Real estate consultancy firm CBRE expects prime Orchard Road rents to remain stable in the fourth quarter of 2011. It added that a limited supply of retail premises along the shopping belt should continue to keep rents firm next year. Currently, rents for prime retail space in Orchard Road remained unchanged at S$31.60 psf/mth, up by 4.6 per cent compared to the fourth quarter of 2010. Letty Lee,...
Office / Retail Space
Property consulting firm Savills expects Singapore's overall rents for Grade A office space to trend downwards by 15 per cent in 2012. In its latest report, Savills adds that capital values of these properties will also soften by 10 per cent. It says that "negative fallout arising from the prolonged financial turbulence and global economic slowdown has intensified, resulting in slower absorption of Grade...
Singapore's office property market cooled in 2011, weighed down by concerns over the anemic growth in the US and the eurozone debt crisis. Analysts said vacancies are likely to rise next year as a result of economic slowdown and weaker business. There may also be some downward pressure on rentals. Several financial institutions have moved to bigger and shinier offices this year. Standard Chartered...
Office rents in Hong Kong and Singapore are set to fall, brokers say, as their markets start to reflect the slowdown in trade and investment caused by the euro zone debt crisis. In a mid-quarter review released yesterday, Jones Lang LaSalle forecast Grade A rents in Hong Kong to fall 5 to 6 per cent in the fourth quarter to US$1,643 (S$2,107) per sq m per year and 4 per cent in Singapore to US$786 per sq...
Singapore's office property market has lost its appeal as an investment, according to real estate firm DTZ. DTZ said demand for office space has declined, and the sector is now considered "cold". It defines "cold" as property that is more than 5 per cent overpriced, with potential yield below expectations. "Singapore has traditionally been a volatile market, and our rental outlook has been impacted by...
CapitaLand's joint venture with CapitaCommercial Trust and Mitsubishi Estate Asia has secured a loan facility with OCBC Bank for up to S$890 million to fund the purchase and redevelopment of the Market Street Car Park site. The loan has a five-year tenure and will be due in November 2016. It is secured by, among other things, a mortgage over the Market Street Car Park development. The site will be...
Emeritus Senior Minister Goh Chok Tong said the close partnership between the government and private sector was critical to the successful development of Singapore's new downtown at Marina Bay. Mr Goh was speaking on Tuesday evening at the opening of Asia Square Tower 1. "Looking ahead, we must continue to upgrade Singapore's business infrastructure in order to meet the changing needs of global business...
A transitional office site on Mountbatten Road, which was put up for sale by the Urban Redevelopment Authority (URA) last month, drew 11 bidders at the close of the tender yesterday. The top bid of $15.01 million or $119 per square foot per plot ratio (psf ppr) came from an individual, Chen Chew Yen. If the site is awarded, it will be the first time in more that 18 months that a transitional office site -...
Suntec Real Estate Investment Trust (Suntec REIT) has announced a S$410 million asset enhancement initiative (AEI) for its flagship asset, Suntec City. The AEI is scheduled to start in mid-2012, and will comprise a S$230 million capital expenditure in remaking Suntec City Mall and a further S$180 million on Suntec Singapore International Convention and Exhibition Centre (Suntec Singapore). Suntec REIT...
If shopping malls seem to be a little more crowded these days, this is probably because retail space is not keeping up with the growth in population here. According to a Savills Research report, retail space per capita is estimated to have dropped to 7 sq ft from 8 sq ft over the past decade - and this is not taking into consideration the spike in visitor arrivals and a surge in supply. While retail...