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Weekly News Select
Aug 27, 2021 / Issue 34

Top News for the Week
• Parc Greenwich taps low EC supply in the Seletar neighbourhood
• Five BTO projects face delays, two public projects affected as contractor Greatearth
goes bust
• S'pore's reopening focused on retaining business hub status, valuing public health
stability: Lawrence Wong
• PM Lee's National Day Rally to address uplifting people's income, fair hiring, says
Lawrence Wong
• Singapore core inflation rises for 6th month, expected to increase gradually in coming
quarters
• Singapore manufacturing to grow more slowly as chip supply crunch kicks in
• Shophouse transactions hit $1 billion for year to date, surpassing levels in 2019 and
2020

Residential
Parc Greenwich taps low EC supply in the Seletar neighbourhood
Executive condo (EC) Parc Greenwich will open for e-application on Aug 26, with sales bookings
to start on Sept 11. The EC is developed by Singapore-listed Frasers Property and CSC Land Group
in an 80:20 joint venture.
Parc Greenwich is located at the corner of Sengkang West and Yio Chu Kang Roads, with an
entrance from Fernvale Lane. The 99-year leasehold residential development is just across the road
from Greenwich V, with amenities such as Cold Storage supermarket, 7-Eleven, cafes such as
Awfully Chocolate, Bakery Cuisine and Cedele’s as well as Chinese enrichment centre Hua
Language Centre and Anytime Fitness gym.
Adjacent to Parc Greenwich is an upcoming public park, and in future, there will be a side gate for
residents to enter the park directly. The project sits on a 184,385 sq ft, 99-year leasehold site and
contains nine 14-storey condominium blocks with a total of 496 units. Typical units are a mix of
two- to five-bedroom apartments, with sizes ranging from 786 to 1,464 sq ft.
Parc Greenwich is near the Seletar Regional Centre that will see the phased development of
Sengkang West Industrial Park and the expansion of the nearby Seletar Aerospace Park, according
to Elson Poo, senior vice-president of marketing at Frasers Property. It is also in the vicinity of the
North Coast Innovation Corridor and the upcoming Punggol Digital District. “All this means that
future residents of Parc Greenwich will be able to live close to these employment nodes in the
northeast region under the URA Master Plan,” he adds.
Parc Greenwich is designed to appeal to HDB upgraders and first-time buyers. Three-bedroom
apartments account for 69% of the units at Parc Greenwich. They are predominantly three-
bedroom premium units of 1,001 sq ft (180 units) and three-bedroom-plus-study of 1,066 sq ft
(115 units). Another 48 units are three-bedroom apartments of 958 to 980 sq ft.
According to Lee Sze Teck, Huttons’ head of research, the Seletar/Yio Chu Kang area (District
28) and Ang Mo Kio/Bishan (District 20) in the northeast region have the lowest supply of ECs.

Weekly News Select
                                                                                                Aug 27, 2021 / Issue 34

“With the monthly household income ceiling raised to $16,000 for EC ownership in 2019, the pool
of buyers is now enlarged,” he says.
ECs will be privatised 10 years after completion, which means they can trade in the secondary
market like other 99-year leasehold private condos and is open to foreign buyers. Buyers are also
subjected to the mortgage servicing ratio (MSR), which is pegged at 30% of the monthly household
income, which is more stringent than the total debt servicing ratio (TDSR) of 60% for private
property. “Still, ECs are a compelling product because in 10 years’ time, they will be privatised
and buyers have the opportunity to own a private condo while getting in at a lower price,” says
Huttons’ Lee. “Like Good Class Bungalows, they are also restricted to Singapore citizens only.”

Link to the story:
https://www.edgeprop.sg/property-news/parc-greenwich-taps-low-ec-supply-seletar-neighbourhood

Five BTO projects face delays, two public projects affected as contractor Greatearth
goes bust
Five ongoing Build-To-Order (BTO) housing projects will be delayed and two public projects face
possible hold-ups as the main contractor for these sites has gone bust.
This will impact more than 2,900 homebuyers across these affected BTO projects: Sky Vista @
Bukit Batok, Senja Heights and Senja Ridges in Bukit Panjang, and Marsiling Grove in
Woodlands. The fifth one is West Coast Parkview in Clementi, located opposite West Coast Park.
This serves as one of the Selective En bloc Redevelopment Scheme (Sers) replacement sites for
residents in Blocks 513 to 520 West Coast Road.
There are a total of 2,982 units in the five projects.
The two affected public projects are the Mandai Crematorium and Columbarium under the
National Environment Agency (NEA) and the Gali Batu bus depot under the Land Transport
Authority.

Links to the story:
https://www.businesstimes.com.sg/real-estate/five-hdb-projects-in-bukit-batok-clementi-bukit-panjang-and-
woodlands-face-further
https://www.straitstimes.com/business/economy/singapore-factory-output-rises-163-in-july-expanding-for-9th-
straight-month

Commercial
IBM's Red Hat tipped to lease almost 60,000 sq ft at CapitaSpring
The office component of integrated development CapitaSpring received Temporary Occupation
Permit (TOP) last week, with about 90 per cent of the 635,000 sq ft net lettable area of office space
in the integrated project either committed or in advanced negotiation, BT understands.
Word on the street is that Red Hat - an IBM subsidiary software company that provides open
software products to enterprises - is expected to lease close to 60,000 sq ft on two and a half floors
at CapitaSpring, which is near Raffles Place MRT station.
Red Hat will be relocating from Axa Tower in Shenton Way, which is slated for redevelopment.
It currently occupies 33,000 sq ft in Axa Tower, which is opposite Tanjong Pagar MRT station.

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
Aug 27, 2021 / Issue 34

BT understands that committed gross effective monthly office rents in the building have risen to
the high-S$12 psf range from mid-S$10 psf in the second half of last year.

Link to the story:
https://www.businesstimes.com.sg/real-estate/ibms-red-hat-tipped-to-lease-almost-60000-sq-ft-at-capitaspring

Lee & Lee moving from Raffles Place to High Street area
Law firm Lee & Lee is relocating from Singapore Land Tower in the Raffles Place financial district
to the former EFG Bank Building at the corner of North Bridge Road and High Street.
Lee & Lee has signed a lease for about 30,000 sq ft on levels four to seven of the nine-storey
building, now known as 25 NorthBridge, with a right of first refusal for more space when available.
The building, which has a total lettable area of 77,835 sq ft, is opposite The Treasury and faces
Parliament House.
Lee & Lee's lease at 25 NorthBridge will be for a period of more than 10 years.

Link to the story:
https://www.businesstimes.com.sg/real-estate/lee-lee-moving-from-raffles-place-to-high-street-area

Verdun House for sale at S$55m reserve price
Verdun House in Farrer Park has been put up for en bloc sale via tender with a reserve price of
S$55 million.
The four-storey freehold building stands at the corner of Verdun Road and Sam Leong Road, some
370 metres away from Farrer Park MRT station.
Spanning 7,300 sq ft, the site is zoned commercial with a gross plot ratio of 4.2 and an allowable
height of up to six storeys. Its reserve price works out to S$1,790 per sq ft on a potential
commercial gross floor area of 30,727 sq ft.
The current tender closes at 2.30 pm Sep 27.

Link to the story:
https://www.businesstimes.com.sg/real-estate/verdun-house-for-sale-at-s55m-reserve-price

Retail
Cold Storage opens flagship outlet at Paragon as part of $40 million revamp
Supermarket chain Cold Storage opened its new flagship outlet, CS Fresh Gold, at Paragon on Aug
25.
The space was previously occupied by another brand under the Cold Storage umbrella, Market
Place, which also had outlets at Tanglin Mall and Raffles City Shopping Centre.
This move is part of a $40 million rebranding exercise that will see a revamp of all 48 Cold Storage
stores by the end of 2022, said DFI Retail Group (DFI), which owns the chain.
The Straits Times understands that all Market Place outlets will be rebranded as CS Fresh, which
provides an upscale shopping experience.
Meanwhile, Cold Storage outlets will continue to operate mostly in the heartland.

Weekly News Select
Aug 27, 2021 / Issue 34

Link to the story:
https://www.straitstimes.com/singapore/consumer/cold-storage-opens-flagship-outlet-at-paragon-as-part-of-40-
million-revamp

Firmus Capital acquires Le Quest Mall in Bukit Batok
Firmus Capital has acquired Le Quest Mall, a single-storey commercial property at Bukit Batok
Street 41. The property is the retail component of private mixed-residential development Le Quest.
The latest acquisition brings Firmus' newly launched Firmus Opportunity Fund VCC's total assets
under management to S$200 million. The fund is Firmus' inaugural Singapore-focused investment
vehicle launched under the Monetary Authority of Singapore's (MAS) variable capital companies
framework.
Le Quest Mall has a gross floor area of 64,584 square feet. Its key tenants include FairPrice Finest,
Koufu, McDonald's, KFC, Pizza Hut and Guardian Pharmacy.

Link to the story:
https://www.businesstimes.com.sg/real-estate/firmus-capital-acquires-le-quest-mall-in-bukit-batok

Selangor Dredging looks to sell conserved freehold building at guide price of S$18.9m
With Jui Residences recently sold out, Malaysian developer Selangor Dredging Berhad (SDB) is
putting a conserved freehold commercial building, which is integrated with the residential
development, up for sale at an indicative price tag of S$18.9 million.
The indicative price of S$18.9 million for the commercial building works out to about S$2,883 psf
based on the strata area of about 6,555 sq ft. The two-storey art deco-styled industrial building has
a 30-metre-long main road frontage, and features a communal roof terrace (not part of the strata
area) with views of the Kallang River. It also offers access to the park connectors along Kallang
River.
The property is fully approved for restaurant use on the ground floor and office use on the second
floor. It is being put up for sale as a whole, under one strata title, SDB said.
The sale is being conducted through an expression of interest exercise, which kicked off in mid
August and will close on Sept 21 at 3pm.

Link to the story:
https://www.businesstimes.com.sg/real-estate/selangor-dredging-looks-to-sell-conserved-freehold-building-at-guide-
price-of-s189m

Government
S'pore's reopening focused on retaining business hub status, valuing public health
stability: Lawrence Wong
Singapore's reopening is aimed at maintaining its status as a business hub and staying connected
to the world, said Finance Minister Lawrence Wong on Aug 20.

Weekly News Select
                                                                                                Aug 27, 2021 / Issue 34

And with an underlying philosophy that values stability and security, the Republic has taken a
more cautious approach thus far, he added in an interview with BBC.
"We remain welcoming to talent, to investments, and we will continue to do so because that's so
essential to Singapore's survival and the ability to thrive as a nation," said Mr Wong. "Being open,
staying open... It's existential for Singapore."
In the interview with BBC's senior journalist Katie Silver on Friday, Mr Wong stressed that
Singapore was "not New York or London" - cities which have chosen to return to business as usual
while putting up with thousands of daily cases.
"As much as we want to resume normal life and we are trying as much as we can to do so, we also
want to ensure that we keep hospitalisation and ICU cases low, that we continue to ensure that our
hospital system is intact, and we get to the end of the pandemic with minimum death and damage
to our society," he said.
Hence, a risk-based approach that calibrates measures according to data, evidence and rigorous
assessments of the global situation, he added.

Links to the story:
https://www.straitstimes.com/singapore/politics/spores-reopening-focused-on-retaining-business-hub-status-valuing-
public-health
https://www.straitstimes.com/singapore/spore-tried-whatever-it-could-to-revive-travel-with-borders-closed-ong-ye-
kung

PM Lee's National Day Rally to address uplifting people's income, fair hiring, says
Lawrence Wong
The National Day Rally is expected to touch on measures that will continue to uplift Singaporeans'
incomes while ensuring there are fair hiring practices, Finance Minister Lawrence Wong has said.
These measures will ensure that both the Singaporean core workforce and foreign professionals
can complement one another, at a time when countries around the world, including Singapore, are
facing "broader adjustments" to their social contract, he said in a televised interview with BBC
senior journalist Katie Silver on Aug 20.

Links to the story:
https://www.businesstimes.com.sg/government-economy/pm-lees-national-day-rally-to-address-uplifting-peoples-
income-fair-hiring-says
https://www.straitstimes.com/singapore/politics/pm-lees-national-day-rally-will-touch-on-lifting-incomes-fair-
hiring-lawrence

Economy
Singapore core inflation rises for 6th month, expected to increase gradually in coming
quarters
Core inflation in Singapore continued its upward trend for the sixth month running in July, on the
back of higher electricity and gas costs.
Core inflation, which excludes accommodation and private road transport costs, rose to 1 per cent
on a year-on-year basis last month, up from 0.6 per cent in June. This was the highest increase

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
Aug 27, 2021 / Issue 34

since June 2019, in part due to low base effects and in line with figures forecast by economists in
a Bloomberg poll.
Meanwhile, overall inflation edged up to 2.5 per cent, from 2.4 per cent in June. This was on
account of the increase in core inflation, higher private transport and accommodation costs, said
the Monetary Authority of Singapore (MAS) and the Ministry of Trade and Industry (MTI), which
released the data on Aug 23.
The increase in overall inflation was due to a pickup in core inflation, as well as higher
accommodation and food prices.
This outweighed the smaller decline in retail cost and other goods, the two agencies said.

Links to the story:
https://www.straitstimes.com/business/economy/singapore-core-inflation-rises-for-6th-month-expected-to-increase-
gradually-in
https://www.businesstimes.com.sg/government-economy/singapore-core-inflation-spikes-to-two-year-peak-in-july-
on-higher-energy-costs

Singapore manufacturing to grow more slowly as chip supply crunch kicks in
Singapore factory output growth slowed in July, with the manufacturing expansion set to moderate
on a cooling global semiconductor boom.
Industrial production rose by a lower-than-expected 16.3 per cent in July, amid the high year-ago
base for the linchpin electronics cluster, said the Economic Development Board (EDB).
Electronics output growth cooled to 1.5 per cent, as semiconductor production fell into "a slight
decline" of 0.4 per cent, after having posted 29.5 per cent growth in the previous month.
Still, economists were confident the overall manufacturing sector will be able to maintain its
momentum.

Links to the story:
https://www.businesstimes.com.sg/government-economy/singapore-manufacturing-to-grow-more-slowly-as-chip-
supply-crunch-kicks-in
https://www.businesstimes.com.sg/government-economy/singapore-manufacturing-to-grow-more-slowly-as-chip-
supply-crunch-kicks-in

Lower-income folk worst hit by S’pore’s Covid-19 circuit breaker: Study
The circuit breaker imposed last year to interrupt the transmission of Covid-19 had an uneven
effect on families, with those earning less than $3,000 a month hit hardest by the economic
shutdown.
A number of them had difficulty paying for daily expenses.
On the other hand, the social consequences of the lockdown were widely felt and had potentially
lasting impact on the well-being of all segments of society here, said researchers, in papers
published by the S. Rajaratnam School of International Studies.
But the survey also found that households earning between $1,000 and $4,000 per month reported
receiving slightly higher levels of support from the Government. About half of households earning
less than $1,000, and more than half of those earning between $1,000 and $3,900 said they received
support.

Weekly News Select
                                                                                                Aug 27, 2021 / Issue 34

They also found that the lockdown caused more anxiety to Malay respondents than Chinese and
Indian respondents. Malay respondents were, on average, more likely to report disruptions to
income. More than a third of them said their ability to pay for living expenses was affected by the
circuit breaker, compared with fewer than three in 10 for all other ethnicities.

Link to the story:
https://www.straitstimes.com/singapore/lower-income-folk-worst-hit-by-spores-covid-19-circuit-breaker-study

PayPal to offer 150 new job openings to Singaporeans and PRs
Fintech company PayPal will offer around 150 new job openings - particularly in product
development - here in the next three years.
These roles are reserved for Singaporeans and permanent residents who have attended training
under the Government's TechSkills Accelerator (TeSa) programme, in line with Singapore's push
to create more opportunities in the burgeoning infocomm and media sector.
New hires can expect to work on projects related to security on PayPal's platform, helping small
and medium businesses digitalise and enhancing the user experience for customers, the company
announced in a joint statement with the Infocomm Media Development Authority (IMDA) on Aug
24.

Link to the story:
https://www.straitstimes.com/singapore/jobs/paypal-to-offer-150-new-job-openings-to-singaporeans-and-prs

Pandemic-hit tourism, lifestyle firms in Singapore still hiring for in-demand digital
skills
Though the pandemic has hit the tourism and lifestyle services sector hard, companies are still
hiring for in-demand digital roles, with new training programmes to cater to demand for such skills.
Since January 2020, 18 more Career Conversion Programmes (CCPs) have been launched for the
sector, in addition to the existing five. These aim to equip workers with the skills to adopt new
technology, as well as digital and technical skills for in-demand roles such as digital strategists
and digital marketing executives.
Mid-career jobseekers could also consider CCPs in areas where companies are still hiring, said
WSG and MOM. These are the CCP for Housekeeping Specialist, CCP for Restaurant Manager
(Value Chain Management), and CCP for Professional Executives (Retail Track).

Links to the story:
https://www.businesstimes.com.sg/government-economy/pandemic-hit-tourism-lifestyle-firms-in-singapore-still-
hiring-for-in-demand
https://www.straitstimes.com/singapore/jobs/career-conversion-schemes-help-over-3000-workers-in-tourism-and-
lifestyle-service

Fall in value of expat pay packages in S'pore in 2020, with reduced benefits and
salaries
Companies in Singapore spent less to employ expatriate middle managers last year, with overall
pay packages marked by reduced benefits and a dip in salaries.

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
Aug 27, 2021 / Issue 34

But cash salaries for expatriates here remain the fifth highest globally, according to a survey
published by data and knowledge provider ECA International on Aug 25.
The average pay package for a mid-level expatriate here last year was US$225,171 (S$305,400),
or around US$7,300 lower than the previous year. That made Singapore the 17th most expensive
location globally for companies to send expatriates to.
Japan overtook Britain to top the list, with an average package of more than US$405,000.

Link to the story:
https://www.straitstimes.com/singapore/jobs/fall-in-value-of-expat-pay-packages-in-spore-in-2020-with-reduced-
benefits-and

Hospitality
230 short-term visitors from Hong Kong, 13 from Macau approved to enter Singapore
More than 200 short-term visitors from Hong Kong and Macau have received approval to fly into
Singapore, after border measures were relaxed for travellers from the two cities.
The Civil Aviation Authority of Singapore (CAAS) on Aug 25 said it had issued 230 air travel
passes for travellers from Hong Kong and 13 passes for visitors from Macau, as at 11.59pm on
Aug 24.
The air travel passes will allow the visitors to enter Singapore from Aug 26. Applications opened
on Aug 19.
Visitors will need to take a Covid-19 polymerase chain reaction (PCR) test on arrival, and can go
about their activities in Singapore if they test negative, instead of having to serve a stay-home
notice.

Link to the story:
https://www.straitstimes.com/singapore/transport/230-short-term-visitors-from-hong-kong-13-from-macau-
approved-to-enter-singapore

Shophouse
Shophouse transactions hit $1 billion for year to date, surpassing levels in 2019 and
2020
Shophouse transactions are hitting new highs, fuelled by the limited stock of conservation
properties, low interest rates and strong demand from local and foreign investors.
Investors, including family offices, high net-worth individuals and boutique real estate funds, are
drawn to commercial shophouses, as they offer capital preservation during economic uncertainty
due to their strong heritage value and limited supply.
Sales hit $1 billion by Aug 5, surpassing the $900 million level reached in 2019 and again in 2020.
While freehold shophouses still accounted for around 80 per cent of transactions in the first half
of this year, leasehold sales volume more than doubled to 25 units from the second half of 2020.
Nearly 57 per cent of shophouses sold in the first half of 2021 were above $5 million, compared
with 42.2 per cent in the second half of 2020.

Weekly News Select
Aug 27, 2021 / Issue 34

The top five deals by price quantum were in Districts 1 and 2. A tenanted three-storey conservation
shophouse at 91 Tanjong Pagar Road sold for more than five times the previous sale price after
being held for about 15 years.

Link to the story:
https://www.straitstimes.com/business/property/shophouse-transactions-hit-1billion-for-year-to-date-surpassing-
levels-in-2019-and

Industrial
Nestle launches regional accelerator to drive development and testing of food tech
ideas
Global food giant Nestle has launched a new regional research and development (R&D)
accelerator to drive innovation in food technology, as part of its upgraded facilities in Singapore.
The accelerator will be a platform for start-ups, students and the company’s employees in the
region to develop and test ideas commercially in under six months, providing access to the
company’s expertise and small- to medium-scale production equipment.
It was unveiled alongside Nestle’s upgraded R&D facilities on Aug 23, which include
experimental kitchens, open working spaces and its research hub. These capabilities will enable
quicker translation of research insights into products, the company said.

Link to the story:
https://www.straitstimes.com/business/companies-markets/nestle-launches-regional-accelerator-to-drive-
development-and-testing-of

Contact:
Lee Sze Teck
Head, Research
(65) 6500 6510
szetecklee@huttonsgroup.com

This document has been prepared by Huttons Asia for general information only. Huttons Asia does not guarantee warrant or represent that the
information contained in this document is correct. Any interested party should undertake their own enquiries as to the accuracy of the information.
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