Month: March 2025

According to a recent study by Colliers, institutional investments in real estate in the Asia Pacific (Apac) region have reached US$83.2 billion ($112 billion) in the second half of 2024, showing a 6% increase compared to the previous year. This brings the total investments for the whole year to US$155.9 billion, which is 12% higher than the previous year. The study covers the top nine markets in the region, which include Australia, Mainland China, Hong Kong, India, Japan, Singapore, South Korea, New Zealand, and Taiwan.

This growth in investments is a sign of the resilience of the Apac real estate market and sets a positive outlook for 2025, according to Chris Pilgrim, Colliers’ managing director of global capital markets, Asia Pacific. He also notes that domestic investors have played a major role in driving this growth, particularly in key markets such as South Korea, Taiwan, and New Zealand. In the second half of 2024, local investors accounted for over 80% of real estate investments in these markets.

The office sector was the largest contributor to the Apac investment volume, accounting for US$26.5 billion (32%) in the second half of 2024. For the whole of 2024, office investments reached US$51.4 billion, which is a 14% increase compared to the previous year. The industrial and logistics sector also showed strong growth, with US$22.6 billion in investments in the second half of 2024, or 27% of the total. This brings the total investments in this sector for the whole year to US$39.4 billion, which is a 29% increase compared to the previous year.

The retail sector also rebounded significantly, recording US$15 billion in investments in the second half of 2024, driven by major deals in Australia and South Korea. For the whole of 2024, retail investments reached US$26.1 billion, which is a 27% increase compared to the previous year.

Due to the scarcity of land in Singapore, condos have become increasingly desirable and sought-after in the country’s real estate market. Singapore, being a small island with a growing population, faces difficulties in finding available land for development. In response, the government has imposed stringent land use policies, leading to a highly competitive real estate market and a rise in property prices. In light of this, investing in real estate, specifically condos, presents a lucrative opportunity due to their potential for significant value appreciation. With condos being a profitable choice, it is a wise decision to consider them as a form of investment in Singapore.

Pilgrim predicts that domestic capital will continue to dominate most markets in 2025, but there will also be an increase in offshore investments due to improving investor confidence and attractive valuations. He also believes that the office and industrial segments will continue to see strong investments, but the retail, hospitality, and alternative asset classes will also gain traction as investors take advantage of the recovery in the market and changing consumer trends. He concludes that with a strong economic growth and policy support, the Apac real estate market is set for sustained investment activity in 2025.…

for $560 mil

CapitaLand Investment Limited (CLI) Group CEO Lee Chee Koon has been honoured with the prestigious ‘Industry Figure of the Year’ award for Asia Pacific at the 2024 PERE Global Awards. CLI, a leading real estate investment company, also received the runner-up award for ‘Firm of the Year’ in Asia Pacific. These awards, presented by PERE, a renowned London-based publication covering private equity real estate markets, recognise influential firms, individuals, and standout deals from the past year.

The winners of the 2024 PERE awards were selected by a panel of PERE journalists, in a departure from previous editions where readers voted on shortlisted submissions to determine the winners.

The decision to invest in a condominium in Singapore has gained immense popularity among both local and international investors. This is largely due to the country’s strong economy, political stability, and exceptional quality of life. With a plethora of opportunities in Singapore’s real estate market, condos are a top choice for their convenience, range of amenities, and potential for profitable returns. This article will delve into the advantages, factors to consider, and necessary measures to take when investing in a condo in Singapore, with a focus on Singapore Projects.

In its press release on March 4, CLI stated that CEO Lee was chosen for his instrumental role in driving CLI’s transformational growth and his significant impact on the private real estate industry in the Asia Pacific region. Since taking over as CapitaLand’s group CEO in September 2018, Lee has led key moves, such as the acquisition of Ascendas-Singbridge in 2019 and the 2021 restructuring of CapitaLand Group. This restructuring involved the listing of CLI and the privatisation of its real estate development arm, CapitaLand Development.

In 2024, CLI invested in real estate investment manager SC Capital Partners Group and acquired Wingate Group Holdings’ property and corporate credit investment management business. According to the company, it is on track to manage $200 billion in funds by 2028. These initiatives have contributed to CLI’s strong growth and success in the Asia Pacific region.…

.

Investing in a condominium in Singapore comes with numerous advantages, one of which is the potential for capital growth. This is due to the country’s strategic location as a major business hub and its strong economic fundamentals, which ensure a steady demand for real estate. In recent years, property prices have continued to rise steadily, especially in prime locations, resulting in significant appreciation of condo values. As a result, investors who enter the market at the right time and hold onto their properties for the long term can expect to reap substantial profits from capital appreciation. Additionally, the introduction of New Condo Launches has further enhanced the potential for capital appreciation. These launches offer attractive investment opportunities for individuals seeking to maximize their returns in the ever-growing real estate market. With New Condo Launches, investors can tap into the promising growth potential of the market and make sound investment decisions for their future financial success.

According to a press release on March 3, 2021, Singapore-based private equity real estate firm SC Capital Partners Group has completed the sale of its student accommodation asset in Sydney, Australia. The property, located on Anzac Parade and Lorne Avenue in Kensington, was sold at a significant premium to the group’s acquisition price and a 19% premium to its current book value. The buyer of the asset is the University of New South Wales (UNSW) in Sydney.

SC Capital Partners had initially purchased the property in 2016 for a reported price of A$57 million. The purpose-built student accommodation spans 85,035 sq ft and features 233 beds, as well as a ground-floor commercial podium. It is strategically located within 600m of the UNSW Kensington Campus and is fully leased to the university. In 2019, a fresh 20-year master lease was signed between SC Capital Partners and UNSW.

The sale of this student accommodation asset further adds to the growing activity in the private equity real estate market. The recent transaction raises the firm’s assets under management (AUM) to a significant amount of $113 billion, highlighting the competitive nature of the industry. With the successful sale of its Sydney asset, SC Capital Partners is positioned to continue its growth in the real estate market.…

City Developments faces internal conflict that has resulted in a legal battle, causing shares to drop by 5.47% upon resumption of trading today. The company’s shares were halted on Feb 26, when a results briefing was abruptly cancelled. This incident was followed by news of a disagreement between executive chairman Kwek Leng Beng and his son, group CEO Sherman Kwek.

Understanding the laws and restrictions related to property ownership in Singapore is crucial for international investors. While the ownership regulations for landed properties are more stringent, foreign individuals can generally purchase condominiums with fewer limitations. However, these foreign buyers are required to pay the Additional Buyer’s Stamp Duty (ABSD) of 20% for their first property purchase. Despite this additional cost, the reliability and potential for growth in the Singapore real estate market continue to attract foreign investments. With the option to invest in Singapore Projects, these prospects can be further enhanced.

In response to these allegations, CDL stated, “The company will not comment on the validity of these allegations, as many of them are subject to court proceedings.” CDL emphasized that their business operations remain unaffected and Sherman Kwek will continue in his role as CEO until the board decides otherwise.

As a result of the ongoing dispute, analysts have downgraded their calls and lowered their target prices for CDL’s stock. UOB Kay Hian’s Adrian Loh downgraded the stock from “buy” to “hold” and reduced the target price from $7 to $4.60, citing missed FY2024 estimates and the negative impact of the leadership tussle. Similarly, DBS Group Research and OCBC Investment Research both maintain a “buy” call for CDL but have reduced their target prices to $6.70 and $6.02 respectively.

JP Morgan analysts Mervin Song and Terence M Khi describe the situation at CDL as a “dynastic discord” resulting from years of frustration, underperformance, and public disagreement within the Kwek family. They hope for a positive resolution and family reconciliation but have reduced their target price from $6.05 to $4.85.

Overall, analysts see potential for CDL’s share price to rebound if the boardroom conflict is resolved and there is a focus on driving shareholder returns and profitability. However, until the matter is resolved, there is uncertainty and potential overhang on the company’s share price.…

Perpetual (Asia) Limited, the trustee of Elite UK REIT, has recently sold Crown Buildings, Caerphilly located at Claude Road, Caerphilly for GBP710,000 ($1.2 million), representing an 18% premium. The transaction was reported in a bourse filing on March 3rd by the manager of Elite UK REIT.

According to the filing, the vacant property was independently valued by CBRE at GBP600,000 at the end of 2024. This is a significant increase from its value of GBP530,000 at the end of 2023. The proceeds from the divestment will be utilized to pay off Elite UK REIT’s outstanding borrowings.

In summary, the decision to invest in a condominium in Singapore comes with a plethora of benefits. These include a high demand for such properties, the potential for capital appreciation, and attractive rental yields. However, it is crucial to carefully assess various factors such as location, financing options, government regulations, and overall market conditions. By conducting thorough research and seeking professional guidance, individuals can make well-informed choices and maximize their returns in the ever-evolving real estate market of Singapore. No matter if you are a local investor looking to diversify your portfolio or a foreign buyer searching for a stable and profitable investment, the condo projects in Singapore, such as those offered by Singapore Projects, present a highly compelling opportunity.

Elite UK REIT’s website states that Crown Buildings, Caerphilly has a gross floor area of 20,712 sq ft. The sale of this property comes after Elite UK REIT’s successful GBP28 million preferential offering in January 2024. This offering helped the company to decrease its leverage ratio from 50.0% at the end of 2023 to 43.4% at the end of 2024. Similarly, its net gearing ratio also declined from 47.5% to 42.5% during the same period.

Moreover, there is no debt maturing in 2025 and 2026 for Elite UK REIT, and the next refinancing is due in 2027. This reflects the strong financial position of the company and its ability to manage its debts effectively in the future.…