16 Sep 2024

Hong Kong's demand for student accommodation is surging, driven by an influx of mainland Chinese students and government efforts to double the number of non-local students. With only 38,000 government-funded hostel beds available for nearly 74,000 non-local students, the demand for accommodation is expected to reach 175,000 beds by 2028, leaving a shortage of 120,000 beds. Investors are capitalizing on this trend by converting properties into student housing, with rent prices approaching record highs. The market is thriving, with more hotels and co-living operators joining in to meet the growing demand for student accommodation.Read more

16 Sep 2024

Toronto's housing market remains sluggish, with recent Bank of Canada interest rate cuts failing to spark a recovery. National Bank economist Darren King notes that market conditions in the Greater Toronto Area are at their weakest since the 2008 recession, excluding the pandemic period. Despite a slight 0.6 percent increase in home sales in August, they are still 32 percent below pre-pandemic levels. While economists expect sales to eventually rise with continued rate cuts, average price growth may lag. Condo listings have surged 30 percent above normal, while sales are 25 percent lower than before the pandemic.Read more

16 Sep 2024

New Zealand's residential construction has hit a four-year low, signalling potential economic recession as higher interest rates reduce spending and investment. Construction activity declined for the seventh consecutive quarter, with overall building falling 0.2% in the second quarter of 2023. Rising costs of materials and finance have deterred buyers and developers, resulting in a 22% drop in home-building approvals over the past year. Fletcher Building, the nation's largest supplier of construction materials, anticipates a further 10% decline in volumes by June 2025. Economists expect a second-quarter GDP contraction, with official data due on 19 Sept.Read more

13 Sep 2024

New research by Benham and Reeves reveals that Cornwall has the highest number of second homes in the UK, with 9,425 properties. However, the highest market value for second homes is found in London's Kensington and Chelsea, and Westminster boroughs. Across England and Wales, there are 141,245 second homes, with flats being the most popular property type, especially in London where they comprise 87% of second homes. The total market value of second homes stands at £42.761 billion, with Kensington and Chelsea alone valued at over £6 billion. This highlights the differing dynamics between quantity and value in the UK property market.Read more

13 Sep 2024

CapitaLand Integrated Commercial Trust (CICT) has announced the acquisition of a 50% stake in Singapore's iconic ION Orchard mall for SGD1.85 billion. This deal will give CICT full ownership of the entity holding the 50% interest in the mall, known for its mix of luxury and essential brands. The acquisition also includes a 50% stake in ION Orchard Link, an underground retail link. The move is expected to strengthen CICT's luxury retail presence and be DPU accretive. To finance the acquisition, CICT plans to raise around SGD1.1 billion through equity fundraising, with completion expected by Q4 2024.Read more

13 Sep 2024

British homebuilder Vistry announced a GBP 130 million (USD 171 million) share buyback last week, following a 7% increase in half-year earnings driven by strong demand for affordable homes. The Bank of England's August rate cut, its first in over four years, could offer relief to builders and homebuyers, with the new Labour government's planning reforms improving sector sentiment. Vistry, which earns a significant portion of its revenue from partnerships with local authorities and government bodies, has now returned GBP 285 million of its GBP 1 billion capital return target to shareholders over three years. Its adjusted pre-tax profit for the six months to 30 June rose to GBP 186.2 million from GBP 174 million.Read more

12 Sep 2024

China Index Academy revealed that new home prices in the country are growing at a slow pace. The data noted that new home prices across 100 cities dropped from 0.13% in July to 0.11% in August. In 2021, the Chinese government enforced strict regulations to reduce debt levels among developers that caused a liquidity crisis. This has also led to many developers defaulting and halting construction activities. The property researcher said that the market will see some improvement with further implementation and effectiveness of supportive policies.Read more

12 Sep 2024

Singapore has lowered the loan-to-value (LTV) limit for public housing loans from 80% to 75%, aiming to cool the overheated resale market. Resale home prices have risen over 4% this year due to high demand and limited supply. To offset the impact on first-time buyers, the government increased the maximum housing grant from SGD 80,000 to SGD 120,000. Over 80% of Singaporeans live in public housing, so affordability is a key concern. The measures seek to balance housing affordability and demand management in the resale market, where the median 3-bedroom flat price is around SGD 500,000 in the central area.Read more

12 Sep 2024

Adani Enterprises has established a wholly-owned subsidiary in Kenya, Airports Infrastructure PLC (AIP), as part of its bid to acquire Jomo Kenyatta International Airport in Nairobi. Owned by Abu Dhabi-based Global Airports Operator LLC, AIP will handle all aspects of airport management. Although the exact investment amount is undisclosed, sources suggest it could reach up to USD 810 million if due diligence is successful. This would mark the Adani Group's first international airport venture. The company plans to invest USD 100 billion over the next decade, with USD 21 billion for airports, and aims to surpass INR 1 trillion in EBITDA this financial year.Read more

11 Sep 2024

Aldar Properties has unveiled Yas Riva, an exclusive villa community on Yas Island, offering canal-front and canal-accessible homes. The development blends sleek, modern architecture with serene waterfront living. Canal-front villas feature private docks, while inland homes offer contemporary design and access to landscaped parks and gardens. Yas Riva provides an array of amenities, including a health-and-wellness centre, outdoor recreation areas, and customisable outdoor pods. Located near Yas Island's premier attractions, the community underscores its commitment to sustainability. It aims for prestigious Estidama and Fitwel ratings through eco-friendly construction practices, epitomising both luxury and responsible living.Read more