Singaporean investors are in the news again today as a pair of corporates from the Lion City buy up an office block in Sydney’s Parramatta district while back at home in the Southeast Asia’s wealthiest city, developers are now required to watch out for money launderers before selling flats. Also in the news today, analysts are pointing to a downturn in mainland commercial property values in 2019, and there’s more to know awaiting you below.
Singaporean groups Tong Eng Group and Roxy-Pacific Holdings have acquired the NSW Aboriginal Land Council’s building in Parramatta for $40.8 million on a 5.3 per cent yield.
Previously known as the Ernst and Young Building, the nine-level B-grade office building spans a 2046sq m site and comprises around 5,247sq m of NLA.
Parramatta’s office market has continued to see strong demand for quality office space amid low vacancy. Read more>>
Singapore-based real estate investment management firm SilkRoad Property Partners has reached the first close of its second pan-Asia value-add fund at $377 million, PERE reported. In June 2016, the firm had achieved the final close of its oversubscribed first real estate fund, SilkRoad Asia Value Partners, at $445.5 million, exceeding the target of $350 million.
The fund was launched in August 2014 and achieved its first close in December 2014 with a total amount of $230 million. The investors in the fund included insurance companies, endowments, pension funds and other top-tier institutional investors from Europe, North America and Asia. Read more>>
The Government has put in place new anti-money laundering and terrorism financing requirements for property developers that will require them to perform due diligence checks on their buyers and flag suspicious activity.
The new rules come after Parliament passed the Developers (Anti-Money Laundering and Terrorism Financing) Bill on Tuesday (Nov 20). Read more>>
FIRST Reit suffered one of the steepest selloffs for a real estate investment trust in recent memory, plunging 16 per cent in just three days, to end at S$0.975 on Tuesday. It was the healthcare Reit’s lowest close since Aug 24, 2012 when it ended at S$0.97.
The counter had fallen steadily, closing at S$1.16 on Thursday, S$1.12 on Friday and S$1.04 on Monday. Yesterday, it fell to an intra-day low at S$0.925 before paring its loss for a 6.25 per cent drop. Read more>>
China’s commercial real estate which has emerged relatively unscathed in the property market slump could be hit further next year as investors and sellers face increasing liquidity pressure to offload their stock, according to investors and analysts.
Prices of these properties, which have been firmly held, were likely to drop because sellers “cannot hang in there longer”, said Zhou Songming, vice-president of EBA Asset Management, the real estate investment arm of financial conglomerate China Everbright. Read more>>
New World China Land has hired banks for a proposed offering of five-year US dollar-denominated fixed or floating rate Green notes off its US$2bn medium term note programme.
HSBC, Mizuho Securities, DBS Bank, Natixis, BNP Paribas and Credit Agricole are joint global coordinators as well as joint bookrunners and joint lead managers with China Construction Bank (Asia), CMB Wing Lung Bank, Bank of Communications, United Overseas Bank, OCBC Bank, Bank of East Asia, UBS, AMTD and Heungkong Securities. Read more>>