In today’s roundup of regional news headlines, a Singaporean property firm acquires a block of shophouses along Jalan Besar, China reportedly instructs state banks to boost funding to the real estate sector, and Blackstone partners with Indian firms on an upcoming mega REIT.
Singapore-based 8M Real Estate is buying an island block of five adjoining conserved shophouses along Jalan Besar for S$40 million ($27.9 million).
The 3-storey properties, located within the Little India Conservation Area, are on 6,584 square feet of land with 999-year leasehold tenure from October 1926. Standing at the corner of Jalan Besar and Veerasamy Road, the shophouses are fully leased to retail and office tenants. Read more>>
China’s financial regulators told the nation’s biggest state-owned banks to extend at least RMB 600 billion ($84.3 billion) in net financing to the embattled property sector in the final four months of the year, according to people familiar with the matter.
The People’s Bank of China and the China Banking and Insurance Regulatory Commission recently told the six largest banks, including ICBC and China Construction Bank, to each offer at least RMB 100 billion in financing support in any form, including mortgages, loans to developers and purchases of their bonds, said the people, who asked not to be identified discussing a private matter. Read more>>
US-based fund house Blackstone and its partners — Pune-based Panchshil Realty and Bengaluru-based Salarpuria Sattva — are looking to float a mega REIT and list it in India.
Sources familiar with the developments said the partners plan to bring 45 million square feet (over 4.1 million square metres) into the REIT, making it the largest in Asia in terms of area, and raise between INR 7,000 crore and 8,000 crore ($860 million and $983 million) through a public issue. Read more>>
Singaporean sovereign wealth fund GIC is on the hunt for property deals and corporate partners across Japan as the falling yen and border reopening trigger a rush of tourists and deals.
Hotels, resorts and ryokan in key cities including Tokyo and Okinawa are among the types of properties being evaluated, head of global investment and portfolio strategy Goh Chin Kiong said in an interview. Read more>>
Tighter limits on property loans announced by the Singapore government on Thursday will shrink homebuyers’ purchasing power and pinch on affordability, market analysts observed.
The shift could feed into greater demand for smaller flats — specifically resale four-room Housing Development Board flats — while also leading to higher rental rates and a slowdown in demand for private property. Read more>>
Shares of Singapore developers pared some losses on Friday after taking a hit in the morning, following the Thursday-night announcement of cooling measures.
The measures include raising the medium-term interest rate floor by half a percentage point to 4 percent. The so-called “stress test” rate is used by banks to compute a borrower’s loan eligibility amount to fulfil the total debt servicing ratio limit of 55 percent. Read more>>
Keppel Corporation has folded one of its subsidiaries into itself and transferred ownership of one of its data centres.
This week the company announced it was acquiring Juventas DC Pte Ltd from Causeway DC Pte Ltd for $25.4 million. JPL has now become a wholly owned subsidiary of Keppel Corp. Read more>>
Malaysia’s Lee family are looking to seize control of their diversified hotel and resort group Mulpha and have quietly lobbed a takeover bid for the global investment and development giant.
The 1980s business tycoon Lee Ming Tee has joined with his scions in a bid to acquire the remaining 49.98 percent of the Malaysian-listed company, which has a market value of about MYR 709.49 million ($153 million) and controls hotels in Sydney and London. Read more>>