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Daily Briefing: Hougang project sold $629m via en bloc; CACHE hits 8% distribution yield

Daily Briefing: STI ETF gains 16%; CACHE hits 8% distribution yield

And here are two STI ETFs that have gained by as much as 15%.

From ZUU online via Yahoo! Finance:

Singapore economy is said to have recorded an estimated 3.1% growth in Q3 2017. With the economy on growth track, corporate profits recovery followed suit. Real estate prices are starting to inch up as well.

STI ETFs are expected to have performed well, in line with the percentage gain in STI index. In fact, the 2 ETFs which tracks the STI, namely Nikko AM Singapore STI ETF and SPDR STI ETF have gained 16% (as seen in the chart above) and 15% respectively, slightly outperforming the index gains from 2,962 points at start of 2017 to 3,291 points as at market close of 6 October 2017.

Read more here.

From The Motley Fool:

The REIT focuses on logistics assets and has 19 logistics warehouse properties in its portfolio. The assets are located in established logistics clusters in Singapore, Australia, and China.

For its second quarter, Cache reported that gross revenue was down by 0.7% year-on-year while net property income dipped by 4%. Distribution per unit dropped to 1.8 cents.

The weaker performance was due to a lower contribution from 51 Alps Ave and divestment of Cache Changi Districentre 3 in January 2017.

On a positive note, the occupancy rate was high at 98.3%, as of June 2017.

At $0.835, the REIT is trading at a distribution yield of 8.74% and has a price to book ratio of 1.1.

Read more here.

From PropertyGuru:

The 336-unit Florence Regency development at Hougang Avenue 2 has been sold to Hong Kong-listed developer Logan Property for $629 million, marketing agent JLL said on Friday (20 October).

This is the first collective sale attempt by the owners of the privatised HUDC, and the price matches the valuation of the site by an independent valuer.

It translates to a land price of approximately $842 psf per plot ratio, after factoring in the differential premium of $288.6 million to top up the lease to a fresh 99 years, and to develop the site to a gross plot ratio of 2.8.

Read more here.

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