思想引领

Sectoral performance in real estate is always under the microscope, but it has never been so acutely examined and reported as it has in the past 12 months. As COVID-19 first spread across the Asia Pacific region and then the globe, bringing with it a global recession, investors and occupiers alike sought not only to limit their exposures but also identify opportunities for growth.

Just as we have seen differing performance between commercial real estate sectors, so too have we seen differing performances within the retail sector. In this report, we focus on the upper echelons of retail – the (super) prime retail streets in cities across the region – as well as discuss other relevant aspects within the sector.

本文最初发表于 https://www.cushmanwakefield.com/

资本市场

With economic recovery gaining traction, preliminary real estate investment volume in Singapore increased 3.3% q-o-q to $7.317 bn for Q3 2021.

办公室

In Q3 2021, the Delta variant outbreak prompted a re-tightening of safe management measures. Despite the precarious situation, some positive signs were observed in Q3 2021.

商业园区

The leasing performance of the business park market is divided into two tiers; leasing demand is concentrated within the City Fringe submarket while demand for space in the Rest of Island submarket remains subdued.

零售

Recovery momentum for the retail market continued to be halted by retightened measures. There was recurring pressure on the submarkets that were affected by work-from-home measures and weak travel demand.

住宅

Despite heightened restrictions from end-Jul to mid-Aug 2021, market sentiment was not dampened. New home sales from Jan to Aug 2021 came to 9,265 units, 92.8% of 2020’s volume.

工业的

On the back of improving occupancies and strong leasing activity, landlords’ rental expectations increased. Occupier activity comprised of third-party logistics, food storage and electronics.

本文最初发表于 https://www.cbre.com/

Hong Kong Chief Executive Carrie Lam today (6 October 2021) delivered the final Policy Address of her current term. Her speech included details of a blueprint designed to solve Hong Kong’s long-term housing and land shortage problems along with plans to promote future economic integration with Shenzhen and the Greater Bay Area. No direct initiatives related to commercial real estate were included in this year’s address.

Download the report for the key highlights and implication to real estate market.

本文最初发表于 https://www.cbre.com/

‒ Asia Pacific governments and industry players continue to implement policies and partnerships to revive the travel and tourism industries. 

‒ While the rollout of COVID-19 vaccines is restoring some confidence in travelling and contributing to the gradual easing of travel restrictions in some markets, the situation remains highly uncertain. 

‒ Following a hugely challenging 12 months after the onset of the pandemic, investor sentiment towards hotels has improved in recent months on the back of the vaccine rollout and expectations of economic recovery. 

‒ Regional hotel transaction volume reached US$2.3 billion in Q2 2021, representing a decline of 5.1% q-o-q. Japan, mainland China, Korea and Australia accounted for the bulk of sales volume during the quarter.

本文最初发表于 https://www.cbre.com/

投资 

Major office deals closer to fruition (27 Sep – BT)
According to The Business Times, Hong Kong-based private equity property fund management company Gaw Capital Partners is doing diligence for Twenty Anson at around $2,900 psf on the existing NLA of about 206,200 sq ft; based on this, the deal will be nearly S$600 million. It was reported that JP Morgan has teamed up with Nuveen Real Estate to do exclusive due diligence on One George Street. Assuming the price is S$2,900 psf, the absolute quantum would amount to S$1.29 billion. Meanwhile, a transaction is also said to be brewing for ABI Plaza at 11 Keppel Road. 

Two sites at one-north’s Slim Barracks Rise beat forecasts with 10 bids each (29 Sep – BT, ZB, 30 Sep – ST)
The Urban Redevelopment Authority (URA) closed the tender for two residential with commercial at first storey land sites at Slim Barracks Rise on September 28. Land parcel A, which spans 85,648 sq ft fetched a top bid of S$320.1 million or about S$1245.7 per sq ft per plot ratio (psf ppr). The top bid came from EL Development. Meanwhile, the 63,901-sq ft land parcel B, fetched a top bid of S$162.4 million or S$1,210.1 psf ppr from Gao Xiuhua.

Marina View white site awarded to IOI Properties for S$1,508b (30 Sep – ST)
The site at Marina View is awarded to its sole bidder, a unit of IOI Properties Group, for S$1.508 billion. That works out to a land rate of $1,379 psf per plot ratio (psf ppr). The white site can yield 905 private homes, 21,528 sq ft in gross floor area of commercial space and 540 hotel rooms.

URA launches residential sites at Lentor Hills Road, Jalan Tembusu for tender (1 Oct – BT, ST)
The Urban Redevelopment Authority (URA) has released for sale three residential sites at Lentor Hills Road (Parcels A & B) and Jalan Tembusu under the 2H/2021 government land sales (GLS) programme. The sites at Lentor Hills Road (Parcel A) and Jalan Tembusu are launched for sale under the confirmed list, while the site at Lentor Hills Road (Parcel B) is available for application under the reserve list.The sites at Lentor Hills Road (Parcel A) and Jalan Tembusu can potentially yield 595 and 640 units respectively, while the site at Lentor Hills Road (Parcel B) can yield 265 units.

零售

Turf City tenants granted final 18-month extension until end-2023 (1 Oct – ST)
A final 18-month extension has been granted to tenants at Turf City until December 31, 2023, said the authorities on September 30. According to the Singapore Land Authority (SLA) and URA, development plans for the Turf City site are being studied, with land preparation works scheduled to start after December 31, 2023.

The site currently has 15 tenancies, including retail, food and beverage, and sports and recreation businesses, as well as childcare centres and motor vehicle showrooms. The original tenancies were for periods up till December 31 last year.

工业的

WarnerMedia opens regional hub in Singapore (25 Sep – ST)
Major media company WarnerMedia has opened a regional hub in Singapore and will be launching its premium HBO Max platform in Asia. The new 40,000-sq ft office takes up two floors at Solaris.

Savills in the Press

URA launches residential sites at Lentor Hills Road, Jalan Tembusu for tender (1 Oct – ZB)
Zaobao featured an article on the three residential sites at Lentor Hills Road and Jalan Tembusu released under the 2H/2021 GLS programme.

Savills Singapore executive director Alan Cheong commented that the site at Lentor Hills Road (Parcel A) is likely to attract around eight bids, while the larger site at Jalan Tembusu could receive six bids. If Lentor Hills Road (Parcel B) is triggered, he expects to see around 15 bids with more smaller developers bidding for the site.

本文最初发表于 https://www.savills.com/

The latest Asia-Pacific Property Value Movement Report Autumn 2021 is out now! This report aims to provide asset owners and investors the latest perspectives and insights on the performance of property asset values across Asia Pacific.

Some Key Takeaways from the report:

• Among the 22 markets in Asia-Pacific, 69% of sectors expect values to rise / remain stable in H2 2021.
• The high-tiered Industrial market expected an increase in H2 2021.
• Australia and New Zealand are of the highest proportion of sectors with increasing or stable values in H1 2021.

With capital remained abundant while financing costs across most of the region maintained at or near record lows, we expect asset values to continue holding up, which could firm further as the gathering pace of vaccinations shore up occupier markets in the region.

We hope you find the report of interest and as always, we welcome any enquiries you may have.

本文最初发表于 https://www.knightfrank.com/

OFFICE RENTS BOTTOM OUT IN Q3 2021

Rents and occupancy

• Prime Grade office rents in the Raffles Place / Marina Bay precinct grew for the first time since Q4 2019, with rents rising by 0.2% quarter-on-quarter (q-o-q) to S$9.98 per square foot per month (psf pm). Office rents turned a corner and bottomed out in Q3 2021 as occupancy rates for prime offices in the precinct remained relatively stable, falling marginally by 0.7 percentage points (pp) q-o-q to 93.6%, a slight reversal from the 0.1 pp growth recorded in Q2 2021.
• In tandem with the firm signs of improvement in the office rental market, the volume of pre-termination space available fell 78.9% q-o-q in Q3 2021, declining empathically from the 360,000-sf estimate in Q2 2021 to some 76,000 sf in Q3 2021. The decrease in shadow space was expected as the flight-to-quality continued with corporates taking advantage of the rare opportunity to snap up premium spaces in prime buildings that were normally fully occupied, before rents start to increase significantly.

本文最初发表于 https://www.knightfrank.com/

The Asia Pacific logistics sector has performed resiliently since the onset of the COVID-19 pandemic on the back of accelerating e-commerce penetration, the development of omnichannel retail and the evolution of supply chain strategies for sourcing and inventory locations.

With logistics growth momentum showing no signs of slowing, CBRE recently conducted its first ever Asia Pacific Logistics Occupier Survey to identify the trends set to impact the sector in the coming years and help formulate strategies for occupiers and investors pursuing long-term sustainable growth.

The report identifies occupier optimism towards prospects for business growth; outlines the appropriate strategies for occupiers seeking to optimise their portfolios and operations; and profiles the next generation of logistics facilities. It also analyses the implications and opportunities for occupiers and investors seeking to increase their exposure to Asia Pacific logistics real estate.

本文最初发表于 https://www.cbre.com/

Despite rapid growth in inbound demand in recent years driven by a sharp increase in overseas visitors, Japan’s retail and hotel markets remain overwhelmingly driven by domestic demand.

Therefore, while a recovery in inbound tourism is still some time away, Japan can be said to have rapid recovery potential, should domestic demand return.

CBRE believes the return of domestic demand is imminent, with pent-up demand steadily accumulating due to restrained consumption and various benefits and incentives provided by the government. 

This demand is likely to materialise in the form of consumption for higher-end goods and services, trends that auger well for Japan’s retail and hotel sectors, especially the higher-end segments.

本文最初发表于 https://www.cbre.com/

H 1 2021 transaction volumes were close to the six monthly average observed over the past five years

Office and industrial sales lead the New Zealand market The top three largest sales above 100 million were office assets

Vacant land/development sites show a lift in sales volumes

Singapore based investors were the most active of the offshore groups, with a smaller proportion of investment by Malaysian and Australian buyers

Investment activity is dominated by private buyers 52 followed by institutions 34 and syndicates 7 However, privates are net sellers, while institutions and syndicates are net buyers

本文最初发表于 https://www.cbre.com/