Archive for category: Misc

Record-breaking deal: A’van sold for $6.53 milDemand for retail space in Singapore continues to recover in 3Q2023, with Chinese activewear brand Neiwai, Finnish clothing brand Marimekko, French patisserie Cedric Grolet, Swiss brand Clinique La Prairie, international doughnut chain Mister Donut, Australia-based beverage brand Chaffic, Taiwan’s Frozen Heart chain, Filipino avocado dessert chain Avocadoria all debuting in Singapore during the quarter. The URA retail rental index has seen positive growth for two consecutive quarters, with marginal increases of 0.5% q-o-q in 3Q2023 and 0.3% q-o-q in 2Q2023.Occupancy levels increased to 92.8% in 3Q2023, surpassing the pre-pandemic level of 92.5% recorded in 4Q2019. Net demand in the Downtown Core rose by 118,403 sq ft in 3Q2023 with the completion of phase 1 of Guoco Midtown and The M at Beach Road. Islandwide retail vacancy rates also fell 0.3 percentage points q-o-q to 7.2% in 3Q2023, with the vacancy rate in the Central Region dropping to 8.8%.

Tengah Plantation EC is one of the most highly anticipated developments in the area. This residential estate will feature lush greenery, a comprehensive sports and recreational hub, and top-notch amenities. It will provide potential residents with access to an array of modern facilities that cater to their needs. The development will also include a new town centre with shops, restaurants, and public spaces, making it a desirable place to live. With its proximity to existing infrastructure, coupled with the many exciting additions, Tengah Plantation EC is truly set to be a desirable new home.

Demand for retail space in Singapore continues to show signs of recovery in 3Q2023 as several new-to-market international retailers set up shop. Chinese activewear brand Neiwai, Finnish clothing brand Marimekko, French patisserie Cedric Grolet, Swiss brand Clinique La Prairie, international doughnut chain Mister Donut, Australia-based beverage brand Chaffic, Taiwan’s Frozen Heart chain and Filipino avocado dessert chain Avocadoria all debuted this quarter.

The URA retail rental index has been positive for two consecutive quarters, with marginal increases of 0.5% q-o-q in 3Q2023 and 0.3% q-o-q in 2Q2023. Occupancy levels increased to 92.8%, surpassing the pre-pandemic level of 92.5% recorded in 4Q2019. Net demand in the Downtown Core rose by 118,403 sq ft in 3Q2023 with the completion of phase 1 of Guoco Midtown and The M at Beach Road.

Islandwide retail vacancy rates also fell 0.3 percentage points q-o-q to 7.2% in 3Q2023. The vacancy rate in the Central Region dropped to 8.8%, led by a resilient occupier demand despite net space withdrawal. Angeline Phua, JLL consulting director of research and consultancy, Singapore, attributes the growth to the healthy demand for retail space, evidenced by the high pre-commitment rates of upcoming developments.

Meanwhile, local lifestyle brands have exploited social media platforms to drive consumer interest. The Paper Bunny and Beyond The Vines have successfully leveraged marketing campaigns to engage a digitally savvy demographic base.

There are, however, still some challenges facing the retail space in Singapore. These include higher labour costs, intense competition for consumers and dampened economic sentiments. Some retailers are therefore consolidating their spaces, according to Tricia Song, CBRE head of research for Singapore and Southeast Asia.

Despite this, demand for retail space is expected to remain strong, driven by lower vacancy rates, limited new supply and the recovery of China’s outbound tourism. Singapore is also being seen as a destination of choice for major MICE events going forward. Landlords are likely to hold onto their rental expectations, but retail rental recoveries in the Central Region should pick up in the near future.