International News

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British house prices surge in November amid surprising market resilience

PNT Reporter

British house prices saw their sharpest annual growth in two years, rising 3.7% in November 2023, according to Nationwide. Monthly gains of 1.2% marked the largest jump since March 2022, defying high borrowing costs. Economists attribute the surge to the Bank of England's recent rate cut and changes to stamp duty rules announced by Chancellor Rachel Reeves. Despite affordability challenges and policy shifts, experts anticipate continued market strength, supported by steady economic recovery and government initiatives to address housing supply shortages....

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Germany: Energy-inefficient homes lose value amid decarbonisation push

PNT Reporter

As Germany pushes for decarbonisation and electric heating becomes the norm, energy-inefficient homes are losing value. Oil and gas-powered properties, particularly older ones in need of refurbishment, are becoming less popular, widening the price gap with energy-efficient residences. Cities such as Mannheim plan to phase out gas networks by 2035, forcing owners to modify houses or risk losing their investments. Mark Carney has cautioned that obsolete homes may become "stranded assets." Tenants in older rental buildings face significant expenditures, whereas modern constructions prioritize efficiency. This trend emphasizes the growing relevance of sustainable homes in the German real estate industry....

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Dubai Real Estate hits AED 40 billion in sales in November, led by apartment transactions

PNT Reporter

Dubai's real estate market remained active in November, with 13,502 property sales valued at AED40 billion. Apartment sales surged by 31.2% in volume, reaching AED19.9 billion, while villa and plot sales declined. The average property price rose by 8.8%, reflecting steady growth. The market's overall performance continues to demonstrate strength, driven by investor confidence and economic growth. High-value properties and off-plan sales, including Vida Residences and Greenridge, led the market in both volume and value. Developer sales outpaced re-sales, with properties priced above AED5 million making up 8% of total sales....

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Kaisa seeks shareholder approvals for USD 12.27 billion debt restructuring plan

PNT Reporter

China-based developer Kaisa has announced plans to hold a shareholder meeting to gain approvals for its USD 12.27 billion debt restructuring agreement. The agenda includes discussions on issuing USD 5 billion in senior notes and USD 4.8 billion in convertible bonds, alongside resolving a USD 26.9 million work fee share issue. The following day, the developer will seek court permission in Hong Kong to hold a creditors' vote. Kaisa, the second-largest offshore debt issuer among Chinese developers, has faced financial struggles since defaulting on USD 12 billion of offshore bonds in late 2021....

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Dutch pension fund ABP acquires EUR 2.7 billion mortgage portfolio from NIBC

PNT Reporter

Dutch pension fund ABP recently announced the acquisition of a Euro 2.7 billion (USD 2.84 billion) mortgage portfolio managed by Dutch lender NIBC. The portfolio consists of mortgage loans granted to approximately 10,000 households in the Netherlands over the past five years. The acquisition brings ABP's total Dutch mortgage portfolio to over Euro 7.3 billion. ABP's Chairman, Harmen van Wijnen, expressed that the investment is a significant step forward, offering attractive yields with low risk and improving financing options for Dutch homebuyers. The deal was made with an unnamed investor advised by Goldman Sachs....

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Kuwait's USD 300 million residential project to address housing needs with modern amenities

PNT Reporter

Kuwait's Public Authority for Housing Welfare (PAHW) plans to award a consultancy contract for its Affordable 1,985 Residential and Commercial Development project by January 2025. The project, valued at USD 300 million, includes designing, supervising, and maintaining 1,985 housing units, public buildings, and infrastructure like road lighting and cable installations. Located in sectors BP4 and BP7, the development integrates residential, commercial, and public spaces. The tender was issued in August 2024, with a revised submission deadline of 10 October. This initiative supports Kuwait's vision for improved housing and urban planning, addressing growing housing demands and enhancing urban infrastructure....

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Vietnam emerges as a prime destination for HNWIs in Asia's luxury real estate market

PNT Reporter

Vietnam's residential property market is gaining traction among High-Net-Worth Individuals (HNWIs) and investors, driven by robust GDP growth, urbanization, and its strategic "China+1" role, according to Knight Frank. With a projected 6.1% GDP growth in 2024, Vietnam is poised as the region's second-fastest-growing economy after India. High-end apartment prices in Ho Chi Minh City and Hanoi, ranging from USD 5,400 to USD 15,000 per sq.m, offer strong growth potential. Expanding infrastructure, such as highways and metros, boosts connectivity and property values. Combining luxury with affordability, Vietnam's market appeals to investors and expatriates, solidifying its position among Asia-Pacific's emerging real estate hubs....

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KCAP's innovative towers to reshape Bratislava's urban landscape

PNT Reporter

Dutch architectural firm KCAP has won a design competition for two residential towers in Bratislava, Slovakia. The taller tower will reach 260 meters, becoming the EU's second-tallest building. Located on an 8,200-sq-m site, the project will create 1,100 homes across 115,000 sq m. The innovative bundle of sticks design features interconnected volumes with communal terraces and optimized views. Sustainability is paramount, with heat pumps, solar panels, and energy-efficient systems. Glass pavilions at the base will link the towers, creating a social space. The design transforms a former industrial district into a modern, green urban environment, promising exemplary sustainable high-rise living....

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Sweden: SBB reports reduced losses amid restructuring efforts in challenging market

PNT Reporter

Swedish real estate group SBB reported a reduced pretax loss of 1.92 billion Swedish crowns (USD 175 million) for Q3, improving from last year's 3.13 billion loss. The company, owning properties like hospitals and care homes, has focused on debt reduction and restructuring amid Sweden's challenging economic landscape. CEO Leiv Synnes highlighted ongoing financial stability efforts, including debt repurchases and subsidiary spinoffs. While Synnes forecast improved market conditions post-year-end, experts warned global real estate might not see sustained recovery from lower interest rates. SBB continues to address leverage issues, aiming to benefit from potential property value growth in 2024....

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London's affordable housing crisis deepens with 88% decline in new starts

PNT Reporter

London has seen an 88% drop in affordable-housing starts, with just 3,156 homes begun between April-2023 and March-2024, compared to 26,386 the previous year. Harrow, Bexley, Richmond-upon-Thames, and the City of London recorded only one new affordable-home each, while boroughs like Kensington and Chelsea saw as few as two starts. Barking and Dagenham led with 584 starts, though still significantly down from 1,021. The decline contrasts with a 39% fall across England. London Councils cite tough market conditions despite 287,000 approved homes, including 70,000 affordable units, remaining unbuilt. Government reforms aim to address this crisis....