Industry News

The luxury non-landed property market in Singapore concluded 2024 robustly, as detailed in Huttons’ Prestige Report for the fourth quarter of 2024. Despite a stringent 60% Additional Buyer’s Stamp Duty (ABSD) on foreign buyers, the market saw 187 resale transactions, closely mirroring the 193 deals in 2023. However, new sales were notably lower due to a lack of launches and dwindling supply.

Skywaters Residences made headlines with a penthouse sale at $47.3m, or $6,100 per square foot (psf), marking the highest psf price since 2011. The Ritz-Carlton Residences Singapore Cairnhill also saw significant transactions at $5,397 psf, the highest since its 2007 launch. The total value of luxury non-landed homes sold in 2024 was $1.65b, a 29.1% decrease from 2023’s $2.33b.

The Good Class Bungalow (GCB) market rebounded with 36 sales in 2024, up from 21 in 2023. This resurgence was driven by improved economic conditions and interest rate cuts, leading to a total sales value of $1.4 billion, an 80% increase from the previous year. Notable transactions included a $93.9m GCB in Tanglin Hill, achieving a record $6,198 psf on land.

Looking ahead, the luxury non-landed homes market is poised for a strong start in 2025, with early sales in Park Nova reaching near-record highs. The market anticipates more launches and increased transactions, as more affluent individuals and new citizens establish roots in Singapore.

CapitaLand Integrated Commercial Trust (CICT) is set to bolster its portfolio by upgrading assets and exploring acquisitions, according to S&P Global Ratings. The Singapore-based real estate investment trust (REIT) aims to maintain its competitive edge, particularly in challenging markets like North Sydney, Australia. This strategy includes ongoing projects at the IMM Building in Singapore and Gallileo in Frankfurt, Germany, slated for completion in the second half of 2025.

CICT’s financial health appears robust, with a forecasted funds from operations (FFO) to debt ratio of 7.6%-8.0% in 2025, an improvement from 6.8% to 7.2% in 2024. The REIT’s aggregate leverage decreased to 38.5% by the end of 2024, following the sale of 21 Collyer Quay in Singapore. This positions CICT to potentially increase its debt by $660m before reaching its target leverage of 40%.

The REIT’s revenue is expected to grow by 3%-8% annually over 2025-2026, driven by its 50% stake in ION Orchard and contributions from Gallileo. CICT’s net property income margin rose to 72.7% in 2024, supported by positive rental reversions and high occupancy rates across its portfolio. Retail properties reported an 8.8% rental reversion, whilst Singapore office properties achieved an 11.1% increase.

Despite rising interest costs, with debt costs projected to near 4% in 2025, CICT’s strong operating performance is expected to mitigate these pressures. The trust’s strategic initiatives aim to ensure long-term resilience and growth in its earnings.

24/7 FITNESS, a prominent fitness brand from Hong Kong, has launched its flagship club in Singapore on Orchard Road. This marks the brand’s first venture into the Singaporean market following its acquisition of the local fitness chain GymmBoxx. With ambitions to open 40 locations across the city-state over the next three years, 24/7 FITNESS aims to become a leading choice for fitness enthusiasts in Singapore.

The newly opened 10,000-square-foot facility on Orchard Road is the largest 24/7 FITNESS club in Singapore, equipped with state-of-the-art cardio and weight-training equipment suitable for all fitness levels. The gym operates 24 hours a day, offering members the flexibility to work out at their convenience. Ingrid Wong, CEO of 24/7 FITNESS, stated, “Our goal is to redefine fitness accessibility in Singapore by providing world-class facilities and services at an affordable price.”

Currently, 24/7 FITNESS has 13 branches in strategic locations such as Ci Yuan Community Club, Keat Hong Community Club, and The Seletar Mall. Future sites include The Cathay, Jalan Besar, and Beauty World, ensuring widespread access to their facilities.

Membership starts at £98 per month, with no joining fees or prepayment required, offering a transparent pricing model. Members can access all 24/7 FITNESS locations across the Asia-Pacific region, benefiting from the brand’s extensive network. The introduction of a Smart Face Recognition Terminal further enhances convenience, allowing seamless entry without physical keys.

Founded in Hong Kong, 24/7 FITNESS operates over 200 locations in the Asia-Pacific region, including Hong Kong, Mainland China, Taiwan, and Macau. The brand’s entry into Singapore signifies a significant step in its mission to make fitness accessible and affordable, combining convenience, technology, and value for all.

SkiesFifty, a sustainable aviation investment fund based in Singapore and the UK, has announced a collaboration with UK-based Catalsys to fund a joint venture aimed at decarbonising aviation ground operations. The initiative will focus on providing carbon-free electricity and advancing research into alternative aircraft propulsion systems.

The partnership plans to utilise Catalsys’s patented generator, which is fuelled by green ammonia, alongside a portable ammonia cracker to produce off-grid green electricity at airports. This approach is expected to offer significantly lower costs compared to other zero-carbon alternatives. The generated electricity will be used for both airside and landside operations, including charging electric ground vehicles such as airfield equipment, rental cars, and buses, as well as powering ground units at aircraft stands.

Additionally, the venture will explore the conversion of green ammonia into a fuel blend compatible with jet engines. This builds on existing studies that suggest strong potential for powering both short-haul and long-haul aircraft with minimal impact on range and payload.

The agreement between SkiesFifty and Catalsys includes providing funding and resources, serving as a precursor to a substantial investment by SkiesFifty in Catalsys’s parent company, pending due diligence. This underscores their commitment to delivering impactful aviation solutions.

SkiesFifty is dedicated to accelerating aviation’s journey towards net-zero emissions, having recently partnered with Frontline BioEnergy to produce Sustainable Aviation Fuel and collaborated with GigaBlue to enhance ocean-based carbon capture. Catalsys specialises in affordable, off-grid green power solutions tailored to modern industries’ needs.

Financial compatibility is emerging as a crucial factor in relationships, according to a new study by Syfe and Coffee Meets Bagel. The “Love Meets Money” research highlights that 92% of Singaporeans now consider financial management skills an attractive quality in a partner, signalling a shift in romantic priorities.

The study also found that nearly half of Singaporeans believe financial transparency should occur by the third to fifth date, challenging traditional taboos surrounding discussions about money. This trend reflects a broader cultural shift towards openness and practicality in relationships, especially in Singapore’s high-cost, high-pressure environment.

Interestingly, the research indicates a significant change in attitudes towards financial independence among women. In 2025, 25% of female respondents expressed comfort with dating someone who earns less than them, a stark contrast to 2022 when no respondents shared this view. This shift underscores a growing acceptance of diverse financial dynamics in modern relationships.

The study suggests that singles in Singapore are increasingly prioritising shared financial goals, such as home ownership and long-term stability, as part of their romantic pursuits. This focus on financial compatibility is reshaping the landscape of modern relationships, with couples seeking alignment in financial aspirations as a foundation for lasting partnerships.

The findings offer a fresh perspective on how young couples are navigating financial discussions, with real-life case studies illustrating how Singaporeans are redefining romance through financial compatibility. As Valentine’s Day approaches, these insights highlight the evolving nature of love and money in contemporary society.

Singapore’s banking sector is experiencing significant client attrition, with nearly 90% of banks reporting losses over the past year due to delays and inefficiencies in onboarding processes. This marks a 35% increase from 2023, according to a study by Fenergo, a leader in client lifecycle management. The report highlights that Singapore has the highest client loss rate globally, surpassing banks in the US, UK, and Japan.

The inefficiencies are largely attributed to poor data management and siloed workflows, with 91% of respondents citing these as key factors. Additionally, 79% pointed to inadequate customer experiences, and 47% blamed overly complex onboarding processes. These challenges arise as Singapore’s financial institutions strive to comply with the national anti-money laundering (AML) strategy, introduced after a major scandal in 2023.

Cengiz Kiamil, Managing Director at Fenergo, noted, “It’s no coincidence that the spike in banks losing clients because of burdensome KYC and onboarding closely follows one of the biggest money laundering scandals in Singapore’s history.” He emphasised the need for banks to enhance client due diligence to mitigate risks.

Despite the challenges, there is a growing interest in AI-driven solutions, with 38% of banks planning to deploy AI to boost operational efficiency and 30% aiming to improve data accuracy. Kiamil stated, “In today’s fast-evolving regulatory landscape and rising financial crime, it has never been more important for firms to strengthen their client onboarding and KYC procedures.”

Fenergo’s report, “KYC in 2024,” provides detailed insights into the time and cost implications for banks conducting KYC tasks, underscoring the urgency for digital transformation in Singapore’s banking industry.

Retail sales in Singapore experienced a decline of 2.9% in December 2024 compared to the same month in 2023, according to the latest figures released by the Singapore Department of Statistics. When excluding motor vehicles, the decrease was more pronounced at 4.0%. In contrast, the food and beverage services sector saw a slight increase of 1.0% over the same period.

The decline in retail sales highlights ongoing challenges within the sector, possibly influenced by changing consumer behaviours and economic conditions. The exclusion of motor vehicles from the data suggests that other retail categories may be underperforming, indicating a potential area of concern for businesses and policymakers alike.

Conversely, the modest growth in food and beverage services suggests resilience in this sector, possibly driven by increased dining out and consumer spending during the festive season. This growth, albeit small, may provide some optimism for businesses in the hospitality and dining industries.

UniFuels Holdings Limited, a global provider of marine fuel solutions based in Singapore, has announced its bronze sponsorship of the International Bunker Industry Association (IBIA) Annual Dinner 2025. The event is set to take place on 24 February at the Grosvenor House Hotel in Mayfair, London, and is renowned for bringing together key stakeholders and leaders from the maritime and marine fuel sectors.

The sponsorship aligns with UniFuels’ commitment to innovation, collaboration, and excellence within the marine fuels industry. Chief Operating Officer Stefanie Tay expressed the company’s honour in participating, stating, “This event aligns with our core principles of innovation, collaboration, and excellence in the marine fuels sector and provides a valuable platform to engage with our peers and discuss future progress in our industry.”

UniFuels’ involvement underscores its dedication to addressing critical industry challenges, including decarbonisation, sustainability, and operational efficiency. By supporting the IBIA Annual Dinner, the company reaffirms its commitment to fostering dialogue and collaboration that drive meaningful progress in the industry.

Founded in 2021, UniFuels has rapidly grown into a dynamic company with a presence across multiple locations, supporting shipping companies in optimising fuel procurement. The IBIA, representing stakeholders across the global bunker industry, includes members from over 70 countries, making the annual dinner a significant event for industry networking and collaboration.

The sponsorship highlights UniFuels’ strategic focus on engaging with industry peers to advance the marine fuel sector’s future.

International property consultancy Knight Frank Singapore has announced the sale of three adjacent ground-floor freehold strata shop units at Lucky Plaza, a prominent shopping destination on Orchard Road. The sale, conducted via Expression of Interest (EOI), offers potential investors a rare opportunity to acquire prime retail space in one of Singapore’s most sought-after locations.

The units, strategically located near the mall’s entrance and facing the main atrium, are currently leased to souvenir retailers. They measure approximately 495 sq ft, 495 sq ft, and 388 sq ft, and can be purchased individually or as a collective portfolio. Mary Sai, Executive Director of Capital Markets at Knight Frank Singapore, highlighted the scarcity of such properties, noting that “the supply of freehold strata retail properties along Orchard Road has remained limited since March 2022.”

Lucky Plaza is a mixed-use development frequented by both tourists and locals, surrounded by upscale condominiums, medical facilities, and other shopping destinations. It is directly linked to Orchard MRT station, enhancing its accessibility. The units are expected to attract significant interest, as they offer immediate rental income without incurring Additional Buyer’s Stamp Duty or Seller’s Stamp Duty.

The EOI exercise closes on 6 March 2025 at 3:00 PM. Recent market activity in the area underscores the investment potential, with similar properties fetching premium prices. The asking price for the available units ranges from S$16,000 psf to S$18,000 psf, reflecting their prime location and high demand.

AIA Singapore has unveiled its latest findings from the AIA Live Better Study, highlighting that over 4 in 5 Singapore residents are actively managing their finances in anticipation of a challenging economic year in 2025. The study, conducted in November 2024, reveals a generational divide in financial optimism and preparedness, with younger adults aged 18-29 feeling more financially secure than their 40-49-year-old counterparts.

The study indicates that only 47% of Singaporeans remain optimistic about the economy, with inflation and the cost of living being the primary concerns for 50% of the population. Despite these challenges, Singaporeans are focusing on financial resilience, with 54% prioritising long-term financial readiness. Key strategies include building emergency funds, planning for retirement, and diversifying investments.

Insurance plays a crucial role in financial security, with 48% of respondents recognising its importance. AIA Singapore’s Chief Marketing and Healthcare Officer, Irma Hadikusuma, noted, “Despite the expectation of challenging times, the people of Singapore are showing remarkable resilience and proactiveness.”

Healthcare costs also pose a significant concern, with 53% of residents finding them expensive. However, less than half feel financially prepared to manage these expenses, prompting calls for increased support from both government and private sectors.

The study highlights a stark contrast between age groups, with younger Singaporeans less worried about economic pressures and more focused on experiences. In contrast, those in their 40s are more concerned about financial stability, reflecting their life stage responsibilities. As Singapore celebrates its 60th birthday, the findings underscore the nation’s evolving financial priorities and resilience.