Industry News

CapitaLand Integrated Commercial Trust (CICT), Singapore’s largest real estate investment trust, has reported a robust performance for the fourth quarter of 2024, with occupancy rates improving across its segments.

The results for the second half and full year of 2024 were in line with expectations, showcasing strong positive rent reversions, which are expected to continue at a moderated pace into 2025. CICT’s sturdy balance sheet and comfortable gearing level provide it with the flexibility to pursue tactical acquisitions, further strengthening its position in the market.

Analyst Vijay Natarajan highlighted that CICT is trading at a 10% discount to its book value, making it an attractive investment option. The trust’s performance is buoyed by its strategic positioning and the overall economic growth of Singapore, making it one of the top picks in the sector.

Looking ahead, CICT’s ability to maintain high occupancy rates and leverage its strong financial position for potential acquisitions positions it well for continued growth. The trust’s strategic initiatives and market conditions suggest a promising outlook for investors seeking stable returns in the real estate sector.

Artyzen Singapore has been named the top hotel in Singapore according to the newly released Hotel Service Index: 2024 APAC Edition by Atiom, a technological behavioural change platform. The report, which aims to help hospitality professionals benchmark their service against industry standards, also ranked Mandarin Oriental and the Capitol Kempinski Hotel as second and third, respectively.

The Hotel Service Index is part of Atiom’s initiative to provide insights into service trends and customer preferences across the Asia-Pacific (APAC) region. The report analysed publicly available reviews from popular online travel platforms, covering 1,623 properties in countries including Singapore, China, and Japan. This comprehensive analysis allows hospitality leaders to assess their service levels and align operations with customer expectations.

Matthew Spriegel, CEO of Atiom, highlighted the importance of understanding evolving guest expectations, stating, “Guest expectations are evolving faster than ever, and staying ahead means understanding the nuances of what makes a truly exceptional experience.”

The report’s findings are particularly relevant as Singapore continues to be a leading business travel destination in the APAC region. According to GetGoing, Singapore ranks highest for business travel, while Expedia’s Travel Insights report shows a 35% year-on-year increase in search volume for the region.

Atiom plans to expand the Hotel Service Index to other regions, such as the Middle East, in future editions. This expansion aims to further support the hospitality industry in enhancing service excellence and fostering a culture of continuous growth and engagement.

Chocolate Finance has partnered with HeyMax to introduce Singapore’s first Visa debit card that rewards users with miles for everyday spending. From 11 February 2025, cardholders can earn 2 Max Miles for every $1 spent, which can be redeemed for flights, hotels, and other travel benefits.

The new debit card stands out by offering rewards on a wide range of spending categories, including dining, groceries, utilities, insurance, school fees, and donations—areas typically not rewarded by debit cards. Users can earn full rewards on the first $1,000 spent each month, with a reduced rate of 0.4 Max Miles per $1 for spending beyond this cap.

Max Miles, which never expire, can be redeemed at a fixed 1:8 ratio through HeyMax’s Fly Anywhere programme or converted 1:1 to 27 airline and hotel partners. Additionally, a limited-time bonus offer allows cardholders to earn up to 5 Max Miles per $1 spent on SMRT travel from 11 to 28 February 2025, or until 1 million Max Miles are awarded.

This innovative partnership aims to redefine rewards for debit card users in Singapore, ensuring that every dollar spent contributes towards travel goals. For instance, a Chocolate Finance Visa Debit Card user spending S$1,000 monthly on everyday expenses can accumulate 12,000 Max Miles in six months, enough for a short-haul flight to destinations like Bali or Bangkok.

Coopers Hill, a Singapore-based international consultancy specialising in landscape architecture, has announced its acquisition of Scape Design, a leading UK firm in hospitality and luxury lifestyle landscape architecture.

This strategic move establishes Coopers Hill’s first European office in London, following its Dubai opening in 2023, and marks the firm’s seventh international office.

With a legacy spanning 40 years, Coopers Hill has developed a robust portfolio of luxury hotels and resorts across various ecosystems. The merger with Scape Design, led by Founder and Managing Partner Allen Kerton, aims to create a formidable presence in the hospitality landscape design sector across Asia Pacific, Europe, the Middle East, and North Africa. “The merger with Scape represents a significant milestone enabling us to realise our ambition of delivering a truly global service offering for our clients,” said Kerton.

Philip Jaffa, who will serve as Partner and Design Director from London, expressed enthusiasm for the merger, stating, “This marks the beginning of an exciting new era for Coopers Hill. The merger provides an incredible opportunity to drive sustainable and evocative landscape architecture solutions for the hospitality industry’s future.”

Coopers Hill’s extensive portfolio includes collaborations with renowned brands such as Capella, W Hotels, and The Ritz-Carlton. The firm now comprises over 120 professionals with experience in more than 60 countries. Scape Design’s notable projects include the Ritz-Carlton Rabat in Morocco and COMO Laucala Island in Fiji.

This acquisition not only strengthens Coopers Hill’s global leadership but also enhances its ability to deliver innovative and sustainable landscape architecture solutions worldwide.

Singapore’s retail sector experienced a challenging year in 2024, with sales contracting for two consecutive months, according to a report by UOB Global Economics and Markets Research.

December saw a 1.5% month-on-month decline, following a 2.8% drop in November. The downturn is attributed to sluggish tourist arrivals, which reached only 81% of 2019 levels, and a shift in resident spending abroad due to a strong Singapore dollar.

Despite a modest 1.2% growth in retail sales for the entire year, this was largely driven by a 17.1% increase in motor vehicle sales. Excluding motor vehicles, retail sales actually fell by 0.7%. Categories such as food and beverages, medical goods, and toiletries saw slight increases, whilst eight out of 14 retail categories recorded declines.

Looking ahead, the opening of new attractions, including a local theme park expansion in February 2025 and Singapore’s fifth zoological park, Rainforest Wild Asia, in March 2025, is expected to bolster domestic tourism. Additionally, an expansionary Budget 2025, featuring measures like CDC vouchers and increased cash support under the Assurance Package, is anticipated to further support retail sales.

The report highlights the potential for these developments to aid in the recovery of tourist arrivals and, consequently, retail sales in 2025. As Singapore continues to navigate the post-pandemic landscape, these initiatives may provide the necessary boost to revitalise the retail sector.

The Coastal Sustainability Alliance (CSA), led by Kuok Maritime Group, has launched Singapore’s largest fully electric supply boat, marking a significant step in maritime decarbonisation.

The launch took place at PaxOcean Batam, Indonesia, alongside the keel laying of the first fully electric tug, underscoring CSA’s commitment to marine electrification and energy-efficient logistics.

The PXO-EXL-1 electric supply boat, dual-classed by Bureau Veritas and RINA, is a Tier 1 design selected by the Maritime and Port Authority of Singapore (MPA).

It is designed to operate in Singapore’s waters, aligning with the nation’s goal for all new harbour craft to be fully electric or compatible with net-zero fuels by 2030. Tan Thai Yong, Managing Director and CEO of PaxOcean Group and Chairperson of CSA, stated, “The launch of the PXO-EXL-1 e-supply boat is a testament to our commitment to decarbonising Singapore’s coastal logistics ecosystem.”

The PXO-EXL-1 boasts a high-performance, energy-efficient design, capable of cruising at 8 knots with zero emissions. It can carry a payload of 40 tonnes or 60 pallets, achieving 60% energy savings over conventional vessels. This efficiency promises significant cost and carbon emission reductions for the industry.

Additionally, the PXO-ACE-1 electric tug, supported by the MPA Maritime Innovation and Technology Fund, is set to redefine harbour operations with its zero-emission capabilities. The tug incorporates advanced propulsion and energy storage technologies and is future-ready for zero-carbon fuels.

The CSA plans to trial the electric supply boat in the latter half of 2025, with the electric tug’s construction expected to complete by the first quarter of 2026. These developments are pivotal steps towards a sustainable maritime future, coinciding with Singapore Maritime Week 2025.

The Dormitory Association of Singapore Limited (DASL) and Knight Frank Singapore have unveiled the first edition of the Worker Dormitories in Singapore report, marking a significant step in understanding the evolution of migrant workforce accommodation in the city-state.

The report, released on 5 February 2025, sheds light on the current landscape, challenges, and opportunities within this niche real estate sector.

The report reveals that Singapore’s dormitory market comprises 1,441 facilities with a total of 439,198 beds. Purpose-built dormitories (PBDs) account for 63.5% of this capacity, underscoring their importance in housing the migrant workforce.

The sector has maintained a near-full occupancy rate of 96.7% in the second half of 2024, driven by robust economic recovery and labour demand in key industries.

Rising rents have been a notable trend, with monthly rates ranging from $390 to $510 per bed, averaging $460. This marks a significant increase from pre-pandemic levels of $270. The report also highlights heightened investment activity, including the $63.5m sale of Homestay Lodge and Bain Capital’s impending $750m purchase of Avery Lodge.

Regulatory changes, such as the Foreign Employee Dormitories Act (FEDA) and the Ministry of Manpower’s new Dormitory Transition Scheme (DTS), continue to shape housing standards. As of June 2024, the number of work permit holders in the construction, marine shipyard, and process (CMP) industries rose by 24.5% since December 2018.

Johnathan Cheah, President of DASL, emphasised the importance of the report in promoting awareness and understanding of the sector’s performance and challenges. Leonard Tay, Head of Research at Knight Frank Singapore, noted the potential for high yields in the dormitory sector due to strong demand and limited supply.

Future editions of the report will continue to track market performance and regulatory developments, providing valuable insights for stakeholders in this critical asset class.

The World Gold Council (WGC) has reported a record-breaking year for global gold demand in 2024, with total demand reaching 4,974 tonnes. Singapore mirrored this global trend, with bar and coin demand rising by 22% to 6.5 tonnes, marking significant growth across ASEAN markets.

The global surge was primarily driven by robust central bank purchases and increased investment demand, resulting in the highest-ever total value of demand at $382b.

Central banks purchased over 1,000 tonnes of gold for the third consecutive year, with a notable increase in the fourth quarter.

Investment demand saw a 25% year-on-year increase, reaching a four-year high of 1,180 tonnes.

This was largely due to a resurgence in gold exchange-traded funds (ETFs), particularly in the latter half of the year.

Despite the high prices, which dampened jewellery demand by 11% globally, the technology sector experienced a 7% increase in gold demand, driven by advancements in artificial intelligence and electronics.

The total gold supply also saw a slight increase, reaching a new high of 4,794 tonnes due to growth in mine production and recycling.

Shaokai Fan, head of Asia-Pacific (ex-China) and Global Head of Central Banks at the WGC, highlighted the strategic role of gold as a safe-haven asset amidst geopolitical and economic uncertainties.

Looking ahead, the WGC anticipates continued strong demand from central banks and ETF investors in 2025, although jewellery demand may remain under pressure due to high prices and economic challenges.

Gene Solutions, a biotech company in Asia with proprietary research and CAP-accredited laboratories in Singapore and Vietnam, unveiled a groundbreaking blood test, SPOTMAS, designed to enhance early lung cancer detection through advanced artificial intelligence (AI) and genomics.

This innovative test, announced at the “Personalised Cancer Care in Asia: Advancing Genomics & AI” event in Singapore, aims to address the significant lung cancer burden in Asia, where 63% of new cases and 62% of deaths occur globally.

SPOTMAS leverages circulating tumour DNA (ctDNA) technology to detect cancer indicators in the blood, offering a non-invasive and affordable alternative to traditional low-dose CT scans. These scans, typically recommended for high-risk populations like heavy smokers, often miss over 50% of lung cancer cases in non-smokers, who account for a significant portion of diagnoses in Southeast Asia. The SPOTMAS Lung test has demonstrated remarkable effectiveness, achieving 90% sensitivity and 92% specificity.

Dr Nguyen Hoai Nghia, Founder of Gene Solutions, highlighted the transformative potential of this technology, stating, “By harnessing the power of ctDNA and AI, we aim to make blood-based cancer screening tests more accurate and more affordable.”

Gene Solutions plans to integrate SPOTMAS into clinical practice across Asia by early 2025, potentially increasing early detection rates and reducing mortality associated with late-stage diagnoses. The company collaborates with over 4,500 healthcare providers in Southeast Asia and has conducted extensive research to support its innovative cancer detection solutions. This initiative marks a significant step forward in making lung cancer screening more accessible and effective for underserved populations.

Singapore’s retail sector experienced a downturn in December 2024, with sales dropping by 2.9% compared to the same month in 2023, according to the latest data from the Singapore Department of Statistics.

When excluding motor vehicles, the decline was even more pronounced at 4.0%.

In contrast, the food and beverage services sector showed resilience, recording a 1.0% increase in sales over the same period.