Jurong's retail space almost doubles with opening of new mall JEM
By Yvonne Chan
POSTED: 05 Aug 2013 9:07 PM
The supply of retail mall space in Jurong has almost doubled from the second quarter of last year with the opening of the new shopping mall JEM in June this year.
SINGAPORE: The supply of retail mall space in Jurong has almost doubled from the second quarter of last year with the opening of the new shopping mall JEM in June this year.
The retail mall space jumped by 573,600 square feet in June, to nearly 1.2 million square feet.
Including the IMM Building and JCube, retail mall space in Jurong had amounted to 613,000 square feet in terms of net lettable area at the second quarter 2012.
And it is expected to increase by another 35 per cent by the end of this year, with the opening of Capitaland's new mall Westgate, which has a net lettable area of 416,000 square feet.
Analysts said asking rents for retail malls in Jurong is expected to remain relatively stable at around S$10 to S$15 per square foot.
Still, as the Jurong area becomes more saturated with shopping malls, experts said mall operators must tweak their tenant composition to stay ahead of the competition.
One such mall operator is the IMM Building, which was first opened to the public in 1991 and is one of the oldest malls in the Jurong district.
IMM is re-positioning itself from a mall that sells mostly furnishings, to one that also boasts the largest number of outlet stores in Singapore.
The mall has a home and furnishing section on Level 3 called “I'MM Home”, which houses more than 50 furniture and interior design stores that meet almost all home renovation needs.
CapitaMalls Asia, which acquired the mall in 2003, said “I'MM Home” will continue to be a key feature of IMM's offerings.
IMM's makeover comes hot on the heels of the latest addition to the Jurong Gateway area, JEM, which is developed by Lend Lease.
With the onslaught of new malls, competition for the consumer dollar will get tougher.
Alan Cheong, the senior director of research and consultancy at Savills, said: “What would sell are the traditional suburban malls, where the F&B component is about 30 per cent. And over time, that composition could also rise to 40-45 per cent.
“The core of this Jurong East district is where you see the interchange, where it is now JEM, Westgate will probably be one of the key anchor malls.
"They're positioned slightly differently. JEM is more mid-upper but Westgate is more on the mid to higher end.”
Under the Urban Redevelopment Authority's (URA's) masterplan, the Jurong Lake district, which comprises Jurong Gateway and Lakeside, will be transformed into a unique lakeside destination for business and leisure.
Jurong Gateway is also set to be Singapore's largest regional centre -- 2.5 times the size of Tampines Regional Centre.
Other than Westgate's debut before the end of the year, another retail mall, Big Box, with an area measuring 230,000 square feet, is also expected to open in 2014.
As the Jurong Lake district continues to mature, it is expected to attract more residential and commercial property developers over the next few years.
Experts said that means existing retail mall developers must revamp their tenant mix or move towards more mixed development projects.
Chua Yang Liang, the head of research at Jones Lang LaSalle, said: "In the past, the catchment income population was more working class at the time. Increasingly, you've seen a rise of mid- to high-income groups moving back to the Jurong area, so that is the population that is under-served.
"So for the other emerging groups, you have to start looking at where's their niche, which sector is under-provided. With a growing population there, one thing you can look towards is really specialised services -- towards the growing family with children, ageing population, childcare, daycare, nursery care, etc.”
With more malls and more stores, one thing is certain, the consumer is spoilt for choice.
- CNA/nd
- wong chee tat :)
Thursday, August 8, 2013
Number of resale flats with COVs exceeding S$100,000 falls 20% on-quarter
Number of resale flats with COVs exceeding S$100,000 falls 20% on-quarter
By Lip Kwok Wai
POSTED: 09 Jul 2013 10:03 PM
With the drop in resale flat transactions, the number of units with high Cash-over-Valuations (COVs) has fallen too.
SINGAPORE: With the drop in resale flat transactions, the number of units with high Cash-over-Valuations (COVs) has fallen too.
According to data from the Singapore Real Estate Exchange, in the first quarter of 2013, there were 56 flats with COVs exceeding S$100,000.
The figure dropped some 20 per cent to 44 in the second quarter.
In the first quarter, the top five towns with most flats commanding COV values exceeding S$100,000 were Bishan, Toa Payoh, Geylang, Tampines and Ang Mo Kio.
In the second quarter, Bishan and Toa Payoh still emerged tops, followed by Pasir Ris, Hougang and Bukit Merah.
Analysts felt that flats in Bishan and Toa Payoh are popular so it is not surprising that buyers are still willing to pay higher prices.
Flats in Pasir Ris and Hougang could command high COVs, perhaps because they are near the MRT stations, have larger floor areas or have had appealing renovations.
Analysts also pointed out that with the Housing and Development Board launching more Built-to-Order flats, the resale market has cooled.
Median COV values have dropped from S$33,000 in the first quarter to S$28,000 in the second quarter.
In the next six months, they could drop further.
Chris Koh, director of Chris International, said: "I won't be surprised if it will be in the range of S$15,000 for median COV, which to me, is a good level, because that would mean that we are looking at maybe COVs of sometimes S$10,000 for flats that are not in very prime locations and are not renovated, for example, versus some that may be slightly higher than $15,000."
- CNA/xq
- wong chee tat :)
By Lip Kwok Wai
POSTED: 09 Jul 2013 10:03 PM
With the drop in resale flat transactions, the number of units with high Cash-over-Valuations (COVs) has fallen too.
SINGAPORE: With the drop in resale flat transactions, the number of units with high Cash-over-Valuations (COVs) has fallen too.
According to data from the Singapore Real Estate Exchange, in the first quarter of 2013, there were 56 flats with COVs exceeding S$100,000.
The figure dropped some 20 per cent to 44 in the second quarter.
In the first quarter, the top five towns with most flats commanding COV values exceeding S$100,000 were Bishan, Toa Payoh, Geylang, Tampines and Ang Mo Kio.
In the second quarter, Bishan and Toa Payoh still emerged tops, followed by Pasir Ris, Hougang and Bukit Merah.
Analysts felt that flats in Bishan and Toa Payoh are popular so it is not surprising that buyers are still willing to pay higher prices.
Flats in Pasir Ris and Hougang could command high COVs, perhaps because they are near the MRT stations, have larger floor areas or have had appealing renovations.
Analysts also pointed out that with the Housing and Development Board launching more Built-to-Order flats, the resale market has cooled.
Median COV values have dropped from S$33,000 in the first quarter to S$28,000 in the second quarter.
In the next six months, they could drop further.
Chris Koh, director of Chris International, said: "I won't be surprised if it will be in the range of S$15,000 for median COV, which to me, is a good level, because that would mean that we are looking at maybe COVs of sometimes S$10,000 for flats that are not in very prime locations and are not renovated, for example, versus some that may be slightly higher than $15,000."
- CNA/xq
- wong chee tat :)
Coffeeshops facing tough times amid rising costs
Coffeeshops facing tough times amid rising costs
By Khoo Fang Xuan
POSTED: 07 Aug 2013 11:37 PM
Business appears to be getting tougher for coffeeshops in Singapore. An association representing the shops said rising operation and labour costs are to blame.
SINGAPORE: Business appears to be getting tougher for coffeeshops in Singapore. An association representing the shops said rising operation and labour costs are to blame.
Thomas Foo, chairman of Kheng Keow Coffee Merchants Restaurant and Bar Owners Association, said: "Prices of sugar, coffee powder have been increasing. As for labour cost, it is the increase in levies.
"It is rather difficult to ask operators not to raise prices. A few big coffee joints are already doing so, and the smaller coffeeshops are watching."
In June, coffeeshop chain S11 increased its drink prices by 10 cents across all its 15 outlets.
Ya Kun also recently announced that it would increase prices by 10 to 20 cents.
Mr Foo said some coffeeshops are already calling it quits.
He said: "The operators under our association are asking me, 'Chairman, can you help us look for people to take over our shops?' There are many such voices out there."
- CNA/xq
- wong chee tat :)
By Khoo Fang Xuan
POSTED: 07 Aug 2013 11:37 PM
Business appears to be getting tougher for coffeeshops in Singapore. An association representing the shops said rising operation and labour costs are to blame.
SINGAPORE: Business appears to be getting tougher for coffeeshops in Singapore. An association representing the shops said rising operation and labour costs are to blame.
Thomas Foo, chairman of Kheng Keow Coffee Merchants Restaurant and Bar Owners Association, said: "Prices of sugar, coffee powder have been increasing. As for labour cost, it is the increase in levies.
"It is rather difficult to ask operators not to raise prices. A few big coffee joints are already doing so, and the smaller coffeeshops are watching."
In June, coffeeshop chain S11 increased its drink prices by 10 cents across all its 15 outlets.
Ya Kun also recently announced that it would increase prices by 10 to 20 cents.
Mr Foo said some coffeeshops are already calling it quits.
He said: "The operators under our association are asking me, 'Chairman, can you help us look for people to take over our shops?' There are many such voices out there."
- CNA/xq
- wong chee tat :)
HDB COV dips to lowest level in 2.5 years
HDB COV dips to lowest level in 2.5 years
POSTED: 07 Aug 2013 12:39 PM
UPDATED: 07 Aug 2013 11:08 PM
The overall cash premium, or Cash-Over-Valuation (COV), that buyers pay for HDB resale flats has dropped to its lowest level in about two and a half years.
SINGAPORE: The overall cash premium, or Cash-Over-Valuation (COV), that buyers pay for HDB resale flats has dropped to its lowest level in about two and a half years, according to data from major property agencies compiled by the Singapore Real Estate Exchange (SRX)
Overall, HDB COV in July dropped S$4,000 from June to reach S$20,000 -- the lowest level since January 2011.
It is also down sharply from the peak of S$35,000 recorded in January this year.
SRX said overall COV has dropped by 43 per cent year-to-date.
This comes on the back of a 0.5-per-cent dip in overall HDB resale prices, the third consecutive monthly decline.
Christine Li, head of research & consultancy at property consultancy firm OrangeTee, said: "The drop in COV is expected.
"After the government imposed the mortgage servicing ratio on HDB loans, we do see some buyers staying away from the bigger HDB flats because their loan quantum is affected. As a result, that will affect their ability to pay high COVs."
SRX said HDB resale volume remained relatively flat in July compared to June, with about 1,270 resale transactions recorded.
Year-on-year, July's resale volume represented a 36-per-cent drop from the same period in 2012.
An estimated 1,760 HDB flats were rented in July, up by 13 per cent from June. The number also exceeded the 1,632 HDB rental transactions in July last year.
Meanwhile, resale prices of non-landed private homes rose marginally by 0.1 per cent in July, compared to the 0.8-per-cent increase in June.
This was led by the 1.2-per-cent price gain seen in the city fringes.
Resale prices of non-landed private homes in the city region fell 0.5 per cent, while those in the suburban areas slipped 0.4 per cent.
An estimated 670 non-landed private homes were transacted in July, compared to 640 units in June.
Eugene Lim, key executive officer at ERA, said: "In the city fringe there are no new projects being launched. The buyers in the city fringe areas are actually investors looking to pick up buys for investment purposes. So naturally you see an upward movement of prices. The reason why suburban prices have fallen is that majority of the new launches in suburban areas. So these new launches are drawing the bulk of the buyers to buy from new launches."
Market watchers said the central bank's latest curbs on housing loans is likely to dampen demand for private properties in the months ahead.
Overall, rental prices for non-landed private residential in July inched upwards by 0.2 per cent from June, reversing the decline seen in the past three months.
Rental prices in the city region gained 1.4 per cent, while rentals in the city fringes fell 0.9 per cent and suburban region declined 0.4 per cent.
- CNA/jc/fa/xq
- wong chee tat :)
POSTED: 07 Aug 2013 12:39 PM
UPDATED: 07 Aug 2013 11:08 PM
The overall cash premium, or Cash-Over-Valuation (COV), that buyers pay for HDB resale flats has dropped to its lowest level in about two and a half years.
SINGAPORE: The overall cash premium, or Cash-Over-Valuation (COV), that buyers pay for HDB resale flats has dropped to its lowest level in about two and a half years, according to data from major property agencies compiled by the Singapore Real Estate Exchange (SRX)
Overall, HDB COV in July dropped S$4,000 from June to reach S$20,000 -- the lowest level since January 2011.
It is also down sharply from the peak of S$35,000 recorded in January this year.
SRX said overall COV has dropped by 43 per cent year-to-date.
This comes on the back of a 0.5-per-cent dip in overall HDB resale prices, the third consecutive monthly decline.
Christine Li, head of research & consultancy at property consultancy firm OrangeTee, said: "The drop in COV is expected.
"After the government imposed the mortgage servicing ratio on HDB loans, we do see some buyers staying away from the bigger HDB flats because their loan quantum is affected. As a result, that will affect their ability to pay high COVs."
SRX said HDB resale volume remained relatively flat in July compared to June, with about 1,270 resale transactions recorded.
Year-on-year, July's resale volume represented a 36-per-cent drop from the same period in 2012.
An estimated 1,760 HDB flats were rented in July, up by 13 per cent from June. The number also exceeded the 1,632 HDB rental transactions in July last year.
Meanwhile, resale prices of non-landed private homes rose marginally by 0.1 per cent in July, compared to the 0.8-per-cent increase in June.
This was led by the 1.2-per-cent price gain seen in the city fringes.
Resale prices of non-landed private homes in the city region fell 0.5 per cent, while those in the suburban areas slipped 0.4 per cent.
An estimated 670 non-landed private homes were transacted in July, compared to 640 units in June.
Eugene Lim, key executive officer at ERA, said: "In the city fringe there are no new projects being launched. The buyers in the city fringe areas are actually investors looking to pick up buys for investment purposes. So naturally you see an upward movement of prices. The reason why suburban prices have fallen is that majority of the new launches in suburban areas. So these new launches are drawing the bulk of the buyers to buy from new launches."
Market watchers said the central bank's latest curbs on housing loans is likely to dampen demand for private properties in the months ahead.
Overall, rental prices for non-landed private residential in July inched upwards by 0.2 per cent from June, reversing the decline seen in the past three months.
Rental prices in the city region gained 1.4 per cent, while rentals in the city fringes fell 0.9 per cent and suburban region declined 0.4 per cent.
- CNA/jc/fa/xq
- wong chee tat :)
SLA takes steps to recover losses from S$12.5m fraud case
SLA takes steps to recover losses from S$12.5m fraud case
By Leong Wai Kit
POSTED: 06 Aug 2013 11:11 PM
The Singapore Land Authority has taken steps to recover some of the losses and damage it suffered after two of its ex-staff members cheated it of S$12.5 million.
SINGAPORE: The Singapore Land Authority (SLA) has taken steps to recover some of the losses and damage it suffered after two of its ex-staff members cheated it of S$12.5 million.
The High Court heard on Tuesday that SLA had entered into a consent judgement with the wife of one of the ex-staff members, Koh Seah Wee.
This means SLA can recover half the proceeds from the sale of a property jointly owned by Ms Yeing Nyok Sea and Koh.
The other half of the proceeds would go to Ms Yeing.
SLA's lawyers said the couple's East Coast Avenue property will be sold in the open market at the "best possible price".
In addition, as part of the consent judgement, certain items seized by the Commercial Affairs Department during its investigations will be turned over to SLA.
The items include luxury-brand watches and a bag.
Koh Seah Wee, SLA's former technology and infrastructure department deputy director, was given 22 years' jail in November 2011.
His accomplice Lim Chai Meng, an ex-manager at SLA was given 15 years' jail.
The two rendered bogus invoices through various IT firms for fake maintenance services and goods that were never needed or delivered between November 2007 and March 2010.
- CNA/fa
- wong chee tat :)
By Leong Wai Kit
POSTED: 06 Aug 2013 11:11 PM
The Singapore Land Authority has taken steps to recover some of the losses and damage it suffered after two of its ex-staff members cheated it of S$12.5 million.
SINGAPORE: The Singapore Land Authority (SLA) has taken steps to recover some of the losses and damage it suffered after two of its ex-staff members cheated it of S$12.5 million.
The High Court heard on Tuesday that SLA had entered into a consent judgement with the wife of one of the ex-staff members, Koh Seah Wee.
This means SLA can recover half the proceeds from the sale of a property jointly owned by Ms Yeing Nyok Sea and Koh.
The other half of the proceeds would go to Ms Yeing.
SLA's lawyers said the couple's East Coast Avenue property will be sold in the open market at the "best possible price".
In addition, as part of the consent judgement, certain items seized by the Commercial Affairs Department during its investigations will be turned over to SLA.
The items include luxury-brand watches and a bag.
Koh Seah Wee, SLA's former technology and infrastructure department deputy director, was given 22 years' jail in November 2011.
His accomplice Lim Chai Meng, an ex-manager at SLA was given 15 years' jail.
The two rendered bogus invoices through various IT firms for fake maintenance services and goods that were never needed or delivered between November 2007 and March 2010.
- CNA/fa
- wong chee tat :)
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