Month: December 2024

Sim Lian Group’s new executive condo development, Aurelle of Tampines, is set to lead the lineup of three new ECs launching next year. Slated for launch in the first quarter of 2025 after the Lunar New Year, the 760-unit project at Tampines Street 62 follows the success of the 846-unit Emerald of Katong which is now over 99% sold.

Purchased in a government land sales (GLS) tender in October 2023, the site for the 760-unit Aurelle of Tampines, located at Tampines Street 62 (Parcel B), was secured for $543.28 million, translating to $721 psf per plot ratio (psf ppr). With rising construction costs and the harmonisation of gross floor area (GFA) definitions, PropNex CEO Ismail Gafoor believes that Aurelle at Tampines could potentially set a new price benchmark, potentially surpassing the $1,600 psf threshold. This is following the success of the Novo Place EC, launched in November, which achieved an average price of $1,656 psf.

When contemplating a Condo as a potential investment, it is crucial to carefully assess the potential rental yield. Rental yield refers to the annual rental income expressed as a percentage of the Condo’s purchase price. In Singapore, the rental yields of Condos can vary greatly, depending on factors such as its location, overall condition, and the demand within the market. As a general rule, areas with a high rental demand, such as those near business districts or universities, tend to offer better rental yields. To make a well-informed decision, conducting thorough market research and seeking guidance from real estate agents is crucial in understanding the rental potential of a specific Condo. Therefore, before making an investment in a Condo, it is crucial to evaluate its rental yield.

In October 2021, Sim Lian Group acquired the site next to Aurelle which is now Tenet EC, a 618-unit development developed in a joint venture between Qingjian Realty, Santarli Realty and Heeton Holdings. Launched in December 2022, Tenet has sold 617 units at an average price of $1,384 psf, with only one unit remaining as of Dec 19, 2024. The site for Tenet, located at Tampines Street 62 (Parcel A), was purchased in August 2021 for $442 million, marking a record-high psf ppr price for an EC land plot at that time. Notably, Tenet was launched before the implementation of the GFA harmonisation rule, which applies to GLS sites launched for sale after Sept 1, 2022.

Confident in the strong demand in Tampines and the surrounding estates, Sim Lian Group secured another EC site when it was awarded the Tampines Street 95 GLS site in early November. With a winning bid of $465 million ($768 psf ppr), Sim Lian Group has set a new high for EC land prices. The new EC project at Tampines Street 95 is expected to add 560 new units, further boosting the EC supply in the area. Sim Lian Group has a successful track record of developments in the eastern part of the island.

Apart from the Emerald of Katong and the upcoming EC projects in Tampines, the group has also completed Treasure at Tampines, Singapore’s largest private condominium with 2,203 units, in 2023. Located at Tampines Street 11, Treasure at Tampines is a redevelopment of the former privatised HUDC estate Tampines Court, which Sim Lian purchased en bloc for $970 million in 2017. Launched in February 2019, the 2,203-unit Treasure at Tampines was entirely sold within three years at an average price of $1,356 psf. As of Dec 19, a total of 468 sub-sale and resale transactions have been recorded. Secondary market prices now average $1,699 psf, representing a 25.3% increase over the average launch price.

Another upcoming EC project set for launch in 2025 is the 560-unit development at Plantation Close in Tengah Town, developed by a joint venture between Hoi Hup Realty and Sunway Developments, who are also the developers of Novo Place EC. Launched in mid-November, Novo Place has sold 57% of its units over the opening weekend. In the second round of balloting for second-timers — buyers who had previously purchased a subsidised new or resale HDB flat — another 137 units were taken up, bringing total sales to 444 units, or 88.1% of the project as at Dec 16, 2024. With an average price of $1,656 psf, Novo Place has set a new benchmark for EC prices. PropNex’s Gafoor attributes the “slightly elevated average pricing” to the fact that 80% of buyers opted for the deferred payment scheme, which carries a 3% premium compared to the normal payment scheme. Despite the higher benchmark price, Novo Place performed well due to several factors according to Gafoor, including the dwindling inventory of unsold EC units and the project’s favourable location. Located at Plantation Close in Tengah, Novo Place benefits from proximity to the upcoming Tengah Park MRT and Bukit Batok West MRT Stations on the Jurong Region Line, which are expected to be completed by 2029.

For the third EC launch potentially happening in late 2025, a 710-unit development at Jalan Loyang Besar in Pasir Ris is expected to be developed by a joint venture between Qingjian Realty, Forsea Holdings, and ZACD Group. The site for this EC project was purchased for $557 million ($729 psf ppr) in August 2024. The last EC launched in Pasir Ris was Sea Horizon, which debuted in September 2013 at an average price of $800 psf. By 2024, average resale prices for caveats lodged had risen to $1,290 psf, reflecting a 61.25% increase over the past decade. As Pasir Ris has not seen a new EC launch in nearly 12 years, there is expected to be pent-up demand for the upcoming EC project.

With the upcoming EC projects, including the Aurelle of Tampines, Plantation Close EC, and Jalan Loyang Besar EC, a total of 2,030 new units will be added to the market in 2025. This represents a doubling in new supply compared to the 1,016 units launched in 2024. The first EC launched in 2024 was Lumina Grand at the end of January. Located at Bukit Batok West Avenue 5, the 512-unit EC is developed by City Developments (CDL). On its launch weekend, 53% of the units were taken up. As of Dec 17, 444 units (87%) had been taken up. The average price achieved to date is $1,511 psf. With ECs remaining highly sought after by first-time homebuyers and HDB upgraders who find them more affordable than private new launches, PropNex estimates that the median price for new non-landed, 99-year leasehold private homes in the Outside Central Region (OCR) in 2024 is $2,203 psf (as of Dec 8, 2024). This is 44% higher than the average price for new ECs launched during the same period.…

The luxury condo in Ardmore Park saw some of the highest profits in 2024. According to data from URA, the freehold development accounted for the first, second, and fourth most profitable condo resale deals this year. These sales took place between Jan 1 and Dec 10, and were based on caveats lodged with URA as of Dec 17.One of the units that garnered the biggest gains was a four-bedroom, 2,885 sq ft unit on the 26th floor at Ardmore Park. It was sold on Feb 16 for $12.9 million, which translates to $4,472 per square foot (psf). The unit was initially purchased from the developer for $5.83 million in July 1996, at a rate of $2,022 psf. After a holding period of about 27 and a half years, the seller raked in a profit of $7.07 million, which amounts to a staggering 121% gain.The second-highest profit was seen five months after, on July 24, when another four-bedder measuring 2,885 sq ft on the 18th floor changed hands for $12 million ($4,160 psf). It was purchased by the seller in December 2000 in a sub-sale transaction for $5.2 million at a rate of $1,803 psf, which means that the profit they made was $6.8 million, equating to a 131% capital gain. The seller had owned the unit for around 23 and a half years.AdvertisementAnother 2,885 sq ft unit, a four-bedroom configuration, sold for $12.5 million ($4,333 psf) on April 22, making it the fourth-biggest gain this year. The unit was purchased from the developer in February 2007 for $6 million ($2,080 psf), which earned the seller a 108% profit, having owned the unit for over 17 years. The luxurious condo in Ardmore Park has been consistently registering remarkable gains in recent years, with three other units of the same type sold this year. Previous transactions were made for gains between $2.65 million and $3.05 million. Last year, there were four resale transactions in the development that clocked profits between $2.8 million and $8.16 million.Read also: The Skywaters leads, while Ardmore Park, 32 Gilstead dominate luxury condo dealsThe list of top gains this year was mostly dominated by mature freehold condos in District 10, other than Ardmore Park. The fifth-most profitable resale transaction was recorded at Beverly Hill, a boutique condo that has 86 units on Grange Road. A four-bedder spanning 3,778 sq ft unit on the fifth floor changed hands for $9.15 million, translating to $2,422 psf, on July 15. The seller clocked a 149% gain, amounting to $5.47 million.More freehold District 10 condos that raked in the top gains include Astrid Meadows on Coronation Road West (208 units), Regency Park on Nathan Road (292 units), Fontana Heights on Mount Sinai Rise (52 units), and Wing On Life Garden on Bukit Timah Road (81 units). These condos, which were completed between 1982 and 1990, are now over 30 years old.Older freehold District 9 condos were responsible for two of the top 10 gains this year. The third-highest gain was made at Yong An Park, which is located on River Valley Road. The sale of a 3,434 sq ft, four-bedroom unit achieved a profit of $6.72 million when it transferred ownership for $8.6 million. Another condo project, The Ritz-Carlton Residences Singapore Cairnhill, clocked in at fourth place, with the sale of a 3,057 sq ft apartment at $16.5 million, making a gain of $4.89 million. The unit fetched $5,397 psf on Jan 9.In contrast, Sentosa Cove condo projects accounted for almost half (5) of the 10 least profitable condo resale transactions this year. Buyers of Marina Collection, a 124-unit condo on Cove Drive, made the biggest loss this year when a five-bedroom duplex penthouse measuring 3,789 sq ft sold for $6.7 million ($1,768 psf) on July 22. The seller had initially bought the unit in March 2010 for $9.39 million ($2,479 psf) and incurred a loss of $2.69 million (29%).Read also: Sluggish start to 2024 ends in decade-high home sales at year’s endAdvertisementThe second-highest loss, which amounts to $2.53 million, was made at Seascape on Cove Way. A four-bedroom unit on the sixth floor measuring 2,680 sq ft sold for $4.5 million ($1,679 psf) on Aug 14. In October 2010, the seller had paid $7.03 million ($2,623 psf) for the unit.Ardmore Park, the 330-unit freehold condo in District 10, saw three of the biggest condo resale gains this year (Picture: Samuel Isaac Chua/)Check out the latest listings for Ardmore Park, Condominium propertiesAsk BuddyCompare price trend of New sale condo vs Resale condoTenure of Ardmore ParkCondo projects with most unprofitable transactions in District 10Compare price trend of HDB vs Condo vs LandedTotal number of units in Ardmore ParkCompare price trend of New sale condo vs Resale condoTenure of Ardmore ParkCondo projects with most unprofitable transactions in District 10Compare price trend of HDB vs Condo vs LandedTotal number of units in Ardmore Park

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Real estate transactions at Ardmore Park, a premier luxury condo located in the prestigious Ardmore-Draycott enclave in prime District 10, yielded some of the most significant profits in 2024. Based on data from the Urban Redevelopment Authority’s (URA) caveats lodged as of December 17, the freehold development accounted for three of the top four most profitable condo resale deals that took place between January 1 and December 10.

The highest profit was generated from the sale of a 2,885 sq ft unit with four bedrooms on the 26th floor of Ardmore Park on February 16 for $12.9 million, equivalent to $4,472 per square foot (psf). The unit was originally purchased from the developer in July 1996 for $5.83 million, or $2,022 psf. This translates to a profit of $7.07 million, or 121%, after holding the property for about 27 and a half years.

When it comes to investing in real estate in Singapore, the location is a crucial factor to consider. In order to ensure a successful condo investment, the right location is paramount, especially if it is in a central area or near important amenities like schools, shopping centers, and public transportation hubs. Prime locations such as Orchard Road, Marina Bay, and the Central Business District (CBD) have consistently seen an increase in property values, making condos in these areas highly desirable. Their proximity to these key locations adds to their investment potential, making them a popular choice among families as well. This is due to the availability of good schools and educational institutions, further boosting the value of condos in these prime locations. Therefore, when making a condo investment in Singapore, it is crucial to carefully select the location in order to maximize its potential for long-term growth. So, be sure to consider the location carefully when investing in a condo in Singapore.

In second place was the sale of a 2,885 sq ft four-bedroom unit on the 18th floor on July 24 for $12 million, or $4,160 psf. The seller had bought the unit in December 2000 through a sub-sale transaction for $5.2 million, or $1,803 psf, resulting in a profit of $6.8 million, or 131%, after owning the unit for approximately 23 and a half years.

Another four-bedroom unit at Ardmore Park, spanning 2,885 sq ft, made the fourth-largest profit this year when it changed hands for $12.5 million, or $4,333 psf, on April 22. The seller had bought the unit in February 2007 for $6 million, or $2,080 psf. This translates to a gain of $6.5 million, or 108%, after owning the property for a little over 17 years.

Ardmore Park, a freehold condo with 330 units in District 10, has consistently recorded significant gains from resale transactions in recent years. In 2024, three other units of the same size were sold, with the sellers earning profits of $2.65 million, $3 million, and $3.05 million respectively. Last year, the condo saw four resale deals, with the sellers making profits ranging from $2.8 million to $8.16 million.

Apart from Ardmore Park, other mature freehold condos in District 10 dominated the list of top gains this year. The fifth-highest profit was recorded at Beverly Hill, a boutique condo with 86 units on Grange Road. On July 15, a four-bedroom unit measuring 3,778 sq ft on the fifth floor changed hands for $9.15 million, or $2,422 psf. The seller made a gain of $5.47 million, or 149%.

Additional freehold condos in District 10 that made it to the list of top profitable deals include Astrid Meadows on Coronation Road West (208 units), Regency Park on Nathan Road (292 units), Fontana Heights on Mount Sinai Rise (52 units), and Wing On Life Garden on Bukit Timah Road (81 units). These properties were built between 1982 and 1990, making them over 30 years old.

Two older freehold District 9 condos were also among the top 10 gains this year. The third-highest profit was made from the sale of a 3,434 sq ft four-bedroom unit at Yong An Park on River Valley Road for $8.6 million, or $2,505 psf. The seller made a profit of $6.72 million, or 147%. The sale of a 3,057 sq ft apartment at The Ritz-Carlton…

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In the highly exclusive world of the ultra-rich, the Good Class Bungalows (GCBs) market has had a remarkable performance this year when compared to the previous year, according to Han Huan Mei, the Director of Research at List Sotheby’s International Realty.

Based on the caveats lodged with URA Realis as of December 20th, there have been 22 GCB transactions totaling an impressive $612.05 million. Furthermore, another 13 GCB deals, estimated to be worth over $700 million, were completed this year without caveats lodged, as buyers preferred to maintain their anonymity. This brings the total number of GCB transactions in 2024 to 35, with an estimated value of $1.32 billion, surpassing the previous record of $1.186 billion set in 2022.

In comparison, 2023 had only 18 GCB transactions, with a total value of $432.5 million. This was the lowest number of deals recorded since URA Realis began tracking this data in January 1995.

“This increase in deals during 2024 demonstrates the strong activity in the GCB market, which goes beyond what is shown in the official transaction data,” says Han. “It also solidifies the coveted status of GCBs as highly sought-after assets among the ultra-high-net-worth buyers.”

Notable GCB Deals

The top spot goes to the sale of a GCB at Tanglin Hill for a staggering $93.888 million. The property, situated on a freehold land measuring 15,150 sq ft, boasts a built-up area of 29,660 sq ft. This transaction sets a new record with a land rate of $6,197 psf.

The second-highest GCB transaction was a purchase at Bin Tong Park for $84 million by Xiang Yangyang, daughter of Chinese nickel billionaire Xiang Guangda, according to a document search. No caveat was lodged for this property, but based on the land area of 28,111 sq ft, the price equates to a land rate of $2,988 psf.

The highest-priced deal, based on caveats lodged, was for a GCB on Cluny Hill that was sold for $52 million. The property sits on a freehold plot of 15,141 sq ft and is relatively new, which contributed to the high land rate of $3,434 psf.

Another significant transaction was the sale of a 21,116 sq ft GCB plot at Astrid Hill for $49 million ($2,321 psf) in July. The property was reportedly purchased by Glenn Kuok, nephew of Kuok Khoon Hong, chairman and CEO of Wilmar International. The purchase price translates to a land rate of $2,321 psf.

Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc (SRI), points out that at least 14 transactions this year were valued at $20 million or more, highlighting the strong demand for ultra-luxury properties in Singapore.

District 10 Remains Top Choice

Considering an investment in a condo involves not only assessing the property itself, but also its potential rental yield. In other words, rental yield is the annual rental income generated as a percentage of the condo’s purchase price. In Singapore, condo rental yields can vary greatly depending on factors such as location, condition of the property, and demand in the market. Generally, areas with high rental demand, such as those close to business districts or educational institutions, offer higher rental yields. To get a clearer picture of a condo’s rental potential, extensive market research and seeking advice from real estate agents can be valuable. For those considering investing in Singapore projects, keeping these factors in mind, including Singapore Projects, can be helpful in making informed decisions.

According to Sandrasegeran, District 10 continues to be the most sought-after district for GCBs, with 16 out of the 35 recorded transactions taking place there. This includes prime areas such as Tanglin, Bukit Timah, and Holland Road.

Consistent Buying Activity

Sandrasegeran notes that GCB transactions were evenly spread throughout the year, with buying activity picking up from July onwards. “Overall, the fact that we saw GCB deals closing throughout the year suggests sustained interest in these prestigious properties, despite external economic factors such as high inflation and interest rates in the first eight months of the year,” he says.

Steve Tay, the co-founder and executive director of his boutique luxury agency in Singapore, says that the trajectory of interest rates, signaled by the US Federal Reserve (Fed), rather than the actual rate cuts, was the main driver of the increased buying sentiment in the GCB market during the second half of the year.

The Fed reduced the rates three times this year, with the most recent being a 25 basis point (bp) cut on December 18th, following earlier cuts of 50 bp in September and 25 bp in November.

Tay notes that most GCB buyers who had been hesitant about their purchases became more serious from July onwards, and most deals were closed in the last quarter of the year.

Market Slowdown in 2023

The GCB market experienced a slowdown last year as buyers pulled back following the island-wide arrests of suspects in Singapore’s biggest money-laundering case, according to Han of List Sotheby’s.

“The crackdown on money laundering had a dampening effect on the market, causing some genuine buyers to hold back to avoid media attention,” she adds. “Transactions also took longer to close due to increased scrutiny and stricter checks on buyers’ identities and sources of funds.”

Emerging Wealthy Buyers

In recent years, a new generation of ultra-wealthy Singaporeans has emerged in the GCB market, with a significant number of young and successful entrepreneurs who have made their fortunes in technology, finance, commodities, and F&B businesses, says Tay.

He adds that both the ultra-wealthy and newly naturalized Singaporeans contribute to the exclusive pool of GCB buyers who prefer large plots in prime districts. However, the number of naturalized citizens buying GCBs remains low compared to wealthy locals, according to Tay.

According to research by List Sotheby’s, the cost of building a new GCB from scratch is estimated to be around $1,000 psf, and it takes several years to complete. Therefore, most buyers prefer relatively new bungalows in move-in condition to minimize renovation works, observes Han.

“The GCB market is expected to maintain its positive momentum, driven by demand from ultra-high-net-worth individuals,” says Sandrasegeran of SRI. “The preference for privacy among GCB buyers and sellers could result in more off-market transactions, making it more challenging to track market activity.”…

When it comes to investing in real estate, one of the most important aspects to consider is the location. This is particularly true for properties in Singapore. Condominiums that are located in central areas or in close proximity to important amenities such as schools, shopping malls, and public transportation hubs tend to have a higher potential for appreciation in value. Prime locations in Singapore, like Orchard Road, Marina Bay, and the Central Business District (CBD), have consistently shown strong growth in property values. Moreover, the convenience of being near reputable schools and educational institutions adds to the appeal of these condos for families, making them even more attractive for investment. To find out more about lucrative Singapore condo properties, visit Singapore Condo.

The latest data from C&W has revealed that the total value of property deals in Singapore’s capital market has hit $25.8 billion between January and November this year. This is a significant increase of 40.2% compared to the $18.4 billion recorded in 2023. C&W defines capital market transactions as deals that exceed $10 million in value.

According to Wong Xian Yang, the head of research for Singapore & Southeast Asia at C&W, nearly 60% of the capital market deals were made in the second half of 2024. This surge in activity can be attributed to the growing interest from investors and increased confidence in the US Treasury’s plan to cut interest rates.

Out of the total capital market deals made in 2024, three deals worth over $1 billion were transacted in the second half of the year. The largest deal by absolute price was the sale of a 50% stake in ION Orchard mall for $1.85 billion to CapitaLand Integrated Commercial Trust (CICT) on September 3. The remaining 50% stake is held by Hong Kong-listed property developer Sun Hung Kai Properties.

ION Orchard, a popular eight-storey retail mall located in the city’s shopping belt and directly linked to the Orchard MRT Station, was the highest-valued deal of the year. It boasts a net lettable area of 623,000 sq ft and houses more than 300 international and local brands. Above the mall, there is also a luxury condo tower called The Orchard Residences, which has 175 units spread across 54 storeys.

Another notable trend in Singapore’s capital market this year was the surge in investment activity in the industrial sector. According to Wong, investments in this sector reached $5.6 billion in just the first 11 months of 2024, marking a 174% increase from the previous year. The biggest deal in this sector was the $1.6 billion divestment of a portfolio of seven industrial properties by Soilbuild Business Space REIT to a joint venture owned by private equity firm Warburg Pincus and Australia-listed Lendlease Group in August. The portfolio included 4.5 million sq ft of business parks and specialist facilities across various industries.

The second-highest capital market deal of the year was the sale of two data centres to Singapore-listed Keppel DC REIT for $1.38 billion. The seller was a joint venture between Keppel and Cuscaden Peak Investments. These data centres, known as Keppel DC Singapore 7 and Keppel DC Singapore 8, are fully contracted to cloud services, internet enterprises, and telecommunications providers.

Despite the overall success in the capital market this year, there were four Government Land Sales (GLS) sites that went unawarded. These sites, which were on the Confirmed List for 2024, include a 6.5ha master developer white site in the Jurong Lake District, a 1.73ha white site at Marina Gardens Crescent, a 62,046 sq ft site at Media Circle, and a 262,875 sq ft site at Upper Thomson Road. The main reason for the failure to be awarded was the low bid prices due to site-specific concerns and higher interest rate concerns.

However, experts are anticipating a more significant number of capital market deals in 2025. According to C&W’s Wong, with the US Fed expected to cut interest rates further next year, there is a positive outlook for investment sales volumes in the coming year. Additionally, as overall borrowing costs remain higher than pre-pandemic levels, asset owners may look to divest and rebalance their portfolios, leading to more assets being brought to the market. CBRE Research also forecasts a 10% growth in investment volumes from the previous year, barring any significant economic shocks.…

Consumer spending in 2024 has been weaker than expected, which will likely result in lower rental forecasts for Singapore’s retail property market by the end of the year. Alan Cheong, executive director of research and consultancy at Savills Singapore, reports that the y-o-y change in the monthly retail sales index (excluding motor vehicles) and food and beverage (F&B) sales index has mostly been negative throughout the year. As a result, Cheong forecasts a 2% increase in rents for retail properties in the prime Orchard Road submarket for the full year, falling short of the initial 3% to 5% expectations at the beginning of the year.

Investing in a condominium in Singapore has become an increasingly popular option for both local and foreign investors, thanks to the city-state’s strong economy, stable political climate, and exceptional quality of life. Singapore’s real estate market is teeming with opportunities, with condominiums being particularly attractive due to their convenience, amenities, and potential for significant returns. Singapore Projects, such as those offered by Elemeno-Pee, offer a diverse range of options for those looking to invest in the city-state’s real estate market. In this article, we will dive into the advantages, considerations, and necessary steps for investing in a condominium in Singapore.

However, Cheong expects suburban retail rents to remain flat through the end of the year, in line with his original rental forecast for this segment. According to research jointly published by DBS and the Singapore Management University (SMU), consumer concerns over higher-than-expected inflation have mostly moderated in recent quarters. The research also found that most Singaporeans expect inflation to stabilise in the coming quarters due to the global economic slowdown, high interest rates, and potential easing of supply chain disruptions.

Meanwhile, retail spending data from the Singapore Department of Statistics revealed a 0.3% y-o-y increase in retail sales (excluding motor vehicles) in October, reversing the 1.5% y-o-y decline in September. Cheong notes that consumer spending keeping pace with inflation would be a more positive outcome for the retail market. However, the fact that it has been relatively low means it could pose financial challenges to businesses in the industry.

Despite a packed calendar of headline concerts, conferences, and exhibitions in Singapore this year, retail spending and rental rates saw limited support, according to research by CBRE. While concerts by international stars like Taylor Swift, Blackpink, Coldplay, and Westlife attracted over 500,000 attendees, contributing between $350 million and $450 million in tourism receipts, other MICE events had a nuanced effect on retail activity. Business event attendees tend to stay exclusively at the event venue, and even the Formula One Grand Prix, which generates an annual average of $125 million in tourist receipts, did not significantly boost foot traffic in Orchard Road.

However, Sulian Tan-Wijaya, executive director of retail and lifestyle at Savills Singapore, notes that Singapore’s status as a regional hub continues to attract noteworthy new-to-market brands. Notable new retail stores include KSisters, The Pace, Brands for Less, and Hoka, as well as new F&B concepts like Sushi Samba and coffee chains like Blue Bottle, Grey Box, and Puzzle Coffee. New restaurant concepts with entertainment, like Centre of the Universe, just opened in the CBD area, while another new player, Rasa, is set to open in December. These new entrants have bolstered demand for retail spaces and supported rental growth, particularly in central Singapore.

Tan-Wijaya also observes the emergence of new wellness concepts and restaurants offering entertainment, which are expected to enhance the vibrancy of Singapore’s dining scene. As a result, all prime shopping malls along Orchard Road have enjoyed relatively high occupancy rates this year, as retail businesses have strong confidence in the retail market. Cheong adds that Singapore remains an attractive destination for new-to-market brands entering the region, spanning retail, F&B, and other lifestyle concepts.

Looking ahead, retail landlords may have more flexibility next year to implement positive rental adjustments as the supply of new retail spaces becomes more limited. This will allow them to strategize and position their malls to remain relevant in the rapidly evolving consumption patterns of both locals and tourists. Similarly, Cheong expects more retailers to take advantage of this opportunity to optimize their real estate strategies, including right-sizing their spaces, establishing additional kiosks, closing under-performing branches, or shifting cooking operations to central kitchens.

“There is strong momentum in the entry of new-to-market F&B brands into Singapore, and this trend is expected to continue in the first half of 2025,” says Cheong, adding that there is also expected to be an increase in the entry of new wellness concepts and restaurants offering entertainment. In conclusion, while weaker-than-expected consumer spending may dampen rental forecasts for Singapore’s retail property market this year, the entry of new-to-market brands and the emergence of new concepts may provide support for the overall market in the coming years.…

Assessing the potential rental yield is a crucial aspect to consider when contemplating a condo investment. The rental yield refers to the annual rental income as a percentage of the property’s purchase price. In Singapore, the rental yields for condos can vary significantly depending on factors such as location, property condition, and market demand. The areas with high rental demand, such as those situated near business districts or educational institutions, generally offer more favorable rental yields. For a better understanding of a specific condo’s rental potential, it is advisable to conduct thorough market research and consult with real estate agents. Additionally, Singapore Projects can provide valuable insights into the rental potential of a condo.

2024 has been a year filled with challenges for the global luxury goods market. Due to macroeconomic uncertainty and increasing prices, consumers have been cutting back on their spending on luxury retail items. According to a report by Bain & Company, global sales of personal luxury goods are expected to decline by 2% this year, with key market China estimated to have experienced a decline of 20-22%. Major luxury brands such as Richemont Luxury, LVMH, and Moncler Group have reported slight declines in earnings, while Kering saw more significant decreases.

However, there have been some outliers in the industry that have seen growth despite these challenges. Hermes and Prada Group, which also owns Miu Miu, reported double-digit earnings growth. Despite the overall decline, Singapore remains an important market for luxury brands, with Euromonitor reporting an 11% growth in sales of luxury goods in 2023 to reach $9.1 billion.

In recent years, luxury brands such as Dior, Chanel, and Louis Vuitton have embraced robust digital strategies, including e-commerce and digital marketing, to engage with customers. This is crucial in a world where consumer behaviors, expectations, and preferences are rapidly evolving. Additionally, these brands have recognized the importance of creating offline shopping experiences to build closer connections with their customers.

Flagship stores are getting bigger and bolder as luxury brands aim to provide unique and elevated experiences for their top-tier clients. Louis Vuitton recently opened a new 690 sq m “apartment concept” space at Ngee Ann City dedicated to its “VICs” or very important clients. Burberry is another brand that has invested in creating immersive store experiences, with extensive renovations at their Marina Bay Sands and Paragon stores, as well as a new Orchard Road street-facing store at Wisma Atria.

Despite the challenges faced in 2024, the luxury goods market is expected to see growth in 2025 and beyond. This can be attributed to factors such as the steady growth of high-net-worth individuals (HNWIs) worldwide, the interest in luxury goods from Millennials and Gen Z, the resurgence of tourists from China, and the growth of travel retail, especially in Japan.

Looking to the future, some trends that we can expect to see in the luxury goods industry include personalization and customization to build stronger connections and brand loyalty with customers, as well as leveraging AI and digital experiences to better understand customer wants and complement offline experiences.

Some luxury brands are already leading the way in embracing innovative AI technology. Dior’s AI platform, Astra, gathers data from various channels to stay in tune with customer preferences. Balenciaga made headlines with their Winter 2024 collection fashion show, where they transformed the runway and set into an immersive digital canvas using AI-driven digital distortions. Brunello Cucinelli even created a separate website powered entirely by generative AI.

Despite the challenges faced in 2024, the luxury goods market continues to grow and evolve. With Millennials and Gen Z making up a significant portion of the consumer base, luxury brands will continue to embrace advanced technology and platforms while creating unique and immersive physical store experiences.…

Swiss brand V-ZUG is renowned for its focus on simplicity and quality in its timeless approach to product design. While the interior design world is constantly changing, the brand believes that functionality and elegance will never go out of style. This philosophy has guided V-ZUG since 1913, making it a top choice for developers and designers of luxury residences worldwide, from its home base in Switzerland to cities like Shanghai, London, and Singapore.

One of the key elements that sets V-ZUG apart is its emphasis on sleek and durable design. By blending traditional craftsmanship with contemporary aesthetics, the brand has become a leader in shaping modern kitchen designs. This is achieved through a rigorous quality control process that ensures every appliance, from ovens to induction cooktops and fabric preservation appliances, delivers top performance and meets the brand’s strict standards. To maintain its commitment to sustainability, V-ZUG conducts extensive research before production begins to determine the most suitable eco-friendly practices for each appliance.

As part of its efforts to go green, V-ZUG uses Circle-Green recycled stainless steel by Outokumpu which generates only 7% of the emissions associated with producing traditional stainless steel. In addition to its focus on quality and sustainability, V-ZUG also consults with renowned chefs from Michelin-starred restaurants to ensure that its kitchen appliances meet the needs of passionate home cooks. This combination of professional-grade technology and minimalist design language helps elevate the daily culinary experience to a higher level.

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Rewritten: The cityscape of Singapore stands out for its impressive skyscrapers and modern infrastructure. In this bustling metropolis, there is a wide selection of well-located Condos that offer the perfect combination of luxury and convenience, making them highly sought after by both locals and expatriates. These luxurious residences boast a range of desirable amenities, including refreshing swimming pools, state-of-the-art fitness centers, and top-notch security services, all aimed at providing an elevated standard of living. It is no surprise that Condos have become a top choice among potential residents and buyers. For real estate investors, these exceptional features translate to profitable rental income and a consistent increase in property value over time. With Condos now a prominent part of Singapore’s urban landscape, the city has truly reached the epitome of sophistication and convenience. Condo has played a significant role in elevating the city’s skyline and enhancing the living experience for its residents.

In terms of aesthetics, V-ZUG strives for seamless integration with any home. Its range of products and minimalist design ethos make it easy to find the perfect appliance for any household. Take, for example, their series of wine cabinets, including the full-height WineCooler V6000 Supreme and the WineCooler Undercounter Swiss Luxury (UCSL). Despite their different sizes, all V-ZUG wine cabinets have two temperature zones, making them suitable for storing different types of wine. This level of customization allows for a perfect fit in any space without compromising the brand’s commitment to quality.

Consistency is another key factor in V-ZUG’s appliance designs. The brand’s focus on clean, sleek lines and mirrored glass fronts ties all its products together seamlessly. Achieving this level of simplicity is no easy feat, and V-ZUG pays attention to even the smallest details, such as the way a wine cabinet’s doors open and close and the hues of LED lights on a refrigerator. The brand’s commitment to excellence is evident in every aspect of its appliances, resulting in a harmonious and practical home.

Beyond the kitchen, V-ZUG also offers products like the RefreshButler, which sanitizes and deodorizes garments. This commitment to quality and simplicity is what sets V-ZUG apart as the go-to brand for those looking for high-end appliances that offer both functionality and elegance. Whether it’s for the kitchen or other areas of the home, V-ZUG remains committed to its timeless design philosophy, making it a top choice for luxury living.…

Singapore has witnessed a consistent surge in demand for condos, and this can be attributed to various factors. However, one of the main reasons behind this phenomenon is the limited availability of land. As a small island nation with a rapidly expanding population, Singapore faces the challenge of scarcity of land for development. As a result, the government has put in place strict land use policies, making the real estate market highly competitive. This, in turn, drives up property prices, making real estate investment, especially in condos, a profitable venture with the promise of capital appreciation. With the addition of Singapore Projects, the demand for condos is expected to remain high in the coming years.

Industrial unit at Gul Circle on sale for $4.5 mil Industrial building at Little Road up for sale at $9.5 mil

VisionPower Semiconductor Manufacturing Company (VSMC) has recently made headlines for breaking ground on a new wafer manufacturing facility in Tampines. The US$7.8 billion ($10.5 billion) plant, set to begin initial production in 2027, is expected to produce 55,000 wafers per month by 2029 and create around 1,500 job opportunities. VSMC, a joint venture between Vanguard International Semiconductor Corporation from Taiwan and NXP Semiconductors from the Netherlands, is not the only company expanding its presence in Singapore. In March, Toppan Holdings from Japan started construction on a new factory in the Jurong Lake District that will produce semiconductor packaging materials. With an estimated investment of $450 million, Toppan’s project is set to further enhance the country’s position as a global hub for semiconductor production. According to Leonard Tay, the head of research at Knight Frank Singapore, these expansions are a result of companies wanting to strengthen their supply chain resilience by setting up facilities and R&D campuses in Singapore. He adds that the country’s stability amid ongoing geopolitical tensions in other parts of the world is a major factor in attracting these businesses.

The global semiconductor industry has witnessed a rebound in recent years after facing a downturn in 2023 due to softening demand and high supply. According to research by Omdia, revenue in the industry has increased by 26% year-on-year in the first three quarters of 2024. This is a drastic turnaround from the previous year, when the industry saw a 9% decline with a total revenue of US$544.8 billion. This recovery has had a positive impact on Singapore’s manufacturing sector, with a growth in output of 11% year-on-year in the third quarter of 2024. This was mainly driven by the electronics cluster, which saw a strong demand for semiconductor chips used in smartphones and PCs.

However, the growth in Singapore’s industrial property market has been more subdued compared to the previous year. While the JTC All Industrial Rental Index has continued to rise for the 16th consecutive quarter since the third quarter of 2020, the momentum has slowed down. The index recorded an 8.9% increase in rents in 2023, but this growth has progressively slowed down in the first three quarters of 2024, with an increase of 1.7%, 1%, and 0.3% respectively. This plateauing trend is attributed to a more cautious sentiment among occupiers due to the uncertain macroeconomic environment. Catherine He, Colliers’ head of research for Singapore, notes that occupiers have become more prudent with their budgets and are looking for flexible options to adapt to the changing market dynamics. The rise in consolidations in the third-party logistics and e-commerce space has also contributed to this trend.

However, the impact of these factors has been uneven across different segments. While the multiple-user factory and warehouse segments have remained resilient with increasing rents and stable occupancy rates, the single-user factory segment saw a decline in both rents and occupancy in the third quarter of 2024. This was the first time since the third quarter of 2020 that this segment recorded a rental decline. Business park rents also dipped, despite a marginal increase in occupancy. This mixed performance in the industrial property market can be attributed to the supply-demand imbalance in certain segments, as well as the cautious sentiment among occupiers.

Although the leasing activity has been mixed, the industrial sales market has been more lively. There were several significant transactions in the second quarter of 2024, such as the sale of BHL Factories for $74 million in May, Kian Ann Building for $63 million in June, and a single-user factory for $36 million in April. This trend continued in the third quarter, with several large deals, including a $1.6 billion portfolio sale of seven industrial assets by Soilbuild Business Space REIT to a joint venture between Warburg Pincus and Lendlease Group. This increased activity resulted in a sevenfold jump in industrial property sales to $2.45 billion in the third quarter of 2024, according to Alan Cheong, the executive director of research and consultancy at Savills Singapore. He attributed this increase in transactions to the improved sentiment due to the US Federal Reserve’s interest rate cut in September and the better performance of the manufacturing sector.

Despite the strong performance in the third quarter, Cheong believes that the big-ticket industrial deals are likely a one-off and that the market may see only one or two large deals in 2025, with each being significantly lower than $1 billion.

Looking ahead, the influx of new supply, coupled with weaker demand, is expected to narrow the rental and price growth in the near term. The JTC estimates that around 0.2 million sqm of new industrial space will be completed in the fourth quarter of 2024, with a further 1.6 million sqm targeted for completion in 2025. This influx of supply, along with the cautious sentiment among occupiers, is expected to result in a supply-demand imbalance in some industrial segments. However, there are some bright spots, such as the multiple-use factory space and centrally located food factories, which are expected to remain resilient. Additionally, the electronics and advanced manufacturing sectors are expected to continue attracting investments, while data centres are likely to play an important role in the country’s industrial sector as the government plans to increase their capacity by 300 megawatts. Despite softening rental and price growth in the near term, the outlook for Singapore’s industrial property market remains positive, with demand expected to remain healthy in the coming years.…

2 bdrm + study unit at newly previewed Kassia at Flora Drive going for $1.38 millionRead the repurposed article below:

In 2024, the property market saw two distinct halves. The first half was marked by sluggish activity, with boutique developments taking the lead and the lowest number of units being launched for sale since 1H1996, according to Huttons Data Analytics. In line with this trend, sales volume also remained low with only 1,889 units being sold, the lowest since 1996.

However, there were a few exceptions, such as the 533-unit Lentor Mansion, which enjoyed a take-up rate of 75% during its launch weekend in March. Most other projects launched in 1H2024 saw lacklustre sales compared to the previous year.

According to Mark Yip, CEO of Huttons Asia, “market sentiment was tentative and cautious”. This could be attributed to uncertainties in the job market and high interest rates. Buyers were likely holding back, waiting for the highly anticipated project launches later in the year, such as Chuan Park and Emerald of Katong.

The launch of the 276-unit freehold Kassia on Flora Drive in late July, which achieved a 52% take-up rate, set the stage for strong sales momentum following the Lunar Seventh Month. This was followed by the launch of the 158-unit 8@BT at Bukit Timah Link in September, which saw 53% of its units being snapped up at an average price of $2,719 psf.

In 3Q2024, new home sales increased by 60% quarter-on-quarter, according to Huttons, indicating a shift in sentiment. Some attribute this to the 50-basis point interest rate cut by the US Federal Reserve in September. More evidence of this increased sales momentum emerged in October, when over 50% of the 226 units at Meyer Blue were sold in private sales at an average price of $3,260 psf, setting a new benchmark for the prime District 15 enclave on the East Coast.

It is crucial to carefully evaluate the potential rental yield when considering an investment in a condominium. Rental yield refers to the annual rental income as a percentage of the property’s purchase price. In Singapore, condo rental yields can vary greatly based on factors such as location, property condition, and market demand. Generally, areas that have high rental demand, such as those near business districts or educational institutions, tend to offer better rental yields. It is beneficial to conduct thorough market research and seek guidance from real estate agents to gain valuable insights into the rental potential of a particular condo. Additionally, investors may also want to consider new condo launches as they may offer attractive rental opportunities.

The 348-unit Norwood Grand in Woodlands also achieved several milestones. During its launch weekend in October, it saw a take-up rate of 84%, making it the best-selling project in terms of percentage of units sold as of October. The average price of units sold was $2,067 psf, marking the first time a project in Woodlands surpassed the $2,000 psf threshold.

Norwood Grand was the first new private residential project launched in Woodlands in 12 years and its strong performance was seen as a clear signal of growing buyer confidence and demand, according to Huttons’ Yip. This triggered a wave of activity in November, with a record-breaking six new projects comprising 3,551 units being unleashed over a period of 10 days.

The streak began on Nov 6 with the launch of the 367-unit The Collective at One Sophia, followed by the 366-unit Union Square Residences at Havelock Road on Nov 9. Sales momentum continued to build up with the launch of the 916-unit Chuan Park on Nov 10, and it surged over the weekend of Nov 15-16 with three projects launched in concert: the 846-unit Emerald of Katong, the 552-unit Nava Grove, and the 504-unit Novo Place executive condo (EC).

As a result, developer sales in November soared to 2,557 units – the highest figure since March 2013, when 3,489 units were launched and 2,793 were sold, according to Huttons Data Analytics. This strong performance pushed total developer sales for the first 11 months of 2024 to 6,344 units. Year-end figures are expected to surpass 6,500 units, exceeding the 6,421 units sold in 2023. “This reflects the strength and resilience of the property market,” says Huttons’ Yip. “It underscores the enduring appeal of property as an asset for wealth creation and preservation.”

Chia Siew Chuin, JLL’s head of residential research, notes that the sluggish performance of the private residential market in the first three quarters of 2024 created an atypical year-end scenario. “Developers, who had repeatedly postponed launches due to economic uncertainties and hopes for improved conditions, finally rolled out projects in November.”

Chia says that this decisive shift from caution to action was fueled by the approaching year-end festive lull and improved market sentiment since the third quarter of 2024. “The surge in activity has transformed November into an unusually vibrant period for property launches, defying the typical seasonal slowdown and creating a dynamic market environment.”

There is now speculation about the possibility of further property cooling measures, given the uncharacteristically high November sales. However, Chia believes that “unlikely” any intervention will depend on two factors: sustained sales momentum into the first quarter of 2025 and a concurrent sharp increase in property prices outpacing GDP growth.

“Despite close monitoring by authorities, new measures are likely to remain on hold unless clear signs of persistent market overheating emerge,” Chia adds.…