Month: December 2024

Next year, there will be three new executive condos (ECs) set to be launched, with the leading project being Sim Lian Group’s Aurelle of Tampines. The development, located at Tampines Street 62, will contain 760 units and is scheduled to debut in the first quarter of 2025, possibly after the Lunar New Year. This launch follows the success of the Emerald of Katong, which has sold over 99% of its 846 units.

Sim Lian Group acquired the site at Tampines Street 62 (Parcel B) for $543.28 million in a government land sales (GLS) tender that ended in October 2023. This translates to a price of $721 per square foot per plot ratio (psf ppr). With the rising costs of construction and the harmonization of gross floor area (GFA) definitions, PropNex CEO Ismail Gafoor expects Aurelle at Tampines to set a new price benchmark and possibly surpass the $1,600 psf mark. This forecast is supported by the success of Novo Place EC, launched in November, which achieved an average price of $1,656 psf.

To explore comprehensive data on all ECs, including the average profit at 5 and 10 years, check out the available information on Ask Buddy.

Aurelle of Tampines, with 760 units, is located at Tampines St 62 (Parcel B), where Sim Lian obtained the land through the GLS process for $543.28 million or $721 psf ppr (Source: EdgeProp Landlens). Situated next to Aurelle is the 618-unit Tenet EC, a joint venture between Qingjian Realty, Santarli Realty, and Heeton Holdings. Since its launch in December 2022, Tenet has sold 617 units at an average price of $1,384 psf, with only one unit remaining as of December 19, 2024.

The site for Tenet, located at Tampines Street 62 (Parcel A), was acquired in August 2021 for $442 million ($659 psf ppr). This set a record as the highest psf ppr price for an EC land parcel at that time. Notably, Tenet was launched before the implementation of the GFA harmonization rule, which applies to GLS sites launched for sale after September 1, 2022.

Tenet now has only one remaining unit as of December 19, 2024, with 617 units sold at an average price of $1,384 psf. The 618-unit EC is located at Tampines St 62 (Parcel A), next to Sim Lian’s upcoming 760-unit Aurelle of Tampines (Photo: Samuel Isaac Chua/EdgeProp Singapore).

Confident in the strong demand for homes in Tampines and the surrounding areas, Sim Lian Group has secured another EC site, winning the tender for the Tampines Street 95 site in early November. The highest bid of $465 million ($768 psf ppr) was submitted by Sim Lian at the close of the tender in October, setting a new record for EC land prices.

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The demand for condos in Singapore remains strong due to the limited availability of land. As a small island nation with a rapidly increasing population, Singapore is faced with a shortage of land for development. As a result, the government has implemented strict land use policies and the real estate market has become fiercely competitive, leading to consistently rising property prices. As a result, investing in real estate, particularly condos, has become a highly profitable opportunity, with the potential for significant capital appreciation. With numerous Singapore Projects in the market, the demand for condos is expected to continue to rise.

The new EC project at Tampines Street 95 is expected to add 560 new units, further increasing the supply of ECs in the area. Sim Lian Group has a strong track record of developments in the eastern part of the island.

Sim Lian submitted the highest bid of $465 million ($768 psf ppr) for the EC site at Tampines St 95, setting a new benchmark in terms of land price per psf ppr for ECs (Source: EdgeProp Landlens).

Apart from the Emerald of Katong and the upcoming EC projects in Tampines, the group also successfully 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 was purchased by Sim Lian for $970 million in 2017. For more information, read our write-up on Novo Place hits 88.1% as 137 units snapped up in second balloting.

Launched in February 2019, the 2,203-unit Treasure at Tampines was sold out within three years at an average price of $1,356 psf. As of December 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.

Sim Lian Group’s private condo, the 2,203-unit Treasure at Tampines, was fully sold and completed in phases in 2023 (Photo: Sim Lian Group website).

Another EC project set to be launched in 2025 is located at Plantation Close in Tengah Town, developed by a joint venture between Hoi Hup Realty and Sunway Developments. They are the same developers of Novo Place EC. During its mid-November launch, Novo Place sold 57% of its units over the opening weekend, with another 137 units taken up in the second round of balloting for second-timers. As of December 16, 2024, a total of 444 units, or 88.1% of the project, had been sold.

Novo Place, with an average price of $1,656 psf, set a new benchmark for EC prices. PropNex’s Gafoor attributes the “slightly elevated average pricing” at Novo Place 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. These include the dwindling inventory of unsold EC units and its favorable location. Situated at Plantation Close in Tengah, Novo Place will benefit from its proximity to the upcoming Tengah Park MRT and Bukit Batok West MRT Stations on the Jurong Region Line, expected to be completed by 2029.

Based on caveats lodged on URA Realis, some of the transactions at Novo Place executive condo have crossed the $1,700 psf mark (Source: EdgeProp Landlens).

The last EC launch in Pasir Ris was in 2013, with Sea Horizon debuting in September at an average price of $800 psf. By 2024, the average resale price for caveats lodged had risen to $1,290 psf, reflecting a 61.25% increase over the past decade. With Pasir Ris not having seen a new EC launch in almost 12 years, there is expected to be a build-up of demand for the upcoming project.

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 (Photo: Google Maps).

Gafoor notes that the three upcoming EC projects – Aurelle of Tampines, the Plantation Close EC, and the Jalan Loyang Besar EC – will add a total of 2,030 units to the market. This represents a doubling in new supply compared to the 1,016 units launched in 2024.

The first EC launch 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 sold. As of December 17, 444 units (87%) had been sold, with an average price of $1,511 psf.

Launched at the end of January, the 512-unit Lumina Grand was over 87% sold at an average price of $1,511 psf as of December 17, 2024 (Picture: CDL).

Gafoor states that ECs, a hybrid of public and private housing, continue to be highly sought after by first-time homebuyers and HDB upgraders, as they are more affordable than private new launches. According to PropNex, 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 December 8, 2024). This represents a 44% premium over new EC launch prices. For information on other upcoming projects, check out the latest listings for Aurelle of Tampines properties on Ask Buddy.…

between storeys Jan 1 and Dec 10, according to caveats lodged with URA as of Dec 17, some of the biggest gains were recorded at Ardmore Park, the luxury condo located in the prime Ardmore-Draycott enclave of District 10. In fact, the development accounted for the first, second, and fourth most profitable condo resale deals of the year.

The top profit was made on a four-bedroom unit on the 26th floor, measuring 2,885 square feet, which sold for $12.9 million ($4,472 psf) on Feb 16. The unit was initially purchased from the developer for $5.83 million ($2,022 psf) in July 1996. This translates to a whopping profit of $7.07 million, equivalent to a 121% gain after holding the property for approximately 27 and a half years.

The second-highest gain was recorded on July 24 when another four-bedroom unit, also measuring 2,885 square feet, sold for $12 million ($4,160 psf). The seller had bought the unit through a sub-sale transaction for $5.2 million ($1,803 psf) in December 2000, resulting in a profit of $6.8 million. This represents a 131% capital gain over a holding period of about 23 and a half years.

The fourth-biggest profit was made on April 22, when another four-bedroom unit measuring 2,885 square feet was sold for $12.5 million ($4,333 psf). The seller had purchased the unit in February 2007 for $6 million ($2,080 psf), resulting in a profit of $6.5 million (108%) after holding the property for over 17 years.

Ardmore Park, a freehold development with 330 units, consistently registers significant gains in its resale transactions. In 2024, three other units, also measuring 2,885 square feet, changed hands, with the sellers making profits of $2.65 million, $3 million, and $3.05 million, respectively. Last year, the development saw four resale transactions, with the sellers making profits ranging from $2.8 million to $8.16 million.

There has been a significant rise in the interest for investing in condos in Singapore, drawing attention from both local and foreign investors. The country’s strong economic growth, stable political climate, and exceptional quality of life make it an appealing choice. The real estate market in Singapore presents a wide range of prospects, but condos stand out for their convenience, amenities, and potential for generating high returns. This article will delve into the advantages, factors to consider, and necessary steps to undertake when investing in a condo in Singapore, including popular projects like Singapore Projects.

Apart from Ardmore Park, the list of top gains in 2024 was dominated by other mature freehold condos in District 10. Beverly Hill, an 86-unit boutique condo on Grange Road completed in 1983, saw the fifth-most profitable sale this year when a four-bedroom unit measuring 3,778 square feet was sold for $9.15 million ($2,422 psf) on July 15. The seller made a profit of $5.47 million (149%) on this deal.

Other freehold condos that recorded top profits this year were Astrid Meadows, a 208-unit development on Coronation Road West; Regency Park, a 292-unit development on Nathan Road; Fontana Heights, a 52-unit development on Mount Sinai Rise; and Wing On Life Garden, an 81-unit development on Bukit Timah Road. These developments, which were completed between 1982 and 1990, are all over 30 years old.

Two of the top 10 gains this year were recorded at older freehold condos in District 9. The third-highest profit came from the sale of a four-bedroom unit measuring 3,434 square feet at Yong An Park on River Valley Road. The unit was sold for $8.6 million ($2,505 psf) on Aug 12, resulting in a profit of $6.72 million. Meanwhile, the sale of a three-bedroom apartment measuring 3,057 square feet at The Ritz-Carlton Residences Singapore Cairnhill made a profit of $4.89 million when it sold for $16.5 million ($5,397 psf) on Jan 9.

In contrast, Sentosa Cove condos accounted for nearly half of the 10 least profitable condo resale transactions this year. The most unprofitable deal was recorded at Marina Collection, a 124-unit condo on Cove Drive, when a five-bedroom duplex penthouse measuring 3,789 square feet was sold for $6.7 million ($1,768 psf) on July 22. The seller had bought the unit in March 2010 for $9.39 million ($2,479 psf), resulting in a loss of $2.69 million (29%).

The second-biggest loss was incurred at Seascape, another Sentosa Cove condo on Cove Way. A four-bedroom unit measuring 2,680 square feet was sold for $4.5 million ($1,679 psf) on Aug 14, resulting in a loss of $2.53 million (36%).…

In the ultra-exclusive world of the extremely wealthy, the market for Good Class Bungalows (GCBs) has seen a significant increase in performance compared to 2023, according to Han Huan Mei, director of research at List Sotheby’s International Realty. As of December 20th, URA Realis records show a total of 22 GCB transactions worth $612.05 million. In addition, there were another 13 GCB deals, valued at over $700 million, which were completed this year without caveats lodged. This brings the total estimated number of 2024 to 35 GCB transactions, which is worth roughly $1.32 billion according to List Sotheby’s estimates, surpassing the previous high of $1.186 billion achieved in 2022. In contrast, there were only 18 GCB transactions in 2023, worth $432.5 million, which is the lowest number recorded since URA Realis began tracking data in January 1995.

When contemplating an investment in a condo, it is crucial to also evaluate its potential rental yield. 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 greatly vary depending on factors such as location, property condition, and market demand. Typically, areas with high rental demand, like Condo near business districts or educational institutions, offer more promising rental yields. It is essential to conduct thorough market research and seek advice from real estate agents to gain valuable insights into the rental potential of a specific condo.

“The additional deals in 2024 show that the GCB market has been more active compared to what official transaction data reveals,” says Han. “It also reinforces the status of GCBs as a highly coveted asset that is constantly sought after by ultra-high-net-worth buyers.”

Top GCB transactions

The top transaction is a GCB at Tanglin Hill which was sold for $93.888 million. The property sits on a freehold plot measuring 15,150 sq ft and has a built-up area of 29,660 sq ft. This transaction set a new record with a land rate of $6,197 psf. The second-largest GCB transaction was the purchase of a property at Bin Tong Park for $84 million by Xiang Yangyang, daughter of Chinese nickel billionaire Xiang Guangda, according to a document search. However, no caveat was lodged for the property. Based on the land area of 28,111 sq ft, the price translates to a land rate of $2,988 psf. The highest-priced deal based on lodged caveats was for a GCB on Cluny Hill, which was sold for $52 million. It sits on a freehold plot measuring 15,141 sq ft and is relatively new, fetching a 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.

Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc (SRI), notes that at least 14 transactions this year were valued at $20 million or more, highlighting the strong demand for ultra-luxury properties in Singapore. According to him, District 10 remains the cornerstone of the GCB market, with 16 transactions taking place in prime areas like Tanglin, Bukit Timah, and Holland Road.

Sustained buying activity

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

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

The Fed implemented three rate cuts this year: the most recent being a 25 basis point (bp) reduction on December 18th, following earlier cuts of 50 bp in September and 25 bp in November. Anecdotally, Tay says most GCB buyers who had been holding back on their purchases began more serious discussions from July onwards, with most deals closing in the last quarter of this year.

The GCB market slowed last year as buyers retreated following the island-wide arrests of suspects in Singapore’s biggest money-laundering case, says Han of List Sotheby’s. “The money laundering crackdown had a dampening effect on the market, causing some genuine buyers to pull back to avoid media attention,” she adds. “Transactions also took longer to close due to heightened scrutiny and stricter checks on buyers’ identities and sources of funds.”

Up-and-coming wealthy take the stage

A new generation of ultra-wealthy Singaporeans has emerged in the GCB market in recent years, with many young and successful entrepreneurs who have made their fortunes in technology, finance, commodities, and F&B businesses, according to Tay. He adds that ultra-wealthy and newly naturalized Singaporeans also contribute to the pool of GCB buyers who prefer sizable plots in prime districts. “However, the number of naturalized citizens buying GCBs still remains low compared to local wealthy individuals,” says Tay.

According to research from List Sotheby’s, the cost of developing a new GCB from the ground up is estimated at about $1,000 psf and takes several years to complete. Hence, most buyers are looking for relatively new bungalows in move-in condition to minimize renovation works, observes Han.

“The GCB market will likely maintain its positive momentum, with demand from ultra-high-net-worth individuals driving its high-value transactions,” says Sandrasegeran of SRI. “The preference for privacy among GCB buyers and sellers could mean continued off-market transactions, adding the complexity of tracking market activity.”…

According to Wong Xian Yang, the head of research for Singapore & Southeast Asia at C&W, the estimated value of capital market property deals in Singapore for January to November this year has reached $25.8 billion. This represents a significant 40.2% increase from last year’s $18.4 billion. C&W defines capital market transactions as deals with a value exceeding $10 million.

Wong further adds that almost 60% of the capital market deals were made in the second half of 2024, driven by growing investor interest and confidence in potential interest rate cuts by the US Treasury. This year saw three deals exceeding $1 billion, all of which were made in the second half of the year.

The highest-value transaction in terms of 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 seller was CapitaLand Investment (CLI). The remaining 50% stake is held by Hong Kong-listed property developer Sun Hung Kai Properties.

ION Orchard is an eight-storey retail mall situated in the heart of the shopping district, with direct access to the Orchard MRT Station. It boasts a net lettable area of about 623,000 sq ft and is home to over 300 international and local brands. On top of the mall is a luxurious 54-storey, 175-unit condo tower, The Orchard Residences.

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Purchasing a condominium in Singapore offers a plethora of advantages, such as a high demand from buyers, the potential for increasing value, and attractive rental rates. However, it is crucial to conscientiously consider several factors, including the location, financing options, government regulations, and the current market conditions. Through thorough research and seeking guidance from experts, investors can make well-informed decisions and maximize their profits in Singapore’s ever-changing real estate industry. Whether you are a local resident looking to expand your investments or an international buyer seeking a stable and profitable opportunity, Singapore Projects present a compelling option. Therefore, now is the perfect time to seize the opportunities of this dynamic real estate market and invest in a condo in Singapore.

The highest-valued office deal of the year was the sale of Mapletree Anson for $775 million in the second quarter of 2024. This surge in investment value can be attributed to a significant increase in investor interest in the industrial sector, which saw investments of up to $5.6 billion in just the first 11 months of 2024. This represents a 174% increase from the previous year.

One of the key industrial deals this year was the $1.6 billion sale of a portfolio of seven industrial properties in Soilbuild Business Space REIT to a joint venture platform owned by private equity firm Warburg Pincus and Australia-listed Lendlease Group in August. This portfolio includes 4.5 million sq ft of business parks and specialist facilities in industries such as life sciences, technology, advanced manufacturing, and logistics.

The second-largest capital market deal of the year was the sale of two data centres to Singapore-listed Keppel DC REIT for $1.38 billion. The two data centres, Keppel DC Singapore 7 and Keppel DC Singapore 8, are fully contracted to cloud services, internet enterprises, and telecommunications providers.

According to Tricia Song, the head of research for Singapore and Southeast Asia at CBRE, investors have been directing their capital towards the industrial sector due to its positive carry amid a high-interest rate environment. However, she expects a moderation in industrial rent growth in 2025, which could impact yields.

Despite the unsuccessful sale of several Government Land Sales (GLS) sites this year, residential development sites sold via GLS tenders continued to form the bulk of total investment sales, making up 42% of the total value. This year, four GLS sites on the Confirmed List for 2024 failed to be awarded due to low bids, driven by site-specific concerns and development risks.

Looking ahead to 2025, both C&W and CBRE expect to see an increase in high-value capital market deals. The US Federal Reserve is expected to cut interest rates further next year, which will likely drive the rebound of capital values. Wong is optimistic that investment sales volumes will continue to increase in 2025 as investors prepare for this potential rebound. However, CBRE cautions that a slower-than-expected recovery is possible if interest rate cuts are lower and slower than market expectations. Barring any macroeconomic shocks, CBRE Research predicts a 10% growth in investment volumes from 2024.…

Singapore’s retail property market is facing some challenges as consumer spending has not been as strong as predicted, according to Alan Cheong, Executive Director of Research and Consultancy at Savills Singapore. He notes that the year-on-year change in the monthly retail sales index (excluding motor vehicles) and food and beverage (F&B) sales index has mostly been negative this year.

Cheong expects prime Orchard Road retail properties to see a 2% increase in rents by the end of the year, slightly below initial expectations of 3% to 5%. Suburban retail rents are expected to remain flat, in line with earlier forecasts.

Consumer concerns about inflation have moderated in recent months, according to research jointly published by DBS and Singapore Management University (SMU). However, consumer spending data from the Singapore Department of Statistics shows a 0.3% year-on-year increase in October, after a decline in September.

Cheong believes that a positive outlook would be one where consumer spending keeps pace with inflation, which is currently not the case. He cautions that this could pose financial challenges for businesses in the industry.

Despite a busy schedule of headline concerts, conferences, and exhibitions in Singapore this year, retail spending and rental rates were not significantly impacted. CBRE’s research showed that while concerts by international stars drew large crowds to nearby malls, other events did not have the same effect. Business events tend to keep attendees within the event venue, while the F1 race did not significantly boost foot traffic in tourist areas like Orchard Road.

However, Sulian Tan-Wijaya, Executive Director of Retail and Lifestyle at Savills Singapore, remains optimistic about Singapore as a regional hub for new-to-market brands. She notes that many new F&B and retail concepts have opened this year, and that the wellness sector is also evolving with new concepts like Rekoop and Hideaway.

All the prime shopping malls along Orchard Road have enjoyed high occupancy rates this year, says Savills’ Cheong, due to strong confidence in the retail market. Tan-Wijaya adds that new-to-market brands have helped support demand for retail spaces and rents in central Singapore.

When investing in property in Singapore, it is crucial for foreign investors to familiarize themselves with the regulations and limitations that govern property ownership in the country. Compared to landed properties, which have stricter ownership guidelines, foreign buyers have more leeway when purchasing condos. However, they must still adhere to the Additional Buyer’s Stamp Duty (ABSD) of 20% on their first property purchase. Despite this extra expense, the stability and potential for growth in the Singapore real estate market remain a strong draw for foreign investors. You can also consider investing in Singapore Condos for a smart investment choice.

With limited supply of new retail spaces next year, landlords may have more flexibility in implementing positive rental adjustments. Savills’ Cheong expects more retailers to optimize their real estate strategies next year, which could include right-sizing their spaces, closing under-performing branches, or shifting cooking operations to central kitchens.

Cheong also sees strong momentum in the entry of new-to-market F&B brands into Singapore, which is expected to continue in the first half of 2025.…

2024 has been a challenging year for the global luxury goods market, as consumers have been cutting back on luxury retail spending due to economic uncertainty and rising prices among brands. A recent report by Bain & Company predicts a 2% decline in global sales of personal luxury goods this year, with China being hit the hardest with a 20-22% drop. Major luxury brands such as Richemont Luxury, LVMH, and Moncler Group have reported slight earnings declines, while Kering saw more significant declines. However, outliers such as Hermes and Prada Group (which also owns Miu Miu) have seen double-digit earnings growth.

Despite these challenges, Singapore remains an important market for luxury brands. According to Euromonitor, sales of luxury goods in Singapore grew by 11% in 2023, reaching $9.1 billion. This is due in part to the efforts of luxury brands such as Dior, Chanel, and Louis Vuitton, who have adopted strong digital strategies, including e-commerce and digital marketing, to engage with customers. This shift towards creating a strong online presence is crucial for luxury brands in a rapidly evolving market, where consumer behaviors, expectations, and preferences are constantly changing.

However, in addition to digital experiences, luxury brands have also recognized the importance of creating offline shopping experiences to build closer connections with customers. In recent years, many luxury brands have embraced the strategy of creating unique experiences for their top-tier clients, with flagship stores becoming bigger and bolder. For example, Louis Vuitton opened a 690 sq m (7,427 sq ft) “apartment concept” space at Ngee Ann City dedicated to its “VICs” (very important clients) in 2023. Other luxury brands such as Burberry, Yves Saint Laurent, and Richard Mille have also opened flagship stores in Singapore, offering immersive and interactive shopping experiences.

Investing in a condominium in Singapore has become an increasingly popular option for both local and foreign investors, thanks to the country’s strong economy, stable political climate, and exceptional quality of life. With a vibrant real estate market boasting an array of opportunities, condominiums are particularly appealing for their convenience, amenities, and potential for lucrative returns. In this article, we will delve into the advantages, important factors to consider, and necessary steps to take when investing in a Singapore condo. Additionally, you may also wish to explore potential investment opportunities in Singapore Projects to further enhance your investment portfolio.

Looking towards the future, the luxury goods market is expected to see growth in 2025 and beyond. This will be driven by factors such as the steady growth of high-net-worth individuals (HNWIs) in emerging markets like China and Southeast Asia, as well as the buying power of Millennials and Gen Z, who will make up a significant portion of the luxury market. The resurgence of tourists from China and the continued growth of duty-free retail, especially in Japan, also contribute to this positive outlook.

To stay ahead of these trends, luxury brands will continue to personalize and customize their offerings to build deeper connections with customers and foster brand loyalty. They will also leverage AI and digital experiences to better understand customer wants and enhance overall shopping experiences. Some brands are already leading the way in this area, with Dior and Balenciaga using AI to gather data and create engaging campaigns. By embracing technology and creating omnichannel strategies that include both online and offline experiences, luxury brands can thrive in an ever-changing market.

In conclusion, while 2024 may have been a tough year for the luxury goods market, the future looks bright for this industry. With a focus on digital innovation, personalized experiences, and offline flagship stores, luxury brands can continue to engage with and capture the interest of their valuable customers.…

The focus on simplicity and quality is at the core of V-ZUG’s approach to product design. Since its establishment in 1913, the Swiss brand has remained faithful to its philosophy of timeless elegance.Having captivated developers and designers of luxury residences for over a century, V-ZUG’s products can now be found in cities around the world, from its home turf in Switzerland to Shanghai, London, and Singapore. The brand’s emphasis on sleek lines unites its range of appliances, setting it apart from its competitors.Committed to blending durability and sleek aesthetics, V-ZUG constantly strives to elevate the tradition and quality of its products with contemporary aspirations. This is achieved through its dedication to craftsmanship and rigorous quality control. Each appliance is handcrafted in Switzerland and undergoes extensive testing to ensure high performance, from ovens and induction cooktops to fabric preservation appliances.Ahead of production, V-ZUG’s design team conducts in-depth research and tailors sustainable practices to create each appliance while maintaining its strict quality standards. For example, the brand recently integrated Circle-Green recycled stainless steel by Outokumpu into its manufacturing process, reducing emissions by 93% compared to traditional stainless steel.To ensure that its appliances meet the needs of even the most discerning home cooks, V-ZUG consults with chefs from Michelin-starred restaurants during the design process. This results in professional-grade kitchen technology that is accessible to passionate home cooks, elevating their daily culinary experience.V-ZUG also places great emphasis on seamlessly integrating its products into every home. Its minimalist design language and range of products cater to the various needs of different households. This is evident in its series of wine cabinets, including the full-height WineCooler V6000 Supreme and the WineCooler Undercounter Swiss Luxury (UCSL). These cabinets come in different sizes to fit various spaces while still maintaining the same level of quality and functionality.V-ZUG’s commitment to consistency is also seen in its design approach, with clean, sleek lines and mirrored glass fronts featured across its range of products. The brand pays attention to even the smallest details, ensuring that elements such as the way a wine cabinet’s doors open and shut and the hues of LED lights on a refrigerator work together to create a harmonious and practical home environment.Beyond the kitchen, V-ZUG also offers innovative products such as the RefreshButler, which sanitizes and deodorizes garments, further showcasing the brand’s commitment to simplicity, quality, and practicality in all aspects of modern living.

Renowned for its strong economy, stable political climate, and exceptional quality of life, Singapore is a highly sought-after destination for both local and foreign investors looking to invest in condos. With a thriving real estate market and a plethora of opportunities available, there is no doubt that condos are a popular and attractive option for investment in this country. In this article, we will explore the benefits of investing in a condo in Singapore, key factors to consider, and the necessary steps to take venturing into this market, including the latest New Condo Launches that can be found at https://www.ginestarfruits.com/.…

Industrial transactions hold steady ahead of expected uptickIndustrial property investment sales up by 4.4% y-o-y in 1H2024Industrial property sales hit 5-yr high of $13.59 bil in 2024The groundbreaking ceremony for VisionPower Semiconductor Manufacturing Company’s (VSMC) new US$7.8 billion ($10.5 billion) wafer manufacturing facility in Tampines took place on Dec 4. The plant is set to start initial production in 2027 and is expected to produce 55,000 wafers per month by 2029, creating around 1,500 job opportunities. VSMC is a joint venture between Vanguard International Semiconductor Corporation from Taiwan and NXP Semiconductors from the Netherlands. But VSMC is not the only company expanding its operations. In March, Japan’s Toppan Holdings started construction on a factory in Jurong Lake District which will manufacture semiconductor packaging materials. It is reported that Toppan is investing an estimated $450 million in this project.VSMC and Toppan are among the chipmakers and other related businesses that are choosing to set up new production plants and research facilities in Singapore to increase their supply chain resilience. Leonard Tay, head of research at Knight Frank Singapore, pointed out that this shows Singapore’s position as a global hub for semiconductor and chip production due to its stability amidst ongoing geopolitical tensions in other parts of the world.Read also: Industrial property in Tampines for sale at $15.9 milAdvertisementAdvertisementDespite the dip in global semiconductor industry in 2023 due to lower demand and increased supply, it has since recovered with a 26% year-on-year increase in revenue for the first three quarters of 2024, according to research by London-based consultancy Omdia. This is a significant reversal from the previous year when revenue fell by 9% year-on-year to USD 544.8 billion for the whole of 2023. This recovery has provided a boost to Singapore’s manufacturing sector which had a lacklustre first half of the year with two consecutive quarters of contraction. However, output in the third quarter of 2024 saw an expansion of 11% year-on-year, led by the electronics cluster, thanks to strong demand for smartphone and PC semiconductor chips, as stated by data from the Ministry of Trade and Industry.Slower growth in rentsThe industrial property market in Singapore has witnessed consistent growth in rents throughout 2024, with an increase in the first three quarters of the year. As of the third quarter of 2024, the JTC All Industrial Rental Index has risen for 16 straight quarters since the third quarter of 2020. However, the momentum has gradually slowed in comparison to the 8.9% rental increase recorded in 2023. On a quarter-on-quarter basis, the index grew by 1.7%, 1%, and 0.3% in the first, second, and third quarters of 2024, respectively. This plateauing of rents shows a growing sense of caution among occupiers amidst the uncertain macroeconomic climate. Data from JTC also showed that rental transaction volumes fluctuated throughout the year, with a 9% year-on-year and a 5% year-on-year decline observed in the first quarter of 2024 and the second quarter of 2024, respectively. Catherine He, Colliers’ head of research for Singapore, said that with capital expenditure and budget constraints, occupiers are taking a more cautious approach, seeing the flexibility to adjust to the ever-changing market conditions as being valuable.Read also: Industrial leasing transactions up 5.8% q-o-q in 3Q2024: Knight FrankAdvertisementOn the other hand, more significant factors such as consolidation in the third-party logistics and e-commerce industries have also played a part in influencing occupier resistance this year. However, the extent to which these factors have impacted the industrial property market has varied across different segments. For instance, the multiple-user factory and warehouse segments have stayed relatively resilient, registering rental growth across the first three quarters of the year supported by stable occupancy rates. On the other hand, the single-user factory segment saw softer demand, resulting in both rents and occupancy rates dropping by 0.3% quarter-on-quarter in the third quarter of 2024, marking the first rental decrease since the third quarter of 2020. Business park rents also saw a dip, falling by 0.2% quarter-on-quarter in the same period, despite a minor boost in occupancy rates. The decrease in rents extended the 0.1% quarter-on-quarter decline registered in the second quarter of 2024.Big-ticket industrial dealsLeasing activity might have been mixed, but the industrial sales market saw many transactions. After a slow start to the year, things picked up in the second quarter of 2024, with several notable deals taking place. Some of these transactions include the sales 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. The market saw a further boost in the third quarter with a joint venture between Warburg Pincus and Lendlease Group acquiring a $1.6 billion portfolio of seven industrial assets from Soilbuild Business Space REIT, which is owned by Soilbuild Group and Blackstone. Other significant deals took place in the fourth quarter of 2024, including ESR-Logos REIT’s purchase of a 51% stake in an industrial site for $428.4 million and Ho Bee Land’s sale of a 49% stake in Elementum, a biomedical sciences development at 1 North Buona Vista Link, to a Brunei sovereign wealth fund for $272 million. These transactions resulted in a sevenfold increase in industrial property sales to $2.45 billion in the third quarter of 2024, according to Alan Cheong, executive director of research and consultancy at Savills Singapore. In a research report in November, Savills attributes the surge in transactions to the improved sentiment following the US Federal Reserve’s decision to cut interest rates in September.Industrial rents, prices are expected to rise in the futureDespite the strong performance in the last quarter of 2024, Cheong views the significant industrial deals of 3Q2024 as an isolated occurrence. He expects to see a couple more significant deals happening in 2025, but the value of each deal may be significantly lower than $1 billion, unlike in the third quarter of 2024.Supply-demand imbalanceAs stated in JTC’s 3Q2024 market report published in October, it is estimated that around 0.2 million sqm of new industrial space will be completed in the last quarter of 2024. Of this supply, 33% is business park space, 31% is single-user factory space, 30% is warehouse space, while the remaining 6% is multiple-user factory space. A further 1.6 million sqm of space is set to be completed in 2025, nearly doubling the average annual new supply of 0.9 million sqm recorded over the past three years. The bulk of the new supply is made up of single-user factory space, which stands at 0.74 million sqm, followed by warehouse space, which is at 0.65 million sqm.The inflow of new supply, together with reduced demand, will probably lead to a supply-demand imbalance in the industrial property market. This will result in slower pre-commitment and occupancy rates at both upcoming and existing developments, points out Catherine He from Colliers.However, demand for multiple-user factories, centrally located food factories, and sought-after locations for logistics space remains strong. Savills is projecting rental growth of up to 3% for multiple-user factories, warehouses, and logistics rentals this year, before tapering down to between 0% and 2% in 2025. In addition, the electronics and advanced manufacturing sectors are also expected to continue performing well and attracting investments. “Should the US Federal Reserve continue to cut lending rates in 2025, this could encourage more companies to deploy capex to pursue growth and expansion,” commented Tricia Song, head of research for Singapore and Southeast Asia at CBRE.Knight Frank’s Tay also has a positive outlook on the semiconductor industry, which he observes will continue to bolster demand for industrial real estate in Singapore. This is supported by increasing electric vehicle demands and advancements in artificial intelligence, which will drive up demand for such products. He also mentions that data centres will be a critical factor in the industrial sector as part of Singapore’s plan to increase its data centre capacity by at least 300 megawatts under the Green Data Centre Roadmap launched in May 2024. On the other hand, business park rents are expected to come under pressure due to companies downsizing their footprints to cut costs or optimise their workspace in response to more flexible working arrangements. Savills has estimated that rents could dip by between 3% and 5% this year. Nevertheless, the demand for modern facilities in central locations is expected to remain strong, providing some support for this market segment.

The scarcity of land in Singapore has resulted in a significant demand for condos, making it a sought-after investment. As a compact island country with a burgeoning population, land availability is limited, leading to stringent land use regulations and a fiercely competitive real estate market. This has resulted in consistently rising property prices, making real estate, especially condos, a profitable venture with the potential for capital growth. As a result, new condo launches are highly anticipated and in high demand.…

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The real estate industry in 2024 experienced two distinct halves that were vastly different from each other. In the first half, the market was slow as boutique developments took center stage and the number of units launched for sale was the lowest since the first half of 1996, according to data from Huttons Data Analytics. Sales volume also mirrored this trend with only 1,889 units sold, the lowest number since 1996. However, one exception was the 533-unit Lentor Mansion, which saw a 75% take-up rate during its launch weekend in March. Despite this, most other project launches in the first half of 2024 saw lackluster sales compared to the previous year.

Mark Yip, CEO of Huttons Asia, notes that the cautious and hesitant market sentiment could be attributed to uncertainties in the job market and persistently high interest rates. Many buyers were holding back, waiting for more highly anticipated project launches later in the year, such as Chuan Park and Emerald of Katong. Interested buyers could search for the latest new launches to find out the transaction prices and available units.

However, Yip adds that 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 a strong sales momentum following the Lunar Seventh Month. This trend continued with the launch of the 158-unit 8@BT at Bukit Timah Link over the weekend of September 21-22, where 53% of the units were sold at an average price of $2,719 psf.

In the third quarter of 2024, the new home sales saw a 60% increase compared to the previous quarter, according to Huttons. This marked a shift in sentiment, which some attribute to the 50-basis point interest rate cut by the US Federal Reserve in September. This increased sales momentum was evident on October 5, when more than 50% of the 226 units at Meyer Blue were sold in private sales. These units were transacted at an average price of $3,260 psf, setting a new benchmark for the prime District 15 enclave on the East Coast.

A crucial aspect to be taken into account when considering a condo investment in Singapore is the government’s property cooling measures. In recent years, the Singaporean government has implemented various measures to control speculative purchasing and maintain a steady real estate market. These measures include the Additional Buyer’s Stamp Duty (ABSD), which imposes higher taxes on foreign buyers and those acquiring multiple properties. While these measures may have an impact on the immediate profitability of condo investments, they also contribute to the long-term stability of the market, creating a safer investment environment. Condos are particularly affected by these measures, making it essential for potential investors to carefully consider the government’s regulations before making a decision.

Another significant project that achieved multiple milestones was the 348-unit Norwood Grand in Woodlands. Over the weekend of October 19-20, it saw a take-up rate of 84%, making it the best-selling project in terms of percentage of sales 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. This project was also the first new private residential project launched in Woodlands in 12 years, indicating growing buyer confidence and demand, according to Huttons’ Yip. This success triggered a wave of activity in November, with a record-breaking six new projects comprising 3,551 units launched in just 10 days.

The flurry of activity began on November 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 November 9. The momentum continued with the launch of the 916-unit Chuan Park on November 10, and it peaked over the weekend of November 15-16 with three projects launched simultaneously: the 846-unit Emerald of Katong, the 552-unit Nava Grove, and the 504-unit Novo Place executive condo (EC). This surge in activity resulted in developer sales soaring to 2,557 units in November, the highest figure since March 2013. The strong performance in November 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 indicates the strength and resilience of the property market and the enduring appeal of property as an asset for wealth creation and preservation.

According to Chia Siew Chuin, JLL’s head of residential research, the sluggish performance of the private residential market in the first three quarters of 2024 created an atypical year-end scenario. Developers who had postponed launches due to economic uncertainties and hopes for improved conditions finally rolled out projects in November. This decisive shift from caution to action was prompted by the approaching year-end festive lull and improved market sentiment since the third quarter of 2024. This surge in activity has turned November into an unusually vibrant period for property launches, defying the typical seasonal slowdown and creating a dynamic market environment.

There is speculation about the possibility of further property cooling measures, given the uncharacteristically high sales in November. However, Chia notes that while the sales figures are impressive, they do not provide a complete picture for predicting cooling measures. The market enthusiasm was mainly due to a year-end rush to launch projects. Chia considers regulatory intervention unlikely unless there is sustained sales momentum into the first quarter of 2025 and a concurrent sharp increase in property prices that outpaces GDP growth. She adds that, despite close monitoring by authorities, new measures are likely to remain on hold unless clear signs of persistent market overheating emerge.…