In our latest roundup of regional news headlines, Singapore property giant CapitaLand reports an eye-watering loss for the second half and full year of 2020, Wharf Holdings plans to lease out a posh property on Hong Kong’s Peak, and co-working evangelist Adam Neumann is reportedly close to a settlement in his legal battle with WeWork’s owner, SoftBank.
Hefty revaluation losses and impairments dragged CapitaLand into its first full-year net loss in almost two decades.
These non-cash items, which largely stemmed from extraordinary events relating to the coronavirus pandemic, also led to the property behemoth falling into the red for the second half of 2020 with a net loss of S$1.67 billion ($1.26 billion), versus a net profit of S$1.26 billion a year ago. Read more>>
Wharf Holdings is planning to lease out one of its properties in Hong Kong’s exclusive housing neighbourhood on The Peak by tender, which could fetch more than HK$1 million ($129,000) in monthly rent based on indicative market rates.
The 10,804 square foot (1,004 square metre) house on 11 Plantation Road, one of the seven homes sharing the same address, requires potential tenants to lodge a HK$1 million deposit, according to the bidding terms. The tender was to close at 6pm local time on Wednesday. Read more>>
WeWork co-founder and former CEO Adam Neumann is nearing a settlement in a legal battle with SoftBank, WeWork’s owner, that could include a nearly $500 million cut in his previously planned payout.
The deal would put an end to a bitter legal battle between Neumann and SoftBank, which saved WeWork from bankruptcy in 2019 when the office group’s IPO plans crumbled. Read more>>
Keppel Land and the Singapore Business Federation have entered into a strategic partnership agreement as part of the Global [email protected] initiative. Under the partnership, SBF members and Singapore companies referred by [email protected] will be able to access Keppel Land’s Kloud serviced co-offices.
Kloud is Keppel Land’s co-working brand, which offers flexible and additional spaces for existing tenants and new businesses. It also provides customised solutions such as hot desks, meeting facilities and secretarial support services. In Singapore, Kloud is opening a new co-working centre that occupies over 17,000 square feet (1,579 square metres) on the eighth floor of Great Eastern Centre. Read more>>
APAC commercial property prices were down about 3 percent on average in 2020, after a 1 percent rise in 2019. But the coronavirus-induced decline has been modest relative to past downturns, suggesting that the impact on banks’ commercial real estate loans will generally be much smaller this time.
Across individual markets, the pandemic’s impact on commercial real estate prices is mixed. Singapore, Japan and Hong Kong have been hit the hardest, whereas South Korea, China and Indonesia have seen modest gains. Meanwhile, Hong Kong’s market is showing signs of a recovery after large price falls in recent years. Read more>>
Mount Anderson, the first new residential property project to be launched in the Year of the Ox, received a lukewarm response from buyers, with just three of 52 flats sold on Tuesday, according to agents.
Some potential buyers are apparently hesitant to take the plunge because of concerns about transport links to the development, which is on the site of a former quarry in eastern Kowloon and currently has no bus services. Read more>>
ARA US Hospitality Trust (ARA H-Trust) posted a net property loss of $3 million and no distributable income for the second half ended 31 December 2020 after taking fixed costs into consideration.
This came as the COVID-19 pandemic “adversely impacted” the stapled group’s portfolio performance, with a significant drop in hotel occupancies and temporary hotel closures resulting in significant declines in revenue, the manager said on Wednesday in a bourse filing. Read more>>
The manager of Cromwell European Real Estate Investment Trust (Cromwell E-REIT) on Wednesday proposed a private placement of between 200 million and 209.3 million new units, at an issue price of 43 to 45 euro cents per new unit, to raise at least €90 million ($109.4 million) in gross proceeds.
In its filing, the manager said the issue price range represents a discount of between 6.6 percent and 1.8 percent to the volume-weighted average price of 48.2 euro cents per unit for trades done for the preceding market day on 23 February up to the time the placement agreement was signed on 24 February. Read more>>
HSBC announced plans to slash office space by 40 percent, as it was revealed that the banking giant’s profits have fallen by a third.
As part of a push towards more home working beyond the COVID lockdown, the British multinational says it plans to axe office buildings as leases come to an end. But the bank’s branches will stay, say bosses. HSBC’s headquarters in London’s Canary Wharf will also remain, despite previous talk of a move to Hong Kong. Read more>>