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Weekly News Select Feb 12, 2021 / Issue 6 Top News for the Week • Are new cooling measures coming to Singapore's housing market? • Sharp rise in single-person households, accounting for 1 in 8 HDB homes in 2018: Survey • En bloc deals may be back in play as developers run down landbanks • Budget priority is to help workers, businesses adapt: DPM • Singapore Green Plan 2030 to change the way people live, work, study and play • 110,000 local hires supported by Jobs Growth Incentive in October • Real household incomes decline for first time in more than 10 years • Business 'bubble' scheme put on ice Residential Are new cooling measures coming to Singapore's housing market? Talk is rife that policy tweaks could be on the horizon to cool Singapore's buoyant residential segment, as the government keeps an eye on the real estate market. Suggestions from consultants, analysts and agencies varied widely, but a common theme was the expectation that additional measures will target investors rather than first-time homebuyers and upgraders. That follows Deputy Prime Minister Heng Swee Keat's comments in January, when he said the property market must remain stable so young Singaporeans can own their homes. Among the ideas are higher stamp duties and tighter loan limits for subsequent properties and foreigners. One idea floated is to either set a minimum size for each unit or again increase the average minimum size for new developments. The intended effect is to bump up home sizes for occupiers, while building fewer shoebox apartments that typically appeal to investors due to the lower quantums. The first time the average size was increased, it raised quantums (absolute prices) for smaller units as many buyers are happy to forgo some space for an upgraded lifestyle, said Huttons Asia research director Lee Sze Teck. Some observers do not expect cooling measures - at least not till the second half of this year. The performance of the different segments of the property market was not uniform either. For instance, though the rental market is showing initial signs of bottoming out, it is still not yet out of the woods, said Huttons' Mr Lee. Links to the story: https://www.businesstimes.com.sg/real-estate/are-new-cooling-measures-coming-to-singapores-housing-market https://www.businesstimes.com.sg/infographics/are-property-curbs-looming Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Sharp rise in single-person households, accounting for 1 in 8 HDB homes in 2018: Survey Single-person households living in Housing and Development Board (HDB) flats are becoming far more common as a result of Singapore’s ageing population and a rule change in 2013 that allowed singles aged 35 and above to buy new two-room flats. This group — which could include live-alone seniors, singles, widows and divorcees — made up about one in eight HDB households, or 11.9 per cent, in 2018.In 2003, it was about one in 14 households, or 7.1 per cent. This was one of the key findings of HDB's latest sample household survey results, which were released on Feb 10. Mr Lee Sze Teck, head of research at property agency Huttons Asia, said that HDB will need to keep abreast of this demographic change and renew its housing provision accordingly, pointing out that the number of singles had jumped by almost 300,000 from 2000 to 2019. This has resulted in the number of one-person households almost tripling, from 75,400 in 2000 to 208,000 in 2019, he added. On the finding that fewer citizens and permanent residents are living in HDB flats, Mr Lee said that it is reflective of rising income and affluence. Median monthly household income has more than doubled from S$4,398 in 2000 to S$9,198 last year, he noted. “Coupled with a desire to change their lifestyle, some families and singles have opted to move to a private condominium. This has supported the healthy demand in the private residential market. Links to the story: https://www.todayonline.com/singapore/sharp-rise-single-person-flats-accounting-about-1-8-hdb-households-2018- survey https://www.straitstimes.com/singapore/singapore-resident-population-in-hdb-flats-falls-to-304m-with-smaller- households-spread https://www.straitstimes.com/singapore/younger-hdb-residents-more-likely-to-yearn-for-better-housing Marina Bay 24-bedroom penthouse collection for sale at S$138m Five penthouses at the 99-year leasehold Marina Bay Residences have been put on the market collectively, with an indicative price of S$138 million. When combined, they will create a super penthouse boasting 28,258 sq ft of strata area across five storeys. This amalgamation will be subject to internal staircases being built to connect the units, if the necessary approvals are obtained. Super penthouses typically have a minimum size of 10,000 sq ft. The indicative price tag works out to about S$4,884 psf based on the total strata area. The five penthouses come with 24 bedrooms and a 25-metre rooftop pool, and occupy levels 50 to 54. The largest penthouse in the collection is a 11,012 sq ft triplex or three-storey unit. Links to the story: https://www.businesstimes.com.sg/real-estate/marina-bay-24-bedroom-penthouse-collection-for-sale-at-s138m https://www.straitstimes.com/business/property/5-marina-bay-penthouses-on-sale-for-138m-may-be-combined-to- create-24-bedroom-unit Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 En bloc deals may be back in play as developers run down landbanks Over half the developers here are keen to replenish their landbank, with the en bloc market likely to garner more interest in the first half of this year, according to a survey. However, smaller residential sites yielding 100 to 200 private homes are seen as the sweet spot as developers shun risk amid economic headwinds. The fourth-quarter 2020 survey by the Institute of Real Estate and Urban Studies (IREUS) at NUS polled 47 executives in Singapore, of whom half are developers while the rest are from major real estate agencies, financial institutions funds and construction firms. Going by the results, about 55 per cent of developers polled are planning to build up their landbank while the rest of the developers said they will maintain their landbank. Nearly two-thirds (62.5 per cent) of developers reckon that the en bloc market will see a greater level of interest in the first six months of this year, while more than half (over 58 per cent) of developers expect that the GLS programme will attract increased interest. Where en bloc sales are concerned, land parcels in the suburbs - or Outside Central Region (OCR) - are most likely to be transacted, according to nearly half (48 per cent) of those polled by IREUS. Land parcels in the city fringe, or Rest of Central Region (RCR), are the next in line, about 46 per cent of respondents said. But sites in the Core Central Region (CCR) appear least likely to be transacted, getting the vote of just 7 per cent of the respondents. Link to the story: https://www.businesstimes.com.sg/real-estate/en-bloc-deals-may-be-back-in-play-as-developers-run-down- landbanks More expect government intervention to cool property market Fears of spiking construction costs overtook economic woes as the top potential risk factor that may temper sentiment in the property sector in the next six months. That is according to the latest Real Estate Sentiment Index published by the National University of Singapore Real Estate (NUS+RE), which represents the Department of Real Estate and the Institute of Real Estate and Urban Studies at the university. The proportion of respondents who indicated concerns on the rising costs of construction rose to 85.1 per cent in the fourth quarter of 2020, versus 76.9 per cent in Q3. In contrast, the proportion of respondents who indicated job losses/a decline in domestic economy as a potential risk factor fell to 61.7 per cent from 100 per cent, while those who were worried about the slowdown in the global economy declined to 76.6 per cent from 96.2 per cent. Meanwhile, one risk factor that rose significantly was the potential risk of government intervention to cool the market, which jumped to 44.7 per cent in Q4 2020, from just 19.2 per cent in Q3 2020. In terms of future launches and sales, about 58 per cent of property developers surveyed by NUS+RE expected prices to be moderately higher, while 29 per cent expected prices to remain the same. Links to the story: https://www.businesstimes.com.sg/real-estate/more-expect-government-intervention-to-cool-property-market https://www.straitstimes.com/business/property/more-expecting-government-intervention-to-cool-singapore- property-market Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Singapore's January new home sales break into a sprint as talk of curbs grows Developers enjoyed an early Chinese New Year bonanza last month when sales of new private homes surged to 1,606 units, up 32 per cent over December's 1,217 as determined buyers made their Huat Ah! sprint. (Huat Ah! means to prosper in Hokkien). January's sizzling sales were due to launch of mega project The Normanton and speculation of possible measures to rein in the residential market which seemed to have the opposite effect of spurring buyers into action. January saw a few key launches. The best-selling project was the 1,862-unit Normanton Park which sold 625 units. This was followed by the 700 unit-Parc Central Residences EC (executive condominium), which sold 417 units, and 429-unit The Reef at King's Dock that moved 221 units. Other projects like Ki Residences at Brookvale, Treasure at Tampines, Jadescape, Parc Clematis and The Garden Residences were among the other top sellers last month. Link to the story: https://www.businesstimes.com.sg/real-estate/singapores-january-new-home-sales-break-into-a-sprint-as-talk-of- curbs-grows Former Sincere Watch boss Tay Liam Wee joins owners cashing in on active GCB market Singapore’s Good Class Bungalow (GCB) market continues to be on a roll. Among the latest deals is a bungalow in Binjai Park that is in the early stage of being sold for S$31.35 million; this works out to S$1,384 psf based on the 22,648 sq ft freehold land area. On site is a two-storey bungalow with a basement and a lift. It has five bedrooms and a guest room, as well as a courtyard and swimming pool. The bungalow is currently tenanted. It is held by a wholly-owned vehicle of former Sincere Watch boss Tay Liam Wee which has granted an option to purchase the property to a low-profile Singaporean. Meanwhile, in Leedon Park, a bungalow is changing hands for S$37.3 million or S$1,728 psf on land area of 21,584 sq ft. A bungalow on Peirce Hill is being transacted for S$28.8 million or S$1,669 psf on 17,260 sq ft land area. Market watchers say the GCB market is poised to achieve a better performance this year over 2020's tally of 46 deals totalling S$1.09 billion. Link to the story: https://www.businesstimes.com.sg/real-estate/former-sincere-watch-boss-tay-liam-wee-joins-owners-cashing-in-on- active-gcb-market More condo and HDB units leased in January as rents rise: SRX The climb out of the pandemic-induced rut appears to be on track with rental volume for both Housing Board flats and condominium units recording another month of increases in January this year. Condo rentals rose 11.3 per cent last month to an estimated 4,747 units, compared with 4,266 units in December last year, according to flash data from a real estate portal. Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 This represented a 10.4 per cent increase from the same month a year ago. Leasing were also 8.5 per cent higher than the five-year average volume for the month of January. HDB rental volume climbed 14.6 per cent month on month to an estimated 1,912 flats in January, compared with 1,668 units in December. Year on year, HDB leasings were up 8.5 per cent from January 2020. Link to the story: https://www.straitstimes.com/business/property/more-condo-and-hdb-units-rented-out-in-january-2021-srx East Coast development goes on collective sale by auction - the first since 1997 A small freehold apartment block off East Coast Road will soon be put up for collective sale at a public auction - which is a rarity in Singapore, as most en bloc sales take place via tender. This is believed to be only the second time a collective sale will be held through a public auction; the first was more than two decades ago, in January 1997, when Far East Organization outbid DBS Land for Scotts Tower. The property going on the block for a collective sale is a three-storey building on Marshall Road, housing six walk-up apartments. There are eight car park lots on the property. In the 2019 Masterplan of the Urban Redevelopment Authority, the land in this development is zoned residential, with a plot ratio of 1.4. The squarish land plot has a frontage of 23.4 m and depth of 29.2 m. The land area is 7,418 sq ft. The auction has been slated for Feb 24, and the guide price is S$12 million. Link to the story: https://www.businesstimes.com.sg/real-estate/east-coast-development-goes-on-collective-sale-by-auction-the-first- since-1997 Pricier, new condo launches drove resale market in January: analysts New condominium launches drove demand for units in the secondary market in January, with resale units being relatively more affordable, said analysts. The comments came as condo resale prices rose for the sixth straight month in January 2021, flash figures from a real estate portal showed. Overall prices were up 1.2 per cent from December 2020, and 2.2 per cent higher compared to January 2020, according to flash figures from the real estate portal. Resale volume was up 8.6 per cent to about 1,587 units resold in January 2021, from 1,461 units resold in December 2020. Volumes were 128.3 per cent higher than in January 2020 and 136.5 per cent higher than the five-year average volumes for the month of January. Links to the story: https://www.businesstimes.com.sg/real-estate/pricier-new-condo-launches-drove-resale-market-in-january-analysts https://www.straitstimes.com/business/property/resale-condo-prices-rise-for-6th-straight-month-in-january-on- strong-sales-srx Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 All BTO flats in Kallang/Whampoa, Bidadari and assisted living flats oversubscribed one day after launch All Build-To-Order (BTO) flats in the mature estates of Kallang/Whampoa and Toa Payoh (Bidadari) have been oversubscribed just one day into their one-week launch for sale. Seniors wanting to live in Singapore's first assisted living public housing in Bukit Batok will also face stiff competition as there is nearly twice as many applicants as available units. As of 5pm on Feb 5, there were 319 applicants vying for the 169 units in the pilot batch of Community Care Apartments in the Harmony Village @ Bukit Batok BTO project. The five-room flats in ParkEdge @ Bidadari and Alkaff Breeze housing projects were the most in demand, with more than three applicants for each of the 323 units. The four-room flats in all three of Bidadari's projects - Bartley GreenRise, ParkEdge @ Bidadari and Alkaff Breeze - drew slightly more than one applicant for each of the 797 units. Likewise, there were 141 applicants for each of the 96 three-room flats in Bartley GreenRise - clearly more than one applicant per unit. The next most popular project in this launch is McNair Heights in Kallang/Whampoa, with more than two applicants for each of the 386 four-room flats, the biggest available flat type in the project. Home owners who wished to live in the non-mature estates of Bukit Batok and Tengah may have better luck, as application rates were relatively low. Links to the story: https://www.straitstimes.com/singapore/housing/all-bto-flats-in-kallangwhampoa-bidadari-and-assisted-living-flats- oversubscribed https://www.straitstimes.com/singapore/bigger-bto-flats-in-bidadari-kallangwhampoa-draw-most-interest-assisted- living-flats-four 4,600 public rental-flat families became HDB home owners over the past five years About 4,600 families in public rental homes have become owners of Housing Board (HDB) flats over the past five years through various housing schemes and grants. By 2023, around 1,000 families will be offered help by HDB to do the same. Among the 4,600 households, three in four bought a flat directly from the HDB while the remaining bought a resale flat on the open market, said the HDB on Feb 7. More than half of these households bought a three-room flat while a quarter bought four-room flats, it added. Link to the story: https://www.straitstimes.com/singapore/housing/4600-public-rental-flat-families-became-hdb-home-owners-over- the-past-five-years Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Commercial Fujian buyers cast wider net in Singapore property market Buyers from China's Fujian province continue to be drawn to Singapore property as they widen their interests in the asset class - the latest being an office unit at The Central above Clarke Quay MRT station. The unit, which has an area of 13,336 sq ft, is being sold by the project's developer Far East Organization for S$41.74 million, reflecting S$3,130 psf. The unit occupies half of the 22nd floor in a V-shaped office tower that rises up to 25 storeys. The buyer is a Singapore-incorporated vehicle owned by Wang Kuncheng, a Chinese citizen understood to be from Xiamen city in Fujian province. Talk in the market is that the acquisition is being made without any borrowings, and that the unit is currently tenanted. Link to the story: https://www.businesstimes.com.sg/real-estate/fujian-buyers-cast-wider-net-in-singapore-property-market Retail New Chinese-language bookstore Zall to open in Orchard Road Amid the flurry of pandemic-driven retail closures, a new bookstore is braving the waters in Orchard Road. Zall Bookstore, an outlet for Chinese-language titles, opens on Feb 8 at Wheelock Place, near where the iconic Borders flagship was located till its closure in 2011. The two-storey space stocks more than 30,000 books, mostly in Chinese, and also has a cafe and an art gallery. The Singapore store is the first overseas branch for Zall, which has four bookshops in Hubei, China. Link to the story: https://www.straitstimes.com/life/arts/new-chinese-language-bookstore-zall-to-open-in-orchard-road Government Budget priority is to help workers, businesses adapt: DPM Helping workers and businesses to adapt, innovate, and grow will be a key priority for Budget 2021, said Deputy Prime Minister and Minister for Finance Heng Swee Keat. The government will also continue to support workers and businesses, especially those in hard-hit sectors. But Singapore must press on with the economic transformation it started five years ago, he added. But while the worst of the fallout has been averted, the road to recovery will be uneven and highly uncertain, said Mr Heng. Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 He added that he will share more on helping workers and businesses to adapt, innovate and grow in his Budget statement in Parliament on Feb 16. Links to the story: https://www.businesstimes.com.sg/companies-markets/singapore-budget-2021/budget-priority-is-to-help-workers- businesses-adapt-dpm https://www.straitstimes.com/singapore/politics/budget-2021-will-have-more-targeted-schemes-for-those-who-still- need-help https://www.straitstimes.com/singapore/politics/helping-workers-businesses-to-adapt-innovate-and-grow-a-key- priority-for-budget ESG approved S$18b in loans to 21,000 enterprises last year amid pandemic Last year, on top of supporting 15,300 Singapore firms to transform, Enterprise Singapore (ESG) worked with financial institutions to approve some 32,000 loans worth S$18 billion for 21,000 enterprises, amid the Covid-19 pandemic. Of these recipients under the Temporary Bridging Loan Programme and enhanced SME Working Capital Loans, 87 per cent were micro and small enterprises, mostly from the wholesale trade, construction, manufacturing, professional services, and retail sectors, ESG said in its year-in- review. In other pandemic-related efforts, the agency helped 23,500 enterprises upgrade, digitalise and achieve business continuity, with the majority of these tapping the six Covid-related digital tools and solutions introduced under the Productivity Solutions Grant. It also supported 3,600 retailers and 19,000 food and beverage establishments to build digital capabilities and sell online, via its e-commerce and food delivery booster packages. The projects embarked upon are expected to catalyse S$18.4 billion in value-add and more than 22,200 skilled jobs in the next three years. Links to the story: https://www.businesstimes.com.sg/government-economy/esg-approved-s18b-in-loans-to-21000-enterprises-last- year-amid-pandemic https://www.straitstimes.com/business/economy/firms-to-add-184b-in-value-22200-in-skilled-jobs-from-enterprise- singapore-support https://www.straitstimes.com/business/economy/govt-support-must-increasingly-aim-at-helping-firms-seize-new- opportunities-markets Government will find ways to support all firms keen to upgrade Local companies harbouring ambitions for growth can continue to expect policy and funding support, Minister for Trade and Industry Chan Chun Sing indicated. And this is not limited to the factory sector, he said during his stop at precision engineering firm Sanwa Plastic, as part of a series of visits across manufacturing sub-sectors. Stressing the need to "conquer new frontiers", Mr Chan said: "Our commitment is that so long as our companies have the desire to upgrade themselves, we will try our best to find the means to support that." Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Links to the story: https://www.businesstimes.com.sg/government-economy/government-will-find-ways-to-support-all-firms-keen-to- upgrade https://www.straitstimes.com/business/economy/govt-will-help-smes-build-innovative-capacity-to-face-post- pandemic-challenges-chan Tighter border measures for travellers on Business Travel Pass scheme The multi-ministry task force announced that Singapore will be tightening border measures for travellers from Vietnam as well as those on the Business Travel Pass (BTP) scheme. Meanwhile, border measures for travellers from New South Wales (NSW), Australia, will be adjusted, given the improvement in the state's Covid-19 situation. Travellers on the BTP scheme will now be required to undergo Covid-19 polymerase chain reaction (PCR) tests on the third, seventh and 14th day of their return. An additional serology test will also be required on day three. Additionally, travellers are to avoid events with more than eight attendees within 14 days of returning to Singapore, said the task force in a statement. Following the increase in Covid-19 cases observed in Vietnam, Singapore citizens, permanent residents and long-term pass holders entering Singapore with travel history to Vietnam within the last 14 days will now be subject to an on-arrival PCR test, 14-day SHN at dedicated SHN facilities, and a PCR test before the end of the SHN period. These measures take effect from 11.59 pm on Feb 12. Link to the story: https://www.businesstimes.com.sg/government-economy/tighter-border-measures-for-travellers-on-business-travel- pass-scheme Covid situation stable, but maintain safe distancing: PM Lee Singapore has gone all out to control the spread of Covid-19, treat the infected, and prevent the country's healthcare system from being overwhelmed, even though this has come at a "great economic cost", said Prime Minister Lee Hsien Loong. In his annual Chinese New Year (CNY) Message, Mr Lee said this "tremendous effort" means that Singapore's Covid-19 situation has now stabilised. While the CNY mood this month has been dampened due to the ongoing restrictions on family gatherings and house visits, Mr Lee said everyone can look forward to more carefree celebrations when the pandemic is over. The Year of the Ox brings "new hope", especially now that vaccines are available, said the prime minister. Countries with serious outbreaks that have started mass vaccinations for their populations have started to bring down the number of new infections. Links to the story: https://www.businesstimes.com.sg/government-economy/covid-situation-stable-but-maintain-safe-distancing-pm-lee https://www.straitstimes.com/singapore/politics/over-250000-have-received-first-dose-of-covid-19-vaccine-pm-0 Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Singapore Green Plan 2030 to change the way people live, work, study and play Life in Singapore looks set to be much greener by 2030, with new sustainability initiatives to change the way people work, study and play. The Singapore Green Plan 2030, which was released by five ministries on Feb 10, will help chart the country's way towards a more sustainable future over the next decade. The wide-ranging plan cuts across all sectors of society, ranging from infrastructural development, research and innovation, to training programmes. The aim is to get the whole nation together as it seeks to transition into a more sustainable future - in line with global momentum for countries to "build back better" as they recover from the economic fallout of Covid-19. The five ministries backing the plan are the Ministries of Education, National Development, Sustainability and the Environment, Trade and Industry, and Transport. There are altogether five pillars in the plan - City in Nature, Sustainable Living, Energy Reset, Green Economy and Resilient Future. Links to the story: https://www.straitstimes.com/singapore/environment/singapore-green-plan-2030-to-change-the-way-people-live- work-study-and-play https://www.businesstimes.com.sg/government-economy/more-tax-perks-down-the-road-to-promote-use-of-electric- cars-in-singapore https://www.straitstimes.com/singapore/transport/more-tax-incentives-down-the-road-to-promote-electric-car-use- in-spore https://www.straitstimes.com/singapore/green-plan-offers-new-jobs-areas-for-economic-growth Economy Singapore retail sales chill in December as Singles' Day effect fades The slump in Singapore's retail sales widened in December last year after a November boost by mega shopping events like Singles' Day and Black Friday faded. Takings at the till dropped 3.6 per cent from a year ago, steeper than the revised 1.7 per cent year- on-year decline in November and worse than the median forecast of an 2.2 per cent fall by economists polled by Bloomberg. Retail sales, excluding motor vehicles, fell 4.5 per cent last December, compared with a revised 2.8 per cent drop last November. Month on month, seasonally adjusted retail sales dipped 0.9 per cent, reversing the 7.3 per cent rise in November. Excluding motor vehicles, retail sales declined 0.7 per cent from the previous month, compared with a 10 per cent rise in November. The estimated total retail sales value in December was about $4 billion. Of this, online sales made up an estimated 11 per cent. Excluding motor vehicles, the total retail sales value was about $3.5 billion, with online sales taking a 12.6 per cent share. Links to the story: https://www.straitstimes.com/business/economy/singapore-retail-sales-chill-in-december-as-singles-day-effect-fades https://www.businesstimes.com.sg/government-economy/retail-sales-plunge-153-in-2020-in-worst-year-on-record- economists-react Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Public service to look at hiring more talent from private sector The public service will increasingly look to recruit talent from the private and people sectors, and send more officers on external attachments, as part of efforts to become more agile and diverse. These are areas which the public service needs to "double down or accelerate" work done during the Covid-19 pandemic, said Minister-in-charge of the Public Service Chan Chun Sing in an interview. The end goal is to have "greater porosity" between the public sector and the outside world, he added. "It's not a binary thing, where you are either in or out of the public service," Mr Chan said. Link to the story: https://www.straitstimes.com/singapore/public-service-to-look-at-hiring-more-talent-from-private-sector 110,000 local hires supported by Jobs Growth Incentive in October: Josephine Teo The cumulative number of local hires supported by the Jobs Growth Incentive (JGI) rose to 110,000 in October, the second month since the scheme's implementation, up from 50,000 in the first month. To complement job-matching efforts, the government is working with employment agencies, and has introduced the Human Capital Partnership (Employment Agencies) Mark to help jobseekers and employers identify exemplary agencies, Manpower Minister Josephine Teo said at a media briefing. As at October, JGI-supported hires were from across some 26,000 employers, of which more than 11,000 were newly eligible for payouts, with the rest having already qualified for payouts in September. Food services was the sector with the most new hires, with 17,800 supported by the JGI. Other top hiring sectors were wholesale trade, with 9,800; professional services, with 8,400; retail, with 7,000; and construction, with 7,000. Links to the story: https://www.businesstimes.com.sg/government-economy/110000-local-hires-supported-by-jobs-growth-incentive- in-october-josephine-teo https://www.straitstimes.com/singapore/jobs/over-110000-jobseekers-hired-under-jobs-growth-incentive-in- september-and-october Real household incomes decline for first time in more than 10 years The Covid-19 pandemic hit Singapore households hard last year, with overall median household income from work falling by 2.5 per cent in nominal terms from S$9,425 to S$9,189. After taking into account inflation, this works out to a 2.4 per cent drop in real terms - the first such decline in more than 10 years, since after the economy was battered by the global financial crisis. In a new report released, the Department of Statistics (DOS) found that lower income households were the hardest hit, with those in the bottom 10 per cent seeing a 6.1 per cent real decline in income. In contrast, the rest of the households recorded real declines of 1.4 to 3.2 per cent. Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 But government transfers and taxes also significantly reduced the Gini coefficient from 0.452 to 0.375. The Gini coefficient measures income inequality from 0 to 1, with 0 being most equal. Links to the story: https://www.businesstimes.com.sg/government-economy/real-household-incomes-decline-for-first-time-in-more- than-10-years https://www.straitstimes.com/singapore/real-household-incomes-decline-for-the-first-time-in-more-than-10-years- but-impact Saving jobs in Budget 2021: what and whose jobs to save? While the government's call to retrain and upskill has been a familiar refrain in recent years, the push to do so is probably about to intensify at Budget 2021, according to economists. It would be part of an economic restructuring that will help workers to keep their jobs, while giving the unemployed opportunities to return to the workforce - after an unprecedented year spent containing the economic fallout from the Covid-19 crisis and saving jobs. However, the outlook for the hardest hit sectors, such as aviation and hospitality, remains grim and economists believe any wage support would be targeted at this group rather than broadened. Link to the story: https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/saving-jobs-in-budget-2021-what- and-whose-jobs-to-save Underemployment a bigger issue than unemployment: economists If December's data is any indicator, Singapore's labour market appears to be on the mend, but economists warn that underemployment - rather than unemployment - could be the bigger issue this recession. There are two main types of underemployment: One is when individuals work fewer hours than is necessary or desired; the other is when individuals work in lower-paying jobs that do not match their skill set. While time-related underemployment can be tracked, the problem with skill-based underemployment is a lack of parameters to quantify it, particularly since it is difficult to ascertain whether it is a voluntary situation. Singapore's time-related underemployment rate rose to 4.1 per cent in 2020, from 3.1 per cent a year before, just shy of the 4.3 per cent seen during the 2009 Global Financial Crisis, says the Labour Force in Singapore 2020 report. Links to the story: https://www.businesstimes.com.sg/government-economy/singapore-budget-2021/underemployment-a-bigger-issue- than-unemployment-economists Singtel to hire, train 500 staff over next two years in lead-up to 5G roll-out Singtel will hire and train 500 professionals in Singapore over the next two years as part of a collaboration with the Infocomm Media Development Authority (IMDA), the National University of Singapore (NUS) and Singapore Polytechnic (SP). Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Of these, 150 will fill new 5G roles in areas such as network engineering, digital services and 5G product and platform development. The rest will be trained in other emerging technologies such as the Internet of Things, cloud engineering and data analytics, Singtel said. The telco will also retrain some 2,300 existing employees as it gears up for the roll-out of Singapore's nationwide 5G networks next year. Links to the story: https://www.businesstimes.com.sg/government-economy/singtel-to-hire-train-500-staff-over-next-two-years-in- lead-up-to-5g-roll-out https://www.straitstimes.com/tech/singtel-to-hire-train-500-over-2-years-for-5g-new-tech-roles Shophouse Shophouses on Amoy Street, Balestier Road for sale Three shophouses, one on Amoy Street and two on Balestier Road have been put up for sale. The guide price for the three-storey shophouse at 97 Amoy Street stands at nearly S$26 million, while the two-storey shophouses at 449, 451 Balestier Road have an indicative price of S$6.8 million. All three properties are available via an expression of interest (EOI) exercise, which will close at 3pm on April 8. Link to the story: https://www.businesstimes.com.sg/real-estate/shophouses-on-amoy-street-balestier-road-for-sale 9 Joo Chiat Place conservation shophouses for sale for S$33.9m Nine adjoining conservation shophouses at 30 to 46 Joo Chiat Place are up for sale with an indicative price tag of S$33.9 million, said marketing agents Huttons Asia and Sotheby's International Realty. The row of nine, available via an expression of interest (EOI), covers a land area of 13,996 sq ft. This works out to about S$2,422 psf on land area. The shophouses, zoned for commercial use on the first level, and residential use on the second level, has a maximum plot ratio of 3.0. The property's agents, Rudy Tedja, associate group district director at Huttons Asia, and Simon Monteiro, senior associate marketing director at Sotheby's International Realty, recommended using the space as family offices, co-working spaces, service apartments, co-living and medical clinics. These uses are however subject to approval from the authorities, they added. Mr Tedja said that there is potential to build a five-storey extension at the rear. Buyers are also entitled to additional buyer's stamp duty (ABSD) remission, subject to conditions, he added. The EOI exercise will close on March 31 at 4pm. Link to the story: https://www.businesstimes.com.sg/real-estate/9-joo-chiat-place-conservation-shophouses-for-sale-for-s339m Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Hospitality Business 'bubble' scheme put on ice The launch of a pilot plan to bring "business, official and high-economic value travellers" into Singapore and put them in a "bubble" was pushed back, The Business Times has learnt. Under the original plans for the Connect@Singapore initiative, the first travellers would have been able to arrive from mid- to late January. The programme would allow them to enter Singapore without quarantine for up to 14 days, as long as they stay, work and meet in dedicated facilities and undergo regular testing. But the Singapore Tourism Board (STB) said it has not yet picked operators for the facilities where these short-term visitors must be housed. The STB did not give a date by which it plans to appoint facility operators. Asked about the reasons for the launch delay, the Ministry of Trade and Industry (MTI) - which is overseeing the pilot - replied only that "the traveller application start date will be broadly aligned with the estimated operational start date of the first Connect@Singapore facility". Link to the story: https://www.businesstimes.com.sg/government-economy/business-bubble-scheme-put-on-ice Experts foresee uncertain future for mass travel Mass travel in the near future appears to be increasingly uncertain, with countries relaxing and reimposing travel restrictions based on their progress in fighting the Covid-19 pandemic. Singapore, for one, suspended three green lane arrangements with South Korea, Germany and Malaysia late last month in view of a resurgence of Covid-19 cases in those countries. Experts told The Straits Times that this comes as no surprise, since the Singapore Government has always adopted a risk-based approach, assessing each country's current risk level. For instance, tighter regulations were imposed late last year for travellers arriving from Britain due to concerns about the new Covid-19 variant. Link to the story: https://www.straitstimes.com/singapore/experts-foresee-uncertain-future-for-mass-travel Chingay to go digital amid pandemic The Chingay parade is set to go digital for the first time this year, but it is expected to still play its part in rallying people from diverse backgrounds and lifting viewers' spirits. The People's Association said that the parade's theme will be Light of Hope. It will be aired on Feb 20 from 7.30pm on platforms such as Mediacorp's channels 5 and 8, the official Chingay website and the official Facebook pages of the PAssion Chingay Club, Mediacorp Suria and Vasantham. It will also be available on Mediacorp's digital video-on-demand service meWatch. Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
Weekly News Select Feb 12, 2021 / Issue 6 Link to the story: https://www.straitstimes.com/singapore/consumer/chingay-to-go-digital-amid-pandemic Virtual 3D trade show for Mice industry players to connect and grow business opportunities Those in the meetings, incentives, conventions, and exhibitions (Mice) industry will soon be able to connect with suppliers and other stakeholders through a new virtual 3D trade show organised by the Singapore Tourism Board (STB). Announcing the launch of the SingapoReimagine Mice Virtual Show on Feb 9, STB said this is the first such collaboration between STB and local Mice players. The two-day virtual trade show will be held on March 3 and 4 and aims to leverage technology to catalyse the industry's recovery and generate business opportunities for industry players. Links to the story: https://www.straitstimes.com/singapore/consumer/virtual-3d-trade-show-for-mice-industry-players-to-connect-and- grow-business Contact: Lee Sze Teck Head, Research (65) 6500 6510 szetecklee@huttonsgroup.com This document has been prepared by Huttons Asia for general information only. Huttons Asia does not guarantee warrant or represent that the information contained in this document is correct. Any interested party should undertake their own enquiries as to the accuracy of the information. Huttons Asia excludes unequivocally all inferred or implied terms, conditions and warranties arising out of this document and excludes all liability for loss and damage arising directly or indirectly there-from. All rights reserved. *The Business Times (BT) Online and *The Straits Times (ST) Interactive are a subscribers-only website. As such, you will not be able to access the URL link to the articles unless you are registered as a subscriber. Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C 3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090 www.huttonsgroup.com
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