Market News

30 Jul 2018

Daintree Residence sells 50 out of 80 units in weekend launch

DEVELOPER SP Setia moved 50 of the 80 apartments launched at Daintree Residence over the weekend, in the private property market's first new launch since the latest cooling measures kicked in earlier this month. The first phase of the 327-unit Daintree's launch achieved an average selling price of $1,710 per sq ft (psf), the developer told The Business Times on Sunday, with two-bedders making up the bulk of apartments sold, followed by three-bedroom homes. Neo Keng Hoe, general manager for SP Setia, called the 63 per cent take-up rate "very encouraging", adding: "We are looking at releasing over a few phases for the balance units, in view of the higher launch prices that are anticipated for the other developments along the Downtown Line." The price tag at Daintree was slightly under the S$1,800 psf that Mr Neo quoted ahead of the launch. But that's not to say that the developer is holding a fire sale. Next-door neighbour The Creek @ Bukit sold out for less last year, at S$1,630 psf. Malaysia's SP Setia snagged the Toh Tuck Road site in a government tender last year at S$265 million, or S$939 psf per plot ratio. The decision to hold back the rest of the units could reflect the expectation that rivals will go in with higher prices, as the nearby Goodluck Garden condominium was sold en bloc at S$1,210 psf in March. Tricia Song, head of research for Singapore at Colliers International, noted in response to second-quarter private home price data last week that "we believe price expectations will be tempered by the cooling measures and unlikely to rise in the near term". But she added that Daintree and other non-core central region launches "are arguably in less competitive locations and developers feel confident of the pent-up demand". Speaking on Daintree's launch figures, ZACD Group executive director Nicholas Mak told BT over the phone: "In light of the cooling measures, I think this was within expectations." A surprise round of property cooling measures took effect on July 6, with tightened loan-to-value limits and additional buyer's stamp duty hikes. But sales have not been shabby since, said Mr Mak. He pointed to Logan Property and Nanshan Group's Stirling Residences, which sold 50 units at S$1,800 psf the weekend after the measures kicked in. SP Setia's Mr Neo said that future phases of Daintree sales should still garner a keen market: "Many discussions with buyers are still ongoing, indicating good interest in this location, near Beauty World MRT station, which has not seen a condominium launch in the recent few years." Nine in 10 of Daintree buyers were Singaporeans, with the rest a mix of permanent residents and foreigners. Source from The Business Times 30 Jul 2018  

30 Jul 2018

Fragrant Gardens at Upper Paya Lebar on en bloc sale for S$65m

FRAGRANT Gardens off Upper Paya Lebar Road has just put itself on the market for a collective sale with a reserve price of S$65 million. This translates to a land rate of approximately S$1,204 per square foor per plot ratio (psf ppr), said marketing agent Knight Frank. With no development charge payable, and with the inclusion of a 10 per cent bonus balcony gross floor area, the land rate works out to approximately S$1,094 psf ppr, subject to authorities’ approval. Located off Upper Paya Lebar Road, the 37-unit freehold development occupies a 38,576 sq ft plot. With a gross plot ratio of 1.4 and a maximum gross floor area (GFA) of approximately 54,005 sq ft, the site can be redeveloped for 71 new units averaging 70 sq metres (753.5 sq ft) each. The Land Transport Authority has confirmed that a pre-application feasibility study on traffic impact will not be required for the site, said Knight Frank. Fragrant Gardens is surrounded by landed homes and condominiums, with Paya Lebar Methodist Girls’ Primary and Maris Stella High School within a kilometre of the development. It is also two bus stops away from Nex and Serangoon MRT.  “The reserve price for Fragrant Gardens is very competitive compared to the transaction of Sun Rosier at S$1,325 psf ppr (S$271 million). Despite recent government cooling measures, the price quantum of S$65 million is a palatable, low-risk acquisition to mid-sized developers," said Ian Loh, executive director and head of investment and capital markets, Knight Frank Singapore. Coupled with no possible risk of development charge movements, we believe the site could attract developers with lower risk appetites looking for redevelopment opportunities,” he said. Source from The Business Times 30 Jul 2018

26 Jul 2018

Anchorvale EC site triggered for launch

A 99-year leasehold site for executive condominium (EC) housing development at Anchorvale Crescent has been triggered for launch from the reserve list of the Government Land Sales (GLS) programme. This follows a successful application by an unnamed developer to bid at least $255 million for the site at tender. This works out to nearly $461 per square foot per plot ratio (psf ppr). The 1.71ha site can be developed into a maximum of 550 residential units. ECs are a public-private housing hybrid. "As the minimum price committed by the developer is acceptable to the Government, the site will be released for sale by public tender," the Housing Board (HDB), acting as state land sales agent for this site, said in a statement yesterday evening. The Anchorvale Crescent site is near Cheng Lim LRT station and Sengkang MRT station. It is also close to amenities such as Sengkang General Hospital, Sengkang Community Club and Compass One Mall. HDB will launch the public tender for the site in about three weeks. The tender period for the land parcel will be about five weeks. The land parcel was first made available for sale on the reserve list of the first half 2018 GLS programme on June 28. A site on the reserve list is triggered for launch if a developer's indicated minimum price in its application is acceptable to the state or there is sufficient market interest in the site. Under the procedures for the reserve list system, the state then makes public the minimum price committed for the site by the successful applicant but does not reveal the identity of the applicant. ZACD Group executive director Nicholas Mak noted that the Anchorvale Crescent site was made available for application only about a month ago. He said: "A developer has successfully applied to the Government to have this site launched for sale by tender while it is still fresh on the shelf. This could indicate that some developers think that in the light of the latest government intervention in the property market on July 5, EC units will probably still enjoy strong demand." He also noted that as buyers of new EC units are not allowed to own any other residential properties, they will not be subject to the Additional Buyer's Stamp Duty. "Furthermore, due to the strong buying demand and shortage of EC units in the past year, an EC project may be considered a "safer bet" than private housing among some developers," Mr Mak added. Huttons Asia head of research Lee Sze Teck said: "The trigger price of $461 psf ppr for the Anchorvale Crescent site speaks volumes of developers' confidence in the EC market." As at the end of last month, only 45 EC units remained unsold in launched projects, he added. Mr Mak expects the tender for the Anchorvale Crescent site to draw 11 to 18 bids with the highest bid coming in at $257 million to $305 million (about $465 psf ppr to $551 psf ppr). "Due to the limited supply of EC sites and recent brisk sales at Rivercove Residences, which was the latest EC project launch, this tender could draw strong interest from many developers," he added. Source from The Straits Times 26 July 2018

26 Jul 2018

Sengkang EC site triggered for public tender

AMID the crunch of executive condo (EC) units, a site in Sengkang designated for this public-private hybrid housing type has been triggered for launch from the reserve list of the Government Land Sales (GLS) programme. This follows a successful application by an unnamed developer to bid at least S$255 million or S$460.80 per square foot per plot ratio (psf ppr) at tender for the 1.71 ha site along Anchorvale Crescent near Cheng Lim LRT Station and Sengkang MRT Station. Some property consultants expect robust demand for the site at the public tender, notwithstanding the recent cooling measures unveiled on July 5. They highlighted that no additional buyer's stamp duty is payable by purchasers of new EC units since they are not allowed to own any other residential properties. Moreover, demand for new EC units has been strong over the past year. ECs cater to the sandwiched class of home buyers - households whose monthly incomes are too high to qualify them to buy a new public housing flat but who find a private home purchase out of reach. The Housing & Development Board, acting as the state land sales agent for the Anchorvale Crescent site, said on Wednesday evening that it will launch the public tender for the land parcel in about three weeks. The tender period for the land parcel will be about five weeks. The land parcel was first made available for application on the reserve list of the first-half 2018 GLS Programme on June 28 this year. ZACD Group executive director Nicholas Mak predicts that the Anchorvale Crescent plot could attract 11 to 18 bids at tender, with the highest bid coming in at S$257 million to S$305 million (about S$465 psf ppr to S$551 psf ppr). Huttons Asia's head of research Lee Sze Teck expects eight to 12 bids for the site, with the highest offer likely to be around S$470-520 psf ppr. The last EC tender closing was in February this year, for a plot along Sumang Walk in the Punggol area which drew 17 bids; the winning bid was S$583 psf ppr - a record for EC land. The Sumang Walk site was the only EC site offered in the GLS Programme for the whole of 2017. At the time, analysts said that they expected the project on the site to go on the market in second-half 2019 at an average price of at least S$1,100 psf. This would surpass the record price for a new EC launch, of an average S$965 psf, for Rivercove Residences in Sengkang. The project was launched in April and achieved brisk sales. Mr Mak noted that the Anchorvale Crescent site was made available for application only about a month ago.  "A developer has successfully applied to the government to have this site launched for sale by tender while it is still fresh on the shelf. This could indicate that some developers think that in light of the latest government intervention in the property market on July 5, EC units will probably still enjoy strong demand." "Due to the strong buying demand and shortage of EC units  in the past year, an EC project may be considered to be a 'safer bet' than private housing among some developers. Moreover, owing to the limited supply of EC sites and brisk sales at Rivercove Residences, this tender could draw strong interest from many developers," he added. Mr Lee of Huttons, however, said that while demand for the Anchorvale Crescent plot is likely to be robust, the number of bids and the winning bid will probably come in lower than that for the Sumang Walk tender. "Some developers may want to take a wait-and-see attitude after the cooling measures. This is the first site to be triggered from the GLS reserve list after the cooling measures." Two more EC sites are on offer this year. One is a plot near Canberra MRT Station in the Sembawang area. The tender for the site was launched last month and is due to close in September. In October, an EC site in Tampines is slated to be launched. Both plots are on the confirmed list, where sites are launched according to schedule, regardless of market demand. Reserve list sites, on the other hand, are launched for tender only upon successful application by a developer, with an undertaking of a minimum bid price that is acceptable to the state. The Anchorvale Crescent EC site is close to amenities such as Sengkang General Hospital, Sengkang Community Hospital, Sengkang Community Club and Compass One Mall. The authorities have stipulated a maximum of 550 residential units for this site. Source from The Business Times 26 July 2018

25 Jul 2018

En bloc hopefuls extend tender closing dates

WITH no successful collective sale deals since the latest cooling measures took effect on July 6, some projects that have already launched their tenders are extending their deadlines. The tender for Horizon Towers, launched on July 5 at a reserve price of S$1.1 billion, will now close on Sept 12 instead of the previously announced Aug 7. Marketing agent JLL said in a statement on Tuesday: "The decision was made following feedback from developers that they remain interested in the prime site, but would now require more time to observe and re-assess the market going forward, re-evaluate the project in the light of these new measures and monitor the sales of new projects." Including an estimated lease top-up premium of around S$220 million for the 99-year leasehold site, the land rate works out to S$1,786 psf ppr inclusive of the 10 per cent bonus balcony space. The cooling measures include 5 per cent non-remissible additional buyers' stamp duty (ABSD) for developers when they buy residential properties for development, a 10 percentage point increase in the remissible ABSD to 25 per cent for entities, as well as tightened loan-to-value (LTV) limits. Tan Hong Boon, regional director of capital markets at JLL, said it is still "cautiously optimistic." "Even if we take the impact into account, we think our pricing is still reasonable." He believes a developer can still sell out the estimated 500 to 600 units that could be built within the five year deadline. Lakeside Apartments, with a S$240 million reserve price, has also extended its tender closing date to Aug 21, from July 24 previously. "Everyone is trying to rework their numbers and seeing how things go in the government land sales (GLS) market or new launches market," said SLP International's division director Kevin Lim. "Once the tender closes, you'll hit the 10 week private treaty period, so there's no need to rush into it," he added. Dalvey Court, with a reserve price of S$160 million, has also extended its tender closing from Aug 2 to Aug 30, to "allow potential purchasers sufficient time to conduct their due diligence in light of the latest property measures," said Christina Sim, director of capital markets at Cushman & Wakefield. Huttons Asia's head of investment sales Terence Lian said it might also consider extending the deadline of some other ongoing tenders, such as that of Fortune Park. Casa Sophia's marketing agent ERA Realty said that "our response is healthy, so we will not be extending" the deadline. Meanwhile, various billion-dollar en bloc hopefuls - like Ivory Heights and Pine Grove - continue to collect signatures, inching closer to the 80 per cent mandate as they approach the 12-month deadline. SLP's Mr Lim said that while some are concerned about both cooling measures and questions about the fallout from any delay in the High Speed Rail, other owners still want a shot at selling their homes "since they have come so far" in the collective sale process. SLP is the marketing agent for Ivory Heights. The project in Jurong East has attained approvals from 74 per cent of owners. Pine Grove is at 77 per cent, and Huttons' Mr Lian said a circular was recently sent out to ask for more signatures. Kensington Park is at 70 per cent. "(Developers) are still enquiring about sites, but they are very mindful of land rates and if it is too large a site, it may not be appealing to them," he said. "For billion-dollar sites, I believe that developers will be more likely to just take on one or two." He expects to launch Pine Grove for sale, should it reach its required mandate, with a longer tender period, and after the development charge (DC) rate review is announced in September to give more certainty for developers. Over 50 per cent of owners at Mandarin Gardens have signed the collective sale agreement. C&H Properties key executive officer Nelson Lim said: "The en bloc seems to be still alive, but... the momentum is a bit weaker." He said that while owners are still expressing interest and signing up, some are worried about the cost of replacement homes. Meanwhile, Laguna Park is at 76 per cent signatures, while Braddell View, marketed by Colliers International, has achieved over 75 per cent signatures. "The signing of the CSA (collective sale agreement) continues, albeit at a slower pace as is the case with most collective sales which are in the process of garnering the last 5 per cent of consensus," said Tang Wei Leng, Colliers' managing director. According to Norman Ho, partner at Rajah & Tann, a hypothetical site sold at S$1 billion would come with a non-remissible upfront ABSD of S$50 million, buyer's stamp duty of about 4 per cent to be paid within 14 days from the date of the award, and S$250 million remissible ABSD. "The developer purchaser will definitely be extremely cautious in their bids for large sites as failure to sell all units (even a few units left unsold) within the 5 years would require them to pay the 25 per cent ABSD together with the interest," he said. "This will further "eat up" their profitability when there is now another 5 per cent upfront payment of the non-remissible ABSD." Tricia Song, head of research for Singapore for Colliers, said: "It will become more challenging to market mega sites valued over S$1 billion after the new cooling measures kicked in on July 06... We do not think it is necessarily 'game over' for billion-dollar sites - much will depend on the locational attributes and the supply pipeline within their immediate surroundings." Nicholas Mak, executive director of ZACD Group, said that when DC rates are reviewed, a potential increase in such rates could be "a bit of a double whammy" for "a certain number of sites," but not those that do not have any development charges payable to begin with. Source from The Business Times 25 Jul 2018

16 Jul 2018

Latest curbs could see developers lower prices up to 10%

DEVELOPERS may trim prices of new launches by as much as 10 per cent from their earlier indications in response to the latest round of property cooling measures, with high-end homes likely to see bigger adjustments, analysts say. In downgrading their stock ratings across several developers, some have started pricing in a 5-10 per cent reduction in average selling prices (ASP) in their forecasts, though they note that it is too early for any developer to consider writedowns on their projects yet. Maybank Kim Eng property analyst Derrick Heng, who has priced in a 5-10 per cent ASP reduction in his projections, said: "While we expect a moderation in EBIT (earnings before interest and tax) margins to single digits for most projects, we do not see any developer losing money." DBS Bank analyst Derek Tan felt that developers would have to revise their prices by at least 5 per cent, if not more, to account for both the higher additional buyer's stamp duty (ABSD) and the lower loan-to-value (LTV) limits.       Potential write-offs to land values on developers' balance sheets is not a near-term risk for now, but "could emerge a couple of years later if sales momentum falters", said Mr Tan. For now, DBS Group Research has cut its primary home sales forecast for this year by 25-30 per cent to 9,000-10,000 units, as investors are likely to stay out of the market post-cooling measures. Deutsche Bank also trimmed its estimates on developers' ASPs by 5-7 per cent and transaction volumes by 10-30 per cent to 10,000-13,000 units for 2018 and 2019 in a recent report. Lowered ASP forecasts for upcoming launches is one thing. Whether there will be a real drop from current transacted prices - which would be reflected in the official price index tracking all private residential transactions - is another thing. Most property consultants do not see that happening yet, though they have narrowed their growth forecasts for the price index to 8-12 per cent this year, from the previous 8-20 per cent. Prices have already risen 7.4 per cent in the first two quarters this year. However, consultants are less sanguine on sale volumes, with current estimates in the range of 6,000-9,000 units, from the previous 8,000-12,600 units. Developers sold some 3,434 private homes in the first five months of this year, after selling 10,566 units for the whole of last year. Experts had earlier predicted higher sales in the months thereafter with more launches scheduled for the second-half of the year. But in a surprise move to cool the residential market, the government raised the ABSD rates for most categories of buyers - except for Singaporeans and permanent residents buying their first residential property. It also tightened the loan-to-value limits for all housing loans granted by financial institutions, with effect from July 6. The tough measures affect almost all categories of buyers; even Singaporean first-timers have to fork out 25 per cent more in cash due to the reduced amounts they can borrow. So far, there have not been huge discounts from developers yet, though "price discounts" of 3-7 per cent from earlier price lists have been touted for certain projects. OrangeTee & Tie research head Christine Sun felt that this trend may continue as many developers have deep pockets and strong holding power. JLL national research director Ong Teck Hui posits the ASPs for mass-market new launches will be "2-5 per cent less aggressive than originally intended", with the adjustments likely higher for high-end homes. Some developers, who declined to be named, felt that trimming prices by 5-10 per cent would be plausible for projects with sufficient margin buffers, but not for those on land bought at costlier rates. Savills Singapore senior director Alan Cheong said: "Given that the cost of production is high due to the land cost element, there is little room for many to manoeuvre on the selling price front. Hence, any adjustments will at best be marginal or nothing at all." Concurring, Alice Tan, Knight Frank director for residential project marketing, noted that the margin buffer for developers to trim ASPs will get narrower for upcoming launches where land prices are higher, and amid a climate of rising interest rates. Tricia Song, who heads research at Colliers International Singapore, said for already launched projects, they are unlikely to show a downward trend in actual transacted prices. Among listed developers, City Developments Ltd (CDL) and Oxley Holdings are most exposed to the Singapore residential market, each with over 3,000 unsold units in launched projects and landbank. Based on effective stakes, CDL remains most exposed with over 2,600 units left in its residential inventory here; Oxley has over 1,900 units; and UOL Group has over 2,000. Going by gross development value (GDV), CDL probably still ranks the highest due to its higher-end projects. Based on DBS' estimates, the total unsold inventory (launched and unlaunched projects) could be worth up to S$6 billion. "City Developments could delay launches, and adopt a wait-and-see stance given that it has the firepower to ride out the headwinds. "However, margins for projects at Handy Road, Sumang Walk and the former Amber Park could be affected," said DBS Bank analysts Rachel Tan and Derek Tan in a recent note. Equity analysts have wasted no time in the past two weeks downgrading their ratings on developers on account of their Singapore residential exposure. Maybank Kim Eng changed its call on Oxley Holdings, Bukit Sembawang Estates, CDL and GuocoLand to "hold" from "buy" with lowered target stock prices to factor in bigger trading discounts to adjusted RNAV (revalued net asset value). DBS Group Research downgraded its ratings for CDL, Roxy-Pacific, Chip Eng Seng and agency business APAC Realty to "fully-valued" from "buy", and cut its rating on UOL Group from "buy" to "hold". Maybank's Mr Heng said: "We lower our RNAV for developers by 0.2-4.8 per cent and net profits by up to 16 per cent. We make the biggest cut to Bukit Sembawang's RNAV, reflecting its pure residential exposure. Earnings for Oxley Holdings have been cut the most with its elevated financial leverage magnifying the impact on its bottom line." Over the years, however, Singapore-listed developers have become highly diversified by geography and asset class. For CDL, which does not disclose GDV of projects, its Singapore residential exposure is estimated to be 23.9 per cent of total RNAV based on Deutsche's estimate, and 37.8 per cent based on DBS' estimate. Oxley's disclosures last week showed that its asset value exposure to the Singapore residential market makes up 20.6 per cent of total outstanding gross development value of projects globally. Notwithstanding the tightening of cooling measures, Oxley is still expecting 12-19 per cent net margins for its upcoming launches, after adjusting its price expectations for certain projects. Source from The Business Times 16 Jul 2018

10 Jul 2018

What cooling measures? Weekend buyers still flocking to showflats

DESPITE surprise cooling measures that took effect on Friday, sales at three mass-market properties here continued to garner what experts considered a fair amount of interest over the weekend. The number of units moved at Park Colonial, Riverfront Residences and Stirling Residences was significantly lower than the more than 1,000 units sold on Thursday, when the projects were launched in knee-jerk reaction to the announced changes to the additional buyer's stamp duty (ABSD) and loan-to-value (LTV) limits. But some observers reported weekend crowds at the showflats. Lee Sze Teck, Huttons Asia's head of research, said: "Enquiries on projects were still streaming in and agents were bringing invites to the showflats." Park Colonial, jointly developed by Chip Eng Seng's property arm CEL Development, Heeton Holdings and KSH Holdings, moved 50 units over the weekend. It has so far sold about 350 units at an average pricing of S$1,700 psf, CEL Development said in response to a media query. Logan Property and Nanshan Group's Stirling Residences also sold around 50 units between last Friday and Monday, at around S$1,800 psf. It is 65 per cent sold for its first phase of 380 units. It had moved close to 200 units on Thursday. "We are overall pleasantly surprised by the response," Logan Property (Singapore)'s sales and marketing manager Stacy Elvin told The Business Times. "We're confident of our product, given the scarcity of new high-rise projects in District 3." The one-bedders and two-bedders were the most popular, she said. After moving some 510 units at Riverfront Residences on Thursday night, Oxley Holdings has since sold another 65, according to a corporate presentation it posted on Singapore Exchange on Monday. Alan Cheong, head of research and consultancy at Savills Singapore, said the performance of these mass market projects were "reasonable" and reflected "follow-through momentum" after the large amount of buying activity on Thursday. To buyers, prices at the three properties may still be affordable, he said. "You can't really force market psychology down when it is still early days in the market recovery," he said. Mr Lee from Huttons added that a factor could be that the majority of buyers are first-timers who are less affected by the cooling measures, save for the slight reduction in borrowing." Eugene Lim, key executive officer at ERA Realty, said the cooling measures were adjustments "that could slow the market down but it is not a total standstill". Source from The Business Times 10 Jul 2018

09 Jul 2018

Chilling effect on property market as cooling measures hit developers, buyers

THE timing of the additional cooling measures came as a surprise on Thursday, as developers have just loaded up their landbanks over the last 18 months in anticipation of blockbuster sales in the second half of the year and beyond. Private property home prices have only risen 9.1 per cent over four quarters since the start of the recovery in 3Q17. This pales in comparison with the recovery in the previous cycle, when prices rose by 38.2 per cent from 3Q09 to 2Q10. With new cooling measures hurting affordability from first-time buyers to investors, buying demand will take a hit. Primary home transaction volume can take a plunge of easily 30 per cent, as developers will tread cautiously with new launches. Although affordability of the buyers will be impacted, developers are unlikely to slash prices at this juncture, before the dust settles. We could expect a quiet quarter or two ahead with new home sales going back to on average 500 units a month for the rest of the year (with the exception of the month of July as buyers rushed into the three new launches before the new tax rates took effect). In terms of price expectation, although we are only 3.6 per cent below the last peak in 2013, touching those levels would be challenging now given the battered sentiment and wide-ranging impact. Buyers would want to renegotiate the terms because of the higher acquisition costs and lower affordability, but the sellers with deep pockets will not slash prices just yet. With such mismatch in price expectations, the market could come to a standstill over the next couple of months. We expect these additional measures to affect foreigners, Singaporean/Permanent Resident investors and real estate developers the most. ABSD rates have been raised across the board with exceptions for first-time Singaporean and PR buyers. For example, Singaporeans buying a second property worth S$1 million will now have to pay S$120,000 in ABSD, up S$50,000 as compared to S$70,000 previously. Loan-to-value (LTV) rates will also be tightened by five percentage points for all housing loans granted by financial institutions. LTV limits for mortgage equity withdrawal loans have also been tightened. With 15-24 per cent upfront acquisition costs, investors - both domestic and foreign - will take a back seat and reassess the viability of the investment. Entities buying residential properties were the hardest hit, with the ABSD rate increasing 10 percentage points as compared to a rise of five percentage points for retail buyers. Developers now have to pay an additional 5 per cent in non-remissible ABSD. We believe this would have a cooling effect on the en bloc market, as the cost of acquiring land has effectively increased. Furthermore, developers now face higher risks if they are unable to sell all the units within five years of acquiring the land. Developers are likely to take a cautious stance in their bidding for both en bloc sites and GLS sites before the dust settles. Given the further increase in cooling measures in the residential market, the commercial or industrial market could now see renewed interest as investors scour for other opportunities in the market. Commercial rents have performed strongly since 2017, while industrial rents are showing signs of stabilisation. Though this round of cooling measures is quite heavy-handed, the outlook on buying demand remains uncertain, given the firm economic outlook, recovering labour market and strong latent demand for property investment. Source from The Business Times 9 July 2018