DAILY MARKET UPDATES 14th November 2008

River Valley condo Luma relaunches with prices halvedPrices have been slashed by half at Luma, a 75-unit freehold luxury condominium at River Valley Grove. Relaunching this weekend, units at Luma are offered at $1,450 per square foot, down almost 50 per cent from $2,800 psf when it was first launched last year. About 10 units had been sold, mainly in Dubai and Hong Kong. SISV-Realink data shows two units on the 25th floor changed hands at $2,837 psf and $2,586 psf in April this year. These prices were already much lower than those for two units on the 20th and 26th floors, which went for $3,349 psf and $3,291 psf in August last year. The Business Times, P1

CDL defers South Beach construction, bets on costs easing CDL posted an 11 per cent year-on-year drop in third quarter net earnings to $150.8 million and has deferred construction of its South Beach project until construction costs fall to more attractive levels. The group also announced it is delaying launching new residential projects due to the subdued property market and global economic uncertainty. Nevertheless, it has proceeded with the construction for The Arte at Thomson and The Quayside Collection at Sentosa Cove, 'both of which were secured at relatively low land and construction costs'. The Business Times, P3(See attached – “Q3 Property Grp Results”)
New HDB BTO prices defy gloomHDB has launched the 750-unit Punggol Arcadia with five-room flats going for as much as $356,000 to $416,000. This represents an increase of between 7 and 8 per cent compared to the neighbouring Punggol Sapphire, which HDB launched six months ago. Both Punggol Arcadia and Punggol Sapphire are sold under HDB's BTO and are about equal distance to Punggol MRT/LRT station. Four-room flats at Punggol Arcadia are priced at between $269,000 and $327,000.The Business Times, P3
Higher-end HDB market may be cooling With one day left to the closing of applications, Natura Loft at Bishan has drawn about 600 applications for 480 flats. This is in stark contrast to the overwhelming demand for the previous three projects sold under the HDB's design, build and sell scheme (DBSS). The first project, Premiere @ Tampines, was a big hit, with 6,000 applications for 616 homes; City View @ Boon Keng had 3,500 buyers vying for 714 flats; while the third project, Park Central at Ang Mo Kio, drew 2,300 bids for 578 units. The Straits Times, C18
Ho Bee reports 52% drop in Q3 earningsHo Bee Investment’s third-quarter net profit fell 52.3 per cent to $18.7 million, from $39.3 million a year ago, as the developer saw lower revenue contributions from its property development projects. Revenue fell 59.4 per cent to $52.5 million, from $129.6 million in Q3 2007. The decline in turnover was mainly due to the deferment of revenue recognition from units sold under the deferred payment scheme, which are now in various stages. The bulk of revenue will only be recognised once the TOPs are obtained. However, the expected completion of five residential projects by the first half of 2009 - The Coast, Paradise Island, Orange Grove Residences, Vertis and Quinterra - will make a significant contribution to the company's revenue and earnings in the 2009 financial year.
The Business Times, P5
Banyan Tree posts $4.9m Q3 loss, hit by Thai turmoilResort operator Banyan Tree Holdings posted a net loss of $4.88 million for the third quarter ended Sept 30. Revenue from hotel investment dropped 13 per cent to $37.4 million. At $8.7 million, property sales were also lower than Q307's $16.3 million while hotel management revenue decreased by $0.4 million to $4.3 million. The Business Times, P8
Marina Bay Sands may open in phasesLas Vegas Sands this week raised about US$1 billion to shore up its finances and said it would halt or delay projects in Macau and the United States to conserve cash. Marina Bay Sands 'had earlier committed to completing the integrated resort in a single phase by end-2009; however, it recently submitted a proposal for a progressive opening from end-2009 onwards', the Singapore Tourism Board (STB) said. 'STB is considering the proposal.' The board also said Las Vegas Sands will invest about US$500 million in additional equity to ensure the Singapore project is completed. The Business Times, P10
Festive deals to tempt touristsSTB has conceded it would fall short of its tourist-arrival and spending targets this year as a result of the global downturn, but it is nonetheless mounting an additional 'push' for this period. STB unveiled activities built around the Christmas light-up of the Marina Bay. The aim is to get both downtown shopping belt stretching from Orchard Road to tourists and Singaporeans to spend, despite the downturn.The Straits Times, C8
MDIS aims for more schools in AsiaMDIS has opened its first overseas campus in Tashkent and is looking to expand further both locally and abroad. It is planning to open four more campuses in China, India, Malaysia and Vietnam so that its students can have a truly global education, spending a term on each campus. The Straits Times, C14
Classes start next month at Curtin Uni
Curtin University of Technology will start classes at a newly consolidated campus in Singapore next month. It plans to broaden its course offerings from business to health sciences and humanities by next year. The school has 800 students doing degrees with its three Singapore-based partners. By the end of next year, the number is expected to grow to 1,500.The Straits Times, C15
G-20 must back dollar-based system: JapanMr Aso will also formally pledge US$100 billion of Japan's foreign exchange reserves as a loan to the International Monetary Fund (IMF) as an 'interim measure' during negotiations on beefing up its resources to deal with the current crisis. He will also urge an 'early' increase in the capital of the Asian Development Bank to enable to it to cope with demands from crisis-hit Asian economies. The Business Times, P11
India's inflation drops to six-month lowIndian inflation dropped sharply to its lowest in nearly six months in early November as prices of metals and fuels fell, and analysts said the unexpectedly low figure gave the central bank room to cut rates. India's wholesale price index, rose 8.98 per cent in the 12 months to Nov 1, well below forecasts for a rise of 10.37 per cent, data showed yesterday. Economists and policy makers expect growth to slow to 7 per cent in the current fiscal year to March, from the close to 9 per cent seen in the previous three years.The Business Times, P13