Pacific Star To Buy MEAG Stake In PRMH

Source : The Business Times, May 30, 2008

SINGAPORE-BASED Pacific Star has agreed to buy the 25 per cent stake held by MEAG Munich Ergo AssetManagement GmbH (MEAG) in Prime Reit Management Holdings Pte Ltd (PRMH).

PRMH owns 100 per cent of Macquarie Pacific Star Prime Reit Management Pte Ltd, the manager of Singapore Exchange-listed Macquarie MEAG Prime Reit (MMP Reit). It is also the sole owner of Macquarie Pacific Star Property Management Pte Ltd, the property manager of MMP Reit.

Pacific Star's existing stake in PRMH is held through its associated company Investmore Enterprises Ltd. The purchase will increase Pacific Star's interest in PRMH to 50 per cent, the same level as the interest of the Macquarie group.

Said Alfred Lim, chief corporate officer of Pacific Star: 'Reit management is a core business of Pacific Star. The purchase reaffirms Pacific Star's firm commitment to the growth of the Singapore Reit industry.'

Pacific Star manages a suite of funds, namely the 1.2 billion euros (S$2.45 billion) Asia Real Estate Income Fund (Areif), the US$600 million Baitak Asian Real Estate Fund (a joint venture between Pacific Star and Kuwait Finance House), the US$750 million Asian Real Estate Prime Development Fund which invests in prime development projects in key Asian cities and the US$500 million PS Arrow Vietnam Fund (a joint venture with Alony Hetz of Israel).

Pacific Star recently announced plans to launch the US$2 billion Pacific Star Fund Select Concept targeting Asian real estate under an umbrella fund structure. Earlier this year, Pacific Star acquired Singapore Power Building for Areif.

Wheels Come Off Raffles Hotel Deal

Source : The Business Times, May 30, 2008

Proposed sale to consortium fails to materialise

The proposed sale of Raffles Hotel is off.

A spokeswoman for the consortium led by former Credit Suisse banker Mark Pawley that was to have bought the Singapore icon confirmed yesterday: 'We regret to say that the sale will not be completed as planned. The consortium is very disappointed with the current outcome as we had hoped for a win-win solution involving all parties.















'This would have involved an assured distinct identity for Raffles Hotel as a flagship for Singapore in the international hospitality industry and a rejuvenation of the hotel. We will continue to actively explore other opportunities to contribute to Singapore.'

She declined to give reasons for the deal not being completed, citing confidentiality clauses. The deal was reported to have been in the range of about $650 million and would have included the adjoining shopping arcade. But when asked about talk that there might have been some issues with the source of the money for the purchase, she replied strongly: 'The source of the money has always been the same. This has never been an issue and there is no basis for these allegations.'

On suggestions that the consortium might have faced funding problems, the spokeswoman said: 'We have the money. To say otherwise is baseless.'

BT understands that the completion of the sale was expected yesterday. The in-principle agreement for the deal was announced on May 8.

Fairmont Raffles Hotels International (FRHI), the owner of the landmark hotel and adjacent shopping arcade, was to have secured a very long-term management contract, reportedly for 40 years, to manage the hotel under its hotel management arm, Raffles Hotels & Resorts.

Colony Capital holds about 40 per cent in FRHI while Saudi Prince Alwaleed bin Talal's Kingdom Hotels International owns the rest.

FRHI's May 8 statement had said that similar to its past real estate transactions, any hotels sold would continue to be part of the company's hotel collection and managed under long-term management contracts. Industry observers say that this is crucial to FRHI's plans to spin off and float a hotel management arm.

'Most existing hotel groups would be reluctant to purchase a hotel with a long-term management contract from the seller. And frankly, Fairmont Raffles would jealously guard their proprietary management systems from any potential hotel owner that is also in the business,' a market watcher said.

Raffles Hotel NOT Sold

Source : AsiaOne, May 30, 2008

The deal is off.

The in-principle agreement to sell Raffles Hotel to a consortium led by former Credit Suisse investment banker Mark Pawley was announced on May 8. However, in just three weeks, it was confirmed that the deal will not be completed as planned.

A spokeswoman for the consortium told The Business Times that: "We regret to say that the sale will not be completed as planned. The consortium is very disappointed with the current outcome as we had hoped for a win-win solution involving all parties.

'This would have involved an assured distinct identity for Raffles Hotel as a flagship for Singapore in the international hospitality industry and a rejuvenation of the hotel. We will continue to actively explore other opportunities to contribute to Singapore.'

She also strongly rejected rumours that the reason for the non-completion of the sale is due to the source of the money, or the lack of it.

'The source of the money has always been the same. This has never been an issue and there is no basis for these allegations.'

She added, 'We have the money. To say otherwise is baseless.'

However, she refused to divulge any reasons for the sale fallout, citing confidentiality clauses.

Pacific Star Increases Stake In Prime REIT To 50%

Source : Channel NewsAsia, 29 May 2008

Singapore-based real estate investment house Pacific Star Group has agreed to buy the 25 percent stake held by MEAG Munich Ergo Asset Management in Prime REIT Management Holdings.

Prime REIT owns 100 percent of listed Macquarie Pacific Star Prime REIT Management. It is also the sole owner of Macquarie Pacific Star Property Management, which is the property manager of MMP REIT.

The purchase will increase Pacific Star's interest in Prime REIT to 50 percent. Pacific Star's existing stake in Prime REIT is held through its associated company Investmore Enterprises.

Pacific Star said the purchase reaffirms its commitment to the growth of the REIT industry in Singapore. - CNA /ls

One Raffles Quay Wins Prestigious FIABCI Award

Source : Channel NewsAsia, 29 May 2008

The International Real Estate Federation or FIABCI has named Singapore's One Raffles Quay as the winner of the excellence award in the office category.

FIABCI held its 17th annual Prix d'Excellence Awards ceremony in Amsterdam on Thursday.

The award recognises One Raffles Quay for excelling in all aspects of development, including construction, brokerage, facilities management and marketing strategy.

Developers for One Raffles Quay are Cheung Kong Holdings, Hongkong Land, and Keppel Land.

Officially opened in March 2007, the building houses renowned tenants such as ABN AMRO, Barclays Capital, Credit Suisse and Deutsche Bank. - CNA/so

HDB Resale Price Growth Expected To Remain Low

Source : The Business Times, May 30, 2008

Moderate 4-10% growth seen for 2008: Knight Frank

THE rate of price increase of Housing and Development Board (HDB) resale flats will further decelerate in the next six to nine months, resulting in a relatively moderate 4-10 per cent growth for the whole of 2008.

Knight Frank director (research and consultancy) Nicholas Mak added: 'If the local economy were to slip into a recession in 2008, overall prices of HDB resale flats could vary between a 2 per cent contraction and a 3 per cent growth for the year.'

Knight Frank's projections are based on HDB's resale price index, which increased in Q1'08 by 3.7 per cent over the previous quarter. But Mr Mak explained that price movements in the resale market are difficult to project because data on average valuations are not available even if median prices, which is likely to include cash-over-valuation (COV), is.

As such, Mr Mak expected that median COV of all resale flats, which fell to $21,000 in Q1'08 from $22,000 in Q4'08, could continue to fall this year.

Another possible cause for lament is that potential HDB upgraders - a significant factor in private mass market housing - could disappear in sync with falling HDB resale transactions.

In Q1'08, transactions fell about 6 per cent to 6,358 units from 6,748 units in Q4'07.

Knight Frank also believed that HDB upgraders have been supporting the private secondary market, which saw 3,521 units transacted in Q4'07.

While it did not have precise numbers of HDB upgraders buying into the secondary market, it noted that in Q4'07, the greatest number of private secondary market transactions occurred in the Outside the Central Region (OCR), and was 'attributable to the HDB upgraders bracket'.

And Knight Frank believed that there could be an emerging resistance to swelling home prices.

In January, Knight Frank noted that City View @ Boon Keng, under HDB's Design, Build and Sell Scheme (DBSS), pushed prices to $727,000 for a five-room unit. While the launch generated a lot of buzz, at end March 2008, 250 of the 714 flats available were still unsold.

'The issue that arises is the validity of the pricing of such DBSS flats. Keeping in mind that there are more of such developments proposed in places like Ang Mo Kio, Bishan, Toa Payoh, Simei and Bedok, and given that they are still bound by public housing rules such as the income ceiling of buyers, one could begin to wonder about the intrinsic affordability of public housing initiatives,' Mr Mak said.

阳台直通泳池、私人派对俱乐部、专用按摩亭……新推出私宅设施斗豪华

《联合晚报》May 29, 2008

冲凉房可变蒸气房、设有厨房的私人派对俱乐部、专用按摩亭……这些豪华设施正悄悄地闯入我国私人住宅。

本地房市开始降温，新推出的私宅项目却更加豪华；不少新项目纷纷投入资金，增添亮点设备，以便强攻市场。

Aston Residence洋房的阳台直接通往游泳池。

刚于上个月推出、位于巴西立的Aston Residence，其120米长、10米宽的大型泳池就让人眼前一亮。住户甚至可从自家阳台旁的私人按摩池，直接游入游泳池。

远东机构在武吉知马的Jardin永久地契公寓更是每隔一层楼就设有花园，让高楼住户的家门也能绿意盎然。

负责销售Aston Residence的HSR房地产经纪行董事刘凯丽说：“去年行情好，每个月都有三四个新的豪华住宅推出，但近期却每几个月才一个。

“就因市场欠佳，近期推出的房产更需有超强吸引力，设施也就更豪华和独特。”

Jardin公寓每隔一楼就有公园。(远东机构提供照片)

因此尽管价格不菲，有意购买者依旧络绎不绝。平均售价约268万元的28栋Aston洋房，短短数星期就已售出17栋；尺价约1700元的Jardin，销售情况也非常理想。

让出大量空间、打造高尚居住环境

讲究品味，新私宅项目让土地大量留白。

发展商近几年不断推陈出新，打造新颖高尚居住环境。

乌节史格园的宴会厅有私人厨房。(远东机构提供照片)

远东机构营运总裁谢文华就说：“除了设施，我们希望发展项目的特色能帮住户实现期待已久的生活方式。”

为此，一向最懂得充分利用每一角落的发展商，甘心让空间留白。例如乌节史格园的建筑只占土地面积的25%；卓锦豪庭公寓也让出庞大空间，建设俱乐部与私人派对厅。

如此趋势并不局限于高尚住宅，中档公寓西湖园，就加入度假村才有的设施——专用按摩亭，打造类似SPA的生活时尚。