Industry News

Banyan Group, a global hospitality company, has released its 2025 Sustainability Report, marking two decades of sustainability reporting and the achievement of its 100th property. This milestone coincides with a symbolic return to Singapore, where the Group’s journey began. The report, titled “From One Vision to 100 Possibilities,” underscores the Group’s commitment to integrating sustainability into its core business strategy.

The report highlights Banyan Group’s first double materiality assessment, which evaluates the environmental and societal impacts of its operations alongside financial risks and opportunities. This approach has led to a shift from programme-led initiatives to an enterprise-wide strategy. “Sustainability is not peripheral to business performance. It is part of how long-term value is protected and created,” stated Ho Kwon Ping, Founder and Executive Chairman of Banyan Group.

In 2025, the Group activated 32 associate-led Greater Good Grants projects, benefiting 2,000 individuals, including students, women, and low-income families. The Group’s environmental efforts resulted in a 1.4% reduction in greenhouse gas emissions and a 13% decrease in waste generation, with a waste diversion rate increase to 41%.

The report also highlights the opening of Mandai Rainforest Resort in Singapore, the Group’s 100th property, which received the BCA Green Mark Super Low Energy (Platinum) Award. Looking forward, Banyan Group aims to deepen sustainability within its business decision-making, focusing on efficiency, resilience, and long-term value. The Group’s inaugural Sustainability Impact Lab has defined over 40 action areas for 2026, emphasising ecosystem stewardship, community resilience, and inclusive prosperity.

Tengah Garden Residences, the first private residential development in Singapore’s Tengah New Town, has achieved a remarkable 99% sales rate at its launch, with 853 out of 863 units sold by 3pm on 26 April 2026. The project, developed by Hong Leong Holdings, GuocoLand, and CSC Land Group, set a record as the top-selling private residential launch of the year, with units averaging S$2,120 per square foot.

The development attracted significant interest, drawing nearly 2,000 groups of visitors during its two-week preview starting 11 April. Demand was strong across all unit types, with only 10 of the largest 4-Bedroom Premium with Yard units remaining. Prices ranged from S$1,779 to S$2,340 per square foot, appealing to a broad spectrum of buyers. Notably, 90% of purchasers were Singaporeans, indicating robust local demand.

Betsy Chng, Head of Sales and Marketing at Hong Leong Holdings, commented on the success: “The strong response to Tengah Garden Residences reflects healthy buyer confidence in Tengah as an emerging residential precinct with long-term value.”

The 99-year leasehold development is notable for its sustainability features, including a BCA Green Mark Platinum Super Low Energy certification. It comprises nine 16-storey blocks, oriented to maximise natural ventilation and minimise heat gain. The project also incorporates Smart Gateway technology for managing energy-efficient devices.

Residents will enjoy a 30,000 sq ft commercial podium with retail and dining options, alongside lifestyle facilities such as clubhouses, a gym, and sports amenities. The development is strategically located near the upcoming Hong Kah MRT station and major expressways, with future infrastructure upgrades set to enhance connectivity further. Completion is expected in 2029.

Shell Singapore is set to relocate its operations to Asia Square Tower 1 (AST1) in Singapore’s Marina Bay financial district, as announced by the Singapore Central Private Real Estate Fund (SCPREF) on 24 April 2026. This significant move involves Shell occupying approximately 100,234 square feet across three floors, marking one of the largest office leasing transactions in Singapore for 2026. The relocation is scheduled for the first half of 2027.

The decision to move to AST1 aligns with Shell Singapore’s strategy to be closer to its customers and partners, enhancing its presence in the Marina Bay area. The new location will offer a high-performance workplace equipped with smart technology, supporting flexible and sustainable working practices. Kah Peng Aw, Chairman of Shell Companies in Singapore, stated, “Asia Square Tower 1 provides a strong platform for Shell Singapore’s continued growth. We are confident this move will strengthen collaboration across our teams and with external partners.”

Pei Teng Foo, Chief Executive of SCPREF, expressed enthusiasm about the move, highlighting it as a testament to the quality and strategic positioning of SCPREF’s assets. “Shell’s decision to relocate to our portfolio is a strong endorsement… and underscores the appeal of the SCPREF’s assets to multinational companies,” Foo remarked.

SCPREF, managed by Hongkong Land, focuses on ultra-premium commercial properties in Singapore, with an initial portfolio valued at S$8.2b. This includes AST1, which offers connectivity to multiple MRT stations and a range of amenities, reinforcing its appeal to blue-chip tenants like Shell.

IHH Healthcare, a global integrated healthcare provider, reported significant growth in 2025, supported by its expanding network of 190 facilities across 10 countries. The Group has outlined a strategic roadmap towards 2030, focusing on clinical innovation, patient care, and environmental stewardship, as detailed in its newly released 2025 Annual and Sustainability Reports.

The Group successfully met 14 out of 16 sustainability goals set in 2022, demonstrating its commitment to transforming healthcare delivery across four core pillars: Patients, People, Public, and the Planet. This progress includes achieving gender parity in leadership roles, conducting over 4.2 million health screenings, and launching a large-scale solar project in Türkiye.

Looking ahead, IHH aims to maintain international benchmarks in clinical quality, improve billing transparency, and enhance patient satisfaction through better Net Promoter Scores. The Group also plans to sustain gender parity in leadership, reduce workplace injuries, and provide free or subsidised cancer treatments to underserved communities.

Environmental targets for 2030 include reducing emissions by 42% from the 2025 baseline, achieving a 30% recycling rate for non-hazardous waste, and improving water efficiency by 10%. These initiatives are part of IHH’s broader strategy to reach net zero by 2050.

Despite dynamic near-term conditions, IHH remains optimistic about its long-term growth, driven by strong demand for quality healthcare and its commitment to sustainability.

DBS, in collaboration with Enterprise Singapore and the Infocomm Media Development Authority, has launched an enhanced version of its Spark GenAI programme to accelerate AI adoption among small and medium enterprises (SMEs) in Singapore. This initiative aligns with the country’s National AI Strategy 2.0, which seeks to integrate AI more effectively across businesses.

The updated programme introduces a three-tier approach tailored to SMEs’ varying levels of AI readiness. The tiers—Start, Accelerate, and Scale—offer guidance from basic AI tools to comprehensive integration across operations. Participating SMEs will benefit from advisory support, workshops, and access to a global network of over 16,000 solution providers through IMDA’s Open Innovation Platform. Eligible businesses can also receive up to 50% grant support for AI-enabled solutions.

A new AI playbook, “Implementing AI for Impact,” developed with KPMG and supported by SkillsFuture Singapore, complements the programme. It provides practical use cases, success stories, and a readiness diagnostic tool to help businesses assess their AI capabilities.

Chen Ze Ling, Group Head of Corporate and SME Banking at DBS, emphasised the programme’s role in reducing adoption barriers and supporting businesses in building future-proof capabilities. Johnson Poh from IMDA highlighted the importance of equipping SMEs to harness AI’s potential, whilst Geoffrey Yeo from Enterprise Singapore reiterated the commitment to providing practical tools for AI adoption.

The enhanced Spark GenAI programme is part of DBS’ ongoing efforts to leverage AI in business transformation, following its recognition as the World’s Best AI Bank in 2025.

Private home prices in Singapore experienced a modest increase in the first quarter of 2026, whilst sales activity saw a decline, according to the latest data from the Urban Redevelopment Authority (URA). The overall price index for private residential properties rose by 0.9%, reflecting a cautious sentiment among buyers amidst macroeconomic uncertainties and rising interest rates.

Sales of private homes, excluding executive condominiums (ECs), fell for the second consecutive quarter, with a total of 5,413 units sold in Q1 2026. New sales saw the most significant drop, decreasing by 31.5% quarter-on-quarter, attributed to fewer project launches during the Chinese New Year period. Resale volumes also dipped by 8.6%, marking the lowest quarterly resale volume in two years.

Despite the overall slowdown, certain market segments performed well, including new homes in attractive locations and suburban homes with accessible price points. Notably, developments like Rivelle@Tampines and Pinery Residences sold over 90% of their units within the first weekend.

Rental prices showed a slight rebound, increasing by 0.3% after a previous decline. However, the private rental market faces challenges due to potential rate hikes and macroeconomic pressures, particularly affecting expatriate tenants. Nonetheless, emerging sectors such as AI are expected to bring an influx of expatriates, potentially stabilising rental demand.

Looking ahead, the property market’s trajectory remains uncertain, with geopolitical tensions in the Middle East potentially influencing costs and interest rates. However, upcoming launches like Vela Bay and Tengah Garden Residences are anticipated to bolster new home sales in the second quarter. Realion (OrangeTee & ETC) Group projects private residential prices to grow by 2.5% to 4.5% in 2026, with 23,500 to 25,500 transactions expected for the year.

Singapore’s industrial market has marked its 22nd consecutive quarter of rental growth, with the JTC All Industrial Rental Index rising by 0.4% in the first quarter of 2026. This growth, however, shows a slight deceleration from the 0.5% increase observed in the previous quarter. Tricia Song, CBRE Head of Research for Singapore and Southeast Asia, noted that whilst occupier demand remains robust, tenants are becoming more selective, focusing on location and asset specifications.

Among the various segments, single-user factory rents saw the most significant increase, rising by 1.0% quarter-on-quarter. This was bolstered by major completions such as Trans Auto Logistics’ facility and Sumitomo Seika Singapore’s facility. Meanwhile, multi-user factory rents increased by 0.5%, with notable completions including Smart Food @ Mandai and Azalea Kitchens.

The business park segment experienced a 0.3% rise in rents, despite a slight increase in vacancy rates to 23.3%. This is attributed to challenges faced by some facilities in retaining tenants due to less competitive specifications. Conversely, newer assets in City Fringe locations continue to attract tenants, sustaining rental growth.

Warehouse rents rose by 0.2%, with significant completions like Jurong Logistics Terminal 5 and a cold-chain food logistics facility at 8 Jalan Besut. However, occupancy rates for warehouses decreased slightly to 89.4%.

Looking ahead, the Johor-Singapore Special Economic Zone is expected to enhance investment confidence, whilst Singapore’s strong AI-related manufacturing sector is likely to support continued demand. CBRE anticipates steady rental growth in the prime logistics segment, with occupancy rates potentially reaching 97% by the end of 2026.

CapitaLand Investment Limited (CLI), a prominent global real asset manager, has been awarded a S$2.4b investment mandate by Income Insurance Limited to manage its direct real estate portfolio. This portfolio includes retail, commercial, and industrial assets, both directly held and through joint ventures. CLI aims to enhance the performance of these assets in Singapore and explore new investment opportunities across the Asia Pacific region.

This mandate further strengthens CLI’s position in Singapore, with over S$12.1b in transactions recorded in 2025 and 2026. The company continues to focus on capital recycling across various asset classes to maximise returns for investors. Recent transactions include the joint acquisition of Ascent, a premium business space, for S$490 million, and the divestment of Asia Square Tower 2 for S$2.5b, followed by the acquisition of Paragon for S$3.9b.

Andrew Lim, Group Chief Operating Officer and CEO of Real Estate, Private Funds at CLI, expressed enthusiasm about the partnership, stating, “We are delighted and honoured to welcome Income Insurance as a valued capital partner. CLI’s level of investment activity reflects our capital partners’ confidence in us as a trusted investment manager.”

David Chua, Chief Investment Officer at Income Insurance, highlighted the strategic importance of real estate in their investment portfolio, noting, “Tapping CLI’s portfolio and asset management expertise will enable Income Insurance to further enhance the value of our real estate portfolio.”

With Singapore’s reputation as a stable global wealth hub, CLI is well-positioned to benefit from ongoing capital inflows, managing approximately 200 properties across diverse asset classes in the country.

Singapore’s headline Consumer Price Index (CPI) increased by 0.5% month-on-month in March, reflecting the direct impact of surging energy prices, according to a report by UOB Global Economics and Markets Research. The rise in energy costs, particularly Brent crude oil prices, which surged over 40% in March, significantly influenced petrol prices, leading to a 16.4% month-on-month increase. This contributed to a year-on-year headline CPI rise of 1.8%, aligning with Bloomberg’s consensus but slightly below UOB’s projection of 1.9%.

The core CPI, which excludes private transport and accommodation costs, saw a more modest increase of 0.1% month-on-month. Key components such as food and healthcare showed little to no sequential growth. However, land transport services rose by 2.3% month-on-month, driven by a 6.7% increase in point-to-point transport costs as private hire companies temporarily raised fares due to rising fuel prices.

The Monetary Authority of Singapore (MAS) maintained its 2026 inflation forecast range at 1.5–2.5%, citing potential upside risks due to imported cost pressures. The outlook remains cautious, with domestic consumer spending potentially affected by economic uncertainties and supply chain disruptions.

UOB’s report highlights that whilst first-round effects of the energy supply shock are evident, it is premature to assess second-round effects. The bank expects core inflation to strengthen from June 2026, peaking at 2.5% in August-September, before moderating towards 2.0% by the end of the year. MAS is anticipated to tighten monetary policy further in October, with potential earlier action if inflation expectations accelerate.

Frasers Centrepoint Asset Management Ltd., the manager of Frasers Centrepoint Trust (FCT), has announced a 1.4% year-on-year increase in Distribution per Unit (DPU) for the first half of the financial year 2026, reaching 6.136 cents. This growth is attributed to the robust performance of its suburban retail portfolio, with committed occupancy at 99.8% and healthy rental reversions.

The trust’s gross revenue surged by 20.3% to $221.9m, driven by contributions from the Northpoint City South Wing acquisition and higher rents across its malls. Net property income also rose by 20.2% to $160.8m. The distribution to unitholders increased by 13.6% to $125m.

Chief Executive Officer Richard Ng highlighted the progress in Asset Enhancement Initiatives (AEIs) at Hougang Mall and NEX, which aim to improve asset yields and support sustainable income growth. Over 88% of the AEI space at Hougang Mall is committed, with completion expected by September 2026. AEI works at NEX will commence in May 2026.

FCT’s financial position remains strong, with an aggregate leverage of 40% and a well-staggered debt maturity profile. Approximately two-thirds of its borrowings are hedged to fixed interest rates. The trust’s proactive cost management includes fully hedged electricity costs for FY26.

Looking forward, FCT plans to continue its growth strategy through strategic acquisitions and optimising portfolio performance. Despite macroeconomic uncertainties, the trust remains confident in the resilience of Singapore’s suburban retail sector, supported by population growth and rising household incomes.