily News & Views
Thakral subsidiary to acquire property investment unit
Mainboard-listed Thakral Corporation and its wholly-owned subsidiary, Thakral Capital Holdings (TCH), on
Thursday entered into a share sale agreement to acquire 49 per cent of Thakral Capital Australia (TCAP)'s
share capital from four vendors. TCAP is Thakral's real estate investment subsidiary. Currently, TCH owns 51
per cent of TCAP's share capital.
Far East Orchard
Far East Orchard (FEO) is selling its share in two parcels of land at Bassein Road to its joint venture partner
and controlling shareholder Far East Organization. FEO teamed up with Far East Organization in 2010 to
acquire Pastoral View and the next door plot for a total of $122 million.
Hiap Hoe
Hiap Hoe has proposed to spin off its Australian property business held under Meteorite (Australia) on the
Catalist board. Its portfolio of investment properties in Australia are in Melbourne and Perth. Hiap Hoe
noted that the restructuring for the spin-off is in its preliminary stages.
Views, Reviews & Forum
Safety features in place at condo
Often, on a controversial issue, there is more to it than meets the eye. Unfortunately, when emotions get in
the way of facts, opinions tend to take on an uncalled-for character, such as when Mr Rajasegaran
Ramasamy deemed the attitude of the management corporation of One North Residences "callous"
("Board's ruling on safety grille in condo laudable"; Monday).
'Never thought a for-profit firm would vie for non-profit venture'
Global Economy & Global Real Estate
Forest City: Healthy foreign investment or blight on Iskandar?
UK home prices rise at slowest annual pace in 14 months
Incentives galore for new US homebuyers
Daily News & Views
Push for greater govt role in home finance
America's home-improvement industry gets a major boost
Kaisa woes: junk-rated China developers face crisis
Luxury Montage Resort Sells for $360 Million to Strategic
Renters Gain as Kids in U.S. Move Out of Parents’ Houses
General Growth Emphasizes Urban Growth With NYC Purchase
Additional Articles of Interests – Local & Overseas Real Estate
Local & Overseas Real Estate - Full Article
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dissemination 30th Jan 2015.
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