Shophouses in Singapore’s Bugis Area Selling for $55M and More Asia Real Estate Headlines

Three adjoining shophouses in Singapore’s Bugis area are being sold for a total of S$72 million ($55 million), with that story leading today’s headline roundup. In other news, Tokyo Metro has raised ¥348.6 billion ($2.3 billion) in Japan’s largest initial public offering in six years and China has begun enforcing a long-overlooked tax on overseas investment gains by the country’s ultra-rich.

Three Adjoining Shophouses in Singapore’s Bugis Area Sell for $55M

Three adjoining shophouses along North Bridge Road opposite Bugis Junction are being sold for a total of S$72 million ($55 million).

The buyer is understood to be an affiliate of Clifton Partners, a Singapore-based real estate investment management company specialising in conservation shophouses. Read more>>

Tokyo Metro Raises $2.3B in Japan’s Biggest IPO in 6 Years

Tokyo Metro has raised ¥348.6 billion ($2.3 billion) in Japan’s largest initial public offering in six years after pricing its shares at the top of its provisional range, a regulatory filing from the company showed on Tuesday.

The IPO was more than 15 times oversubscribed, said two sources familiar with the matter, as many investors were drawn by a household name and the firm’s attractive dividend yield. Read more>>

CDL Hospitality Trust to Acquire UK Hotel for $25.2M

CDL Hospitality Trust has entered into an asset and business purchase agreement with Hotel Exe Limited, Plaza Properties (Holdings) and Plaza Retail (Holdings), to acquire Hotel Indigo Exeter and two retail units, according to an October 15 release.

Under the agreement, the proposed acquisition, which has a purchase consideration of GBP19.4 million ($25.2 million), is expected to be fully funded through debt. Read more>>

China Moves to Tax Ultra-Rich for Overseas Investment Gains

China has begun enforcing a long-overlooked tax on overseas investment gains by the country’s ultra-rich, according to people familiar with the matter.

Some wealthy individuals in major Chinese cities were told in recent months to conduct self-assessments or summoned by tax authorities for meetings to evaluate potential payments, including those in arrears from past years, said the people, asking not to be identified discussing a private matter. Read more>>

Hong Kong’s Chinachem Prices Kowloon Flats at 2016 Levels as Rebound Proves Elusive

Chinachem Group is pricing some of its new flats at the Echo House residential project in Cheung Sha Wan at an eight-year low to attract buyers, suggesting recent government support measures have not been enough to engineer a housing market recovery.

The private developer will sell 50 of the 198 units there at HK$14,888 ($1,917) per square foot on average after discounts, according to director of sales Helen Fung. That is the lowest in the district since Henderson Land sold its Park One project at HK$13,000 ($1,673) per square foot in 2016, according to data compiled by Midland Realty. Read more>>

Chinese Developer Sino-Ocean Expects to Generate $2.8B Cash to Repay Offshore Debt

Chinese property developer Sino-Ocean Group said on Tuesday that its restructuring plan was being implemented in an orderly manner and it expects to generate $2.8 billion in cash over the next decade to repay its new financing instruments.

In July, the state-backed firm had reached an agreement with some of its creditors to restructure its $5.64 billion offshore debt, stating it would repay the existing debt with new loans and notes worth $2.2 billion, convertible bonds or interest-bearing perpetual securities. Read more>>

Cooler Home Prices in Seoul Support Bank of Korea Policy Pivot

Home price gains in Seoul lost momentum, in data consistent with the Bank of Korea’s decision last week to commence a policy pivot.

Growth in prices slowed in September to 0.54 percent from 0.83 percent in August, according to figures released by the Korea Real Estate Board on Tuesday, October 15. It was the first loss of momentum since January. Read more>>

China Housing Minister Plans Briefing After Beijing Vows Support

China’s housing minister will hold a press briefing on October 17, likely providing more details of measures to support the country’s slumping property sector and bolster economic growth.

Minister of Housing and Urban-Rural Development Ni Hong, along with unidentified officials from the People’s Bank of China, Ministry of Finance and the National Financial Regulatory Administration, will join a news conference at 10 am in Beijing, according to the State Council Information Office. The focus will be on promoting what it called the steady and healthy development of the property sector. Read more>>

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