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Tag: Singapore

  • Singapore eyes increased investments, more flights to Manila

    The government of Singapore has expressed interest in further increasing its investments in the Philippines, as well as adding more flights to Manila in anticipation of increased demand in air travel between the two countries.

    In a recent meeting with Finance Secretary Carlos Dominguez III, Singaporean Ambassador to Manila Kok Li Peng said Singapore’s private sector would like to explore new growth opportunities in the Philippines, particularly in the retail, transportation, infrastructure and tourism sectors.

    Ambassador Kok said Singaporean businessmen were planning to schedule the next meeting of the Philippines-Singapore Business Council (PSBC) in Davao City and, if possible, meet with President Rodrigo Duterte to discuss new business and investment activities in the Philippines.

    “We’re trying to get a mixed meeting of the PSBC here. They want to bring the members to Davao to meet with the President,” Kok said, to which Dominguez responded that a possible date for such a dialogue could be in February.

    Singapore’s investments in the Philippines–valued at P16.8 billion in 2015–are mostly in real estate activities, electricity, gas, steam and air conditioning supply, and manufacturing.

    Singapore was the Philippines’ fourth largest trading partner in 2015. The country’s total exports reached $3.8 billion in 2015, mainly comprising electronic products, petroleum products, and electronic equipment and parts.

    The Philippines, in turn, imported a total of $5 billion worth of goods from Singapore in 2015, mostly mineral fuels, lubricants, food and live animals, and industrial machinery and equipment.

    Kok also said that Singapore was looking at the Philippines in exploring more markets for its airline industry.

    “More competition is good for the consumer,” Kok said in explaining Singapore’s plan for its airline companies—Singapore Airlines, SilkAir and Tiger Airways—to add more flights to the Philippines.

    In response, Dominguez, a former chairman of the Philippine Airlines, agreed that opening the Philippines’ air travel industry to competition and even partnerships with other airlines would benefit the economy and boost the growth of the tourism sector.

    Dominguez said the Duterte administration was “engaging more with ASEAN and countries around Asia” as a way to “move forward” and achieve a balance in strengthening the Philippines’ diplomatic ties with other nations across the globe.

    In Beijing last October, Dominguez and Socioeconomic Planning Secretary Ernesto Pernia, who were part of President Duterte’s delegation on his state visit to China, jointly announced that while the Philippines would maintain its good relations with Western economies, it pushed for “stronger integration” with its neighbors in the region.

    The move, they said, would open for the Philippines countless opportunities for trade and investment in a market of 1.8 billion people across the region, especially now that other ASEAN economies had also committed to greater integration and China had pledged to open its capital markets.

    ASEAN groups the Philippines, Malaysia, Singapore, Brunei, Thailand, Indonesia, Laos, Cambodia, Myanmar and Vietnam.

    Both Dominguez and Kok agreed that technology and innovation are indispensable to sustaining growth under the current knowledge-based global economy.

    “We’re now [living under] a knowledge-based economy. We think innovation is the way to go in the future,”Kok said.

    Dominguez said the rapid growth of online-based businesses and investments was among the reasons the Duterte administration considered it a priority to improve “interconnectivity and internet speeds” in the country.

    “The structure of the industry in the Philippines right now is really holding us back. And it’s becoming quite obvious that the system now we have, where we basically have two service providers, is not really working,” Dominguez told Kok.

    In the meeting, Kok also informed Dominguez of Singapore’s request to review and update the terms of its 40-year old double taxation agreement with the Philippines.

    Dominguez assured Kok that he would discuss Singapore’s concerns regarding the double taxation agreement with the Bureau of Internal Revenue.

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  • Fatburger China plans big Beijing presence

    Fatburger China plans big Beijing presence

    Under a franchise deal, California chain Fatburger is about to establish a presence in Beijing.

    Known for its made-to-order burgers, shakes and fries, the brand has signed a franchise development contract with Beijing Haisiyamei Restaurant Management, which has committed to build more than 15 Fatburger China restaurants in Beijing.

    This follows the launch of the burger brand in Shanghai, at Sinan Mansions in Huangpu, about to be followed by outlets at BFC and Shanghai Tower.

    In the capital city, the first Fatburger China outlet will be at the Grand Summit Beijing, to be followed by another at Gemdale Plaza Beijing

    Fatburger is aiming to take its all-American dining experience to new territories worldwide, and has opened in 32 countries. It has just launched in the Philippines and has agreements in place for a further 350-plus locations internationally.

    “Sharing core values with key partners is crucial to the growth of the Fatburger brand throughout the world, and we are certain Beijing Haisiyamei Restaurant Management will successfully introduce our menu to new fans,” says Fatburger CEO Andy Wiederhorn.

    Fatburger is a fast-casual restaurant serving burgers crafted specifically for each customer. It started its foray in Asia with its parent, Fog Cutter Capital Group, signing a deal with Puji Capital in Shanghai with the aim of expanding across China, Taiwan and Singapore.

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  • A selfie to verify your MasterCard? Why Not

    A selfie to verify your MasterCard? Why Not

    Moving from social media to commerce, the “selfie” is about to become verification for online transactions for Mastercard users.

    An executive of the credit-card company says the “selfie verification” technology will be introduced in Singapore and other parts of Asia this year.

    Known as Mastercard’s Identity Check, the system will let card holders use facial-recognition technology to match selfies against their photograph on file to ensure the veracity of online transactions.

    “There could be an issue with twins, but  I would need to have a bad twin,” says Mastercard executive VP for identity solutions Bob Reany. “They would have to break into my house, steal my phone and be at my location.”

    With its prototype, Mastercard will convert head shots into encrypted code to be stored on a mobile device. The “selfie” would not need to be a perfect match, and banks would set the threshold for the accuracy of the matching.

    “We’ll advise the bank and say ‘You don’t want to be too open and have only 20 per cent of the things match’. Then, everybody and their dog could use it,” says Reany.

    The technology can either be as a standalone app or be integrated into an existing bank app. It can also work with other payment brands.

    No specific date has been set for the launch in Singapore, where some banks provide not just tokenisation but also use two-factor authentication for transactions.

    Already the technology has been rolled out in 12 markets in Europe.

    More sophistication

    Mastercard data shows that the rate of online payment fraud is more than three times higher than for physical transactions. Against this, banks are approving just 83 per cent of online transactions, compared to the 96 per cent for physical transactions.

    Reany says cybercrime is also gaining in sophistication, with new forms of malware being evolved. He says the fraudsters are smart. “They are getting PhDs and are finding ways to commit fraud. What we have to do is ruin their business model.”

    He says this runs along the enormous potential for growth in the online payment space, with the number of online and mobile transactions expected to double to 40 billion by 2020.

    Tokenisation already cuts the risk of credit-card numbers being stolen from single individuals and the details being sold in larger batches on the dark web. With tokenisation, a card number is replaced by a unique set of numbers not tied to actual account details. Mastercard is now working to fill another gap by tokenising the card details merchants already have on file.

    Reany says banks and payment companies need to combine various tools to create more secure authentication. This should so significantly raise the costs for criminals to exact fraud that the returns are no longer worth it. “If it’s not a scalable attack, we’re winning.”

  • Lina’s Paris seeking partners in SE Asia

    Lina’s Paris seeking partners in SE Asia

    After launching in Korea, French fast-casual restaurant chain Lina’s Paris is planning to roll out across Southeast Asia.

    Working with a franchisee, it already has 10 restaurants in Korea and has just opened a kiosk in Seoul Art Center with 100 seats.

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    Founded in 1989, Lina’s Paris offers French-style breakfasts, sandwiches, salads, hot dishes, soups, fresh juice, sorbet and pastries. The outlets are designed as comfortable lounges with free WiFi and Parisian decor. In some countries the offer includes organic and gluten-free food.

    Lina’s Paris has nearly 50 restaurants in six countries, and says it is now actively seeking partners in Southeast Asia.

  • Louis Vuitton Singapore 20 years anniversary gift

    Louis Vuitton Singapore 20 years anniversary gift

    Louis Vuitton Singapore has given its Orchard Road boutique in Singapore a makeover to celebrate its 20 years at Ngee Ann City.

    The maison’s signature monogram flower pattern has been reinterpreted in shiny copper with a fading effect, with the exterior façade featuring stone, glass and metal – materials that signifies authenticity and tradition.

    Inside the luxurious fittings include cerused oak with gold leaf, natural stone floors, plush furniture by Helene de Saint Lager and Paul Evans, and hand-knotted carpets from Nepal.

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  • Jumbo Group signs deal for Vietnam

    Jumbo Group signs deal for Vietnam

    Singapore seafood restaurant company Jumbo Group has signed a franchise agreement to introduce its brand in Vietnam.

    Known for its chili crab, the F&B chain has granted franchise rights to Vietnam’s Nova Bac Nam 79 Joint Stock Company for it to run Jumbo Seafood restaurants in Ho Chi Minh City and Da Nang.

    Vietnam’s first Jumbo Seafood outlet is expected to open in Ho Chi Minh City in about six months’ time.

    The agreement is for an initial term of 10 years, and it is expected that three Jumbo Seafood outlets will be opened within two years.

    Jumbo Group is a multi-concept dining and F&B group with a network spanning Singapore, China and Japan. It also provides catering services, and in Singapore sells packaged sauces and spice mixes. It has three outlets in Shanghai, with three more planned, and in November reported a full-year profit increase of 17.9 per cent.

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  • Asian pax growth of 3.2% at Changi lifts November traffic

    Asian pax growth of 3.2% at Changi lifts November traffic

    Singapore Changi Airport has reported 4.78m passenger movements for November 2016, representing a +3.2% rise on November 2015, while total passenger traffic handled during the first 11 months of 2016 increased by +5.7% to 53m.

    During the same two periods, cargo shipments grew by +6.1% to 1.79m tonnes and aircraft movements rose by +4.1% to 328,520 landings and take offs, while in the first 11 months cargo grew +7.9% to 173,170 tons and take offs and landings by +3.4% to 29,710.

    The Civil Aviation Authority of Singapore stated: “Passenger traffic for the month of November was supported by growth in air travel to and from South-east Asia, North-east Asia and South Asia.

    STRONG GROWTH TREND TO SOUTHEAST ASIAN CITIES

    “Among Changi’s top 10 country markets, China (+13.7%), Vietnam (+9.9%) and India (+9.8%) led the gainers. As for Changi’s top 10 cities, strong traffic growth was observed between Singapore and Southeast Asian cities, such as Kuala Lumpur, Denpasar, and Ho Chi Minh City.”

    The CAAS also pointed to new services to India, with Air India Express launching four weekly services to Kolkata on 20 November, and Jet Airways starting daily services to Bangalore on 14 December.

    SilkAir also has launched four weekly services to Fuzhou in China, while Xiamen Airlines increased the frequency of its Singapore-Xiamen services from 14 weekly flights to 17 from 18 November. In addition, Myanmar National Airlines also raised its number of flights to Yangon from seven to 12 weekly services from 1 December.
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    NEW TERMINAL 3 RETAIL OUTLET ‘DEBUT’

    Meanwhile, between 16 November to 18 December 2016, CAAS added that the sole new store opening in Terminal 3’s Basement 2 over the period was by Etoz, which it describes as a manufacturer and retailer ‘of quality home and bedding products’, which has made its airport store debut at Changi.

    In addition, a ‘Teahouse by Soup Restaurant’ offering a variety of ‘unique’ Nanyang Dim Sum has also opened in the Terminal 1 public area.

    Changi Airport management said that as of 1 December 2016, more than 100 airlines were operating at Changi Airport, flying to around 380 cities in 90 countries and territories worldwide.

  • Singapore Airlines rolling out more planes with premium economy cabins

    Singapore Airlines rolling out more planes with premium economy cabins

    Singapore Airlines (SIA) is banking on premium economy services to entice travelers to pay more for extra comfort.

    About four in 10 SIA planes now offer the service, slightly more than a year since it rolled out premium economy cabins, which offer perks such as more legroom and better food.

    And the carrier said it will continue to retrofit more aircraft with such cabins to meet travelers’ needs.

    Demand is especially strong on long-haul routes, said SIA spokesman Nicholas Ionides.

    The premium economy cabin includes features such as wider seats with greater recline and more legroom.

    First introduced more than two decades ago, such cabins are now found on more than 50 carriers worldwide, including American, European and Asian airlines.

    Apart from SIA, airlines that have rolled out such cabins in recent years include Hong Kong’s Cathay Pacific, which introduced them in 2012.

    Middle Eastern airlines, which have so far resisted the option, are now considering it as well.

    Premium economy services have caught on as they are popular with travelers who do not mind paying more for extra comfort, especially on long-haul flights.

    Cost-conscious businesses are also turning to them as an option for their executives on work trips, experts said.

    A premium economy ticket can cost up to 1 ½ times more than the economy fare, though this also varies depending on routes and time of travel.

    “The difference between the economy and premium economy fares for last-minute bookings can reduce significantly to just around 20 per cent to 30 per cent in some cases,” said Akshay Kapoor, director (Asia-Pacific) at CWT Solutions Group, which manages travel for corporate clients.

    While most airlines have taken a keen interest in the premium economy product, most tend to roll this out rather cautiously, he said.

    The number of premium economy seats is typically below 10 per cent of the total number of seats on the aircraft, said Kapoor.

    One concern that airlines have is that instead of economy travelers upgrading, business travelers could end up downgrading.

    Brendan Sobie, a Singapore-based analyst at the Centre for Aviation think-tank, said: “The idea is always to get economy class passengers to upgrade rather than to cannibalise business class.

    “However, there is always some cannibalisation – generally not a significant amount but there’s always the risk.”

    At Cathay Pacific and SIA, premium economy passengers are a mix of those who have downgraded from business and those who used to fly economy but are increasingly drawn to premium economy, especially on long-haul flights to North America and Europe, for example.

    However, given the uncertain global economic outlook, experts expect more business travelers to downgrade.

    Kapoor said: “With continued economic uncertainty expected over the next few quarters, we believe that organisations will increasingly be seeking avenues to drive savings in their travel spend without having to cut down on the amount they travel.

    “Taking premium economy over business class could save 60 to 70 per cent of the airfare and allow for more trips to a destination for the same dollar amount.”

    Rayman Som, 51, a human resource director who travels four to five times a year, has flown twice on SIA’s premium economy class on company expense.

    He said he took a short flight to Hong Kong the first time, so it did not make much difference. But he flew to Paris the second time and it proved a different experience.

    “The wider seat, more legroom and greater recline were much welcomed on the longer flight,” he said.

    He added: “Would I pay out of my own pocket for premium economy? For a short flight, no. For longer journeys, it makes sense if the price is right. I think 30 to 40 per cent more is reasonable.”

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  • 2 Vietnamese men jailed for smuggling songbirds

    2 Vietnamese men jailed for smuggling songbirds

    Two Vietnamese men were sentenced to six months’ jail yesterday for smuggling 12 songbirds into Singapore. The estimated retail price of each bird here is $1,800.

    Businessman To Quoc Viet, 38, and his half-brother, Thai Anh Quoc, 48, who is jobless, were also jailed for four months each for animal cruelty. The sentences for animal cruelty will run concurrently with the sentences for smuggling. Their sentences were backdated to Dec 15.

    The men pleaded guilty to importing 12 Chinese hwamei, a protected species under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (Cites), from Ho Chi Minh City, Vietnam, without a permit on Dec 9.

    They also subjected the birds to unnecessary pain or suffering. The birds had been confined for about 12 hours in plastic containers without food or water.

    One died and another had to be euthanised after testing positive for avian influenza strain H3N8.

    Immigration and Checkpoints Authority (ICA) officers found the birds in plastic containers measuring 21cm by 6.5cm by 6.5cm in the men’s luggage at Changi Airport.

    Investigations showed that in Vietnam on Dec 7, To Quoc Viet’s brother “Huy”, a pet-shop owner, instructed him to prepare to go to Singapore, as a potential buyer wanted him to deliver the birds to Singapore. To Quoc Viet was promised a reward of $200.

    The next evening, Huy sent someone to deliver the flight tickets and two pieces of luggage, each containing six live birds in plastic boxes, to the two men. The duo packed their personal belongings into the bags.

    Agri-Food and Veterinary Authority (AVA) prosecutor Yap Teck Chuan said the birds were housed in a cramped manner with hardly any space for them to move.

    In a joint statement, AVA and ICA said the Government has zero tolerance for the use of Singapore as a conduit to smuggle endangered species. Animals that are smuggled into Singapore may introduce exotic diseases into the country.

    Singapore is one of the few countries in the region free from bird flu, and AVA maintains this status through strict import regulations and enforcement. “The ICA and AVA would like to remind travellers not to bring animals, birds and insects into Singapore without a proper permit,” the statement added.

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  • Beauty brands add colour to dull retail scene

    Beauty brands add colour to dull retail scene

    Amid a soft retail scene, one segment has been bucking the trend: beauty products. In fact, beauty brands are growing their bricks- and-mortar presence here in and around Orchard Road.

    At least three international brands are expanding beyond department stores and multi-label beauty chain Sephora to establish standalone stores.

    French company Nars Cosmetics will open its first boutique in Ngee Ann City later this month, a spokesman told. The company’s products are currently available at Sephora, Tangs at Tang Plaza and Robinsons Orchard.

    The move follows double-digit year-on-year growth through its current channels, said the spokesman, and the standalone store will facilitate a multi-channel business model, including e-commerce.

    American brand Urban Decay, previously available only at Sephora, launched its first boutique in VivoCity in 2015 – also its first in the region. It now has stores in Bugis Junction and a flagship outlet in Ngee Ann City which opened last month. It said sales were “outperforming the market”.

    Sales of colour cosmetics here are expected to grow annually to reach more than this amount by 2020, up from an estimated $230.5 million for last year, according to Euromonitor International.

    Meanwhile, MAC Cosmetics, which has 12 stores in Singapore, opened its 1,980 sq ft flagship outlet in ION Orchard last month.

    American brand NYX Professional Makeup opened its first two boutiques in October and November in Bugis Junction and Plaza Singapura, with plans to open more.

    Sales of NYX products at Sephora outlets have more than doubled between 2015 and 2016, but standalone stores allow the company to showcase more products, said marketing manager Jerraine Lim.

    Ms Esther Ho, assistant director at Nanyang Polytechnic’s School of Business Management, said that challenging economic times create opportunities for brands as malls compete to fill the spaces vacated by other retailers.

    Vacancies for retail properties rose to 8.4 per cent at the end of the third quarter of last year – the highest level since the first quarter of 2011, according to data from the Urban Redevelopment Authority.

    “Rentals could be sufficiently depressed to attract new tenants such as Nars into the shopping malls,” said Ms Ho.

    Sales of colour cosmetics in Singapore are expected to grow annually to reach more than $278 million by 2020, up from an estimated $230.5 million for 2016, according to market research firm Euromonitor International.

    This comes even as retail sales, excluding motor vehicles, have fallen every month since February last year, with the latest government data estimating a fall of 0.3 per cent in October over the same period in 2015.

    Still, retail experts said cosmetics sales may be getting a boost as consumers trade big-ticket purchases for “small luxury” items such as expensive lipstick.

    Said Singapore Polytechnic senior retail lecturer Sarah Lim: “Shopping is psychological; the more you buy, the better you feel.”

    Cosmetics stores have an advantage as consumers like to try out products on their skin, while social media influencers help to boost sales by building hype, she added.

    Apart from touting a wider selection of products and exclusive collections, the new boutiques have also incorporated experiential elements.

    Nars’ store will feature a virtual try-on function and photo booth, while NYX’s two stores have interactive beauty bars for customers to follow make-up tutorials. Social media content is also integrated in NYX’s and Urban Decay’s stores.

    “Cosmetics stores are doing well in creating an experience for shoppers; other retailers should take note,” said Ms Lim.

    Healthcare worker Erin Baker, who spends up to $300 a month on cosmetics, said she is excited that more brands are opening boutiques here. “I like going into the store and trying on make-up, and boutiques have a nicer atmosphere and more personal and attentive service,” said the 27-year-old.

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  • Use underground space to boost retail in Singapore

    Use underground space to boost retail in Singapore

    In land-scarce Singapore, land optimisation is a strategic thrust that is achieved by reclaiming land, intensifying land use upwards, and building downwards.

    However, there are limits to land reclamation and building upwards due to maritime and aviation constraints respectively.

    Therefore, unlocking underground space and synergising below and above-ground land use is the next frontier for Singapore.

    To facilitate the growth of an extensive underground pedestrian network, the Urban Redevelopment Authority (URA) developed an Underground Master Plan to guide the construction of underground walkways in the Central Area.

    INCENTIVE SCHEME

    While the government has the ability to finance public underground development, the commercial viability of an underpass is a significant consideration for building owners and developers.

    Consequently, URA implemented an incentive scheme in 2004 to co-fund the construction of strategic underground links in the Central Region, in particular Orchard Road.

    However, no developer on Orchard Road has voluntarily capitalised on the URA incentive scheme to construct underground connections.

    This provided the key impetus for this study, which focuses on the integration of underground walkways with existing buildings on Orchard Road.

    It evaluates the feasibility of an underpass from the perspective of developers, retailers, and the public.

    PERSPECTIVES OF DEVELOPERS, RETAILERS AND THE PUBLIC

    From a developer’s perspective, there are two motivations for an underpass.

    First, an underground walkway provides a seamless, all-weather retail experience.

    Second, an underpass enhances underground connectivity which could generate higher foot traffic, resulting in higher rents for landlords.

    Furthermore, we found that there are two tiers of underpass in terms of connectivity efficiency, whereby a primary underground linkway provides a direct connection between an MRT station and shopping mall, while a secondary underpass connects two adjacent shopping malls.

    However, there are six barriers to the development of an underground walkway, namely:

    • (a) high construction cost;
    • (b) subterranean land premium;
    • (c) extensive underground infrastructure beneath public roads;
    • (d) structural building limitations;
    • (e) loss of rental revenue during construction period; and (f) diversion of pedestrian traffic to competitors’ shopping malls.

    Consequently, the total development cost – comprising high construction cost and subterranean land premium – renders an underpass commercially infeasible.

    A robust tenant mix is central to the success of an underpass, and the demand for retail space along the link depends on the rent and trade mix.

    Generally, retail rent is contingent upon the location within a shopping mall, shop size, and the building’s proximity to transportation nodes.

    The rents are highest on the ground-level retail spaces fronting Orchard Road, while rentals in the basement levels are typically lower than those of levels one through three, except in cases with direct connectivity to an MRT station.

    Our study found that the suitable tenant mix for an underground walkway includes fashion, convenience, pharmacy and healthcare, food and beverage, and accessories.

    Furthermore, the tenant mix within an underpass is distinguished from those in the basement levels of a shopping mall.

    From a shopper’s perspective, one may use an underpass to commute, shop, or do both.

    It is dependent on the visibility and connectivity efficiency of an underpass.

    For instance, the primary underpass between Orchard MRT Station and Tangs Plaza is heavily utilised because it is not only highly visible, but it also serves as an efficient linear connection between the two shopping malls.

    Conversely, the secondary underpass between Orchard Central and The Centrepoint was previously underutilised due to a lack of both visibility and awareness of its existence.

    However, the completion of Orchard Gateway provided a more seamless underground connection between Somerset MRT Station and Orchard Central, generating higher traffic flow to The Centrepoint.

    RECOMMENDATIONS

    Our study proposes four recommendations to encourage the development of new underpasses:

    First, the government could undertake the construction of an underground linkway and sell the retail spaces to investors.

    The precedent was set by the sale of Tangs Underpass, connecting ION Orchard and Tangs Plaza, to joint-venture partners CapitaLand and Sun Hung Kai Properties.

    Today, the Tangs Underpass is lined with retail spaces on both sides of the walkway.

    Second, our study proposes further enhancement to the subsidy on public pedestrian walkways and an introduction of a subsidy for retail space under the URA incentive scheme.

    These refinements significantly reduce the construction cost of an underpass, thereby making it commercially viable for building owners and developers.

    Third, the government may consider the provision of feasibility studies and infrastructure support under the URA incentive scheme, which would benefit both the state and the market.

    From the state’s perspective, this would develop the underground database to aid future planning of subterranean space.

    Furthermore, it would provide the market with clarity on the physical conditions encompassing land parcels and technical requirements of an underpass.

    Additionally, infrastructure support could be offered in the form of cash subsidies to partially offset the high construction costs of underground tunnels on Orchard Road.

    Fourth, an increase in plot ratio could incentivise developers to undertake redevelopment or major addition and alteration works, leading to the construction of an underpass which is mandated by URA.

    The 2014 URA Master Plan allows up to a 15 per cent bonus in base plot ratio for land sites above 10,000 square metres in the Orchard Planning Area.

    Furthermore, there is a variety of space and design incentive schemes to maximise a site’s development potential.

    The upcoming Orchard Boulevard MRT Station in 2021 may motivate building owners to amalgamate land parcels in West Orchard and carry out redevelopment or major addition and alteration works, giving rise to the creation of new underground walkways.

    In conclusion, an effective incentive scheme entails a delicate balance between the objectives of the state in enhancing underground connectivity and the market, where profit matters.

    Ultimately, the exploitation of underground space has limitless potential in expanding Singapore’s physical space boundary vertically downwards and optimising land use through the seamless integration of below and above-ground activities.

  • Twelve Cupcakes sold to Indian tea company

    Twelve Cupcakes sold to Indian tea company

    Less than a month after celebrity couple Jaime Teo and Daniel Ong made their divorce public, it is now confirmed that Twelve Cupcakes, the cupcake chain they founded in 2011, has been sold to Kolkata-based Dhunseri Group, one of India’s largest tea producers, for S$2.5 million.

    Mr Mrigank Dhanuka, a member of the family that owns the Dhunseri Group, told: “We have acquired a 100 per cent stake in Twelve Cupcakes. The company, with a presence across 17 malls, helps us establish a strong footprint in the food & beverage (F&B) space in the Singapore market. We are looking at turning the business around, which is at just about cash break-even point at this juncture.”

    The sale was completed last December, following the divorce four months earlier of the former beauty queen and the radio deejay.

    The couple made the news of their divorce public on Dec 31 on their respective Instagram accounts.

    They have a six-year-old daughter, Renee, and they both said their focus is on giving her “as normal a childhood as possible”.

    “We have no comment on the story for now,” Mr Ong said in his response to queries about the sale of Twelve Cupcakes, which has expanded to more than 40 outlets across six countries in the region. Ms Teo did not respond by press time.

    The deal marks Dhunseri Group’s first foray into the F&B space in Singapore and the region. Mr Dhanuka has relocated to Singapore to head the operations locally, with plans to widen his firm’s presence in the F&B scene here. “We will be expanding our F&B portfolio under Twelve Cupcakes with new product launches in Singapore. We are also looking at expanding in the region post this acquisition. We continue to look for value deals here in the confectionery space,” he said.

    Dhunseri Group, which has been in the tea business for more than five decades, expanded its holdings to 10 estates in 2012-13 in Assam, from eight estates in 2003-04. The group also has a sizeable presence in the petrochemicals sector in India.

    The Twelve Cupcakes deal comes at a time when the retail industry in Singapore is struggling amid poor consumer sentiment, high costs, labour constraints and, above all, increased competition from e-commerce. The F&B segment has, however, remained largely resilient to the broader retail decline, and malls have increased the F&B share of their tenant mix sharply to attract footfall.

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  • Soon, fly to Singapore, Bangkok, directly from Chandigarh

    Soon, fly to Singapore, Bangkok, directly from Chandigarh

    The Chandigarh international airport in Mohali will be spreading its wings by connecting two new international destinations and four new domestic stations with direct flights from here.While two more international direct flights to two most sought-after global tourist destinations – Singapore and Bangkok— will start taking off from Chandigarh in March, the direct flights to and fro from Goa, Pune, Chennai and Hyderabad will also start taking off in February and March.

    With this, Chandigarh will have four international flights (two international direct flights to Sharjah (thrice a week) and Dubai daily are already flying since September this year), while the number of domestic flights daily will go up to 25.Today, Chandigarh was connected directly to Leh with Air India (AI), launching a flight between Leh and Chandigarh. The first flight (AI-457) departed from Leh at 08:05 hours and arrived here at 09:00 hours. In the return journey, the flight (AI-458) took off from Chandigarh at 09:40 hours and landed in Leh at 10:20 hours.

    The flight, operated by an A-319 Airbus, will fly on Tuesday, Thursday and Saturday every week.Sharing the airport expansion plans for 2017 with The Tribune here today, the airport CEO, Suneel Dutt said besides adding more international and domestic flights, as per the demand and viability, a duty-free shop and more retail shops would also open at the international terminal in the coming days. Also, the international cargo and another aerobridge, which will be the third here, would begin operations in 2017. The domestic cargo and two aerobridges are already functioning here.

    The airport CEO said there are also plans to beautify the international airport terminal further with the expansion of its green belt in the New Year.The newly-constructed integrated terminal building of Chandigarh international airport had already bagged the prestigious Vishwakarma Award for best construction project.

    The new terminal had been awarded for being the best project for well-developed landscapes and interior with art, paintings and mural works. Inaugurated on September 11, 2015, the new international airport had taken off in September, 2016, with the operation of two international flights to Sharjah and Dubai.The terminal building can handle 1,600 passengers during peak hours, with an annual capacity of 4.5 million.

    Fully air-conditioned and equipped with modern facilities, the new building has the facility of three aerobridges, four baggage carousels, 14 elevators, six escalators and 48 check-in counters. The parking area has the capacity for 500 cars and a separate provision for VIP car park and bus parking. Aircraft parking main apron and the cargo apron has a capacity of 10 C-type aircraft and one E-type aircraft at a time. The interior of the airport is decorated with art and mural works depicting the heritage and culture of Punjab, Haryana and Chandigarh.

  • Dasin Retail Trust seeks Singapore IPO to raise at least $122.5m

    Dasin Retail Trust seeks Singapore IPO to raise at least $122.5m

    Dasin Retail Trust is seeking to raise at least 586.4 million yuan (S$122.5 million) through a Singapore initial public offering, according to a preliminary prospectus lodged with the Monetary Authority of Singapore on Wednesday (Dec 28).

    The trust, sponsored by Zhongshan Dasin Real Estate Co, will have an indicative market cap of S$439.7 million, based on its offer price which was not disclosed in the document.

    Dasin Retail Trust’s key investment mandate is to invest in, own or develop land, uncompleted developments and income-producing real estate in Greater China, mainly for retail use.

    The trust’s initial portfolio will comprise three retail malls in Zhongshan City – Xiaolan Metro Mall, Ocean Metro Mall and Dasin E-Colour – which have a total gross floor area of about 314,884.9 square metres. The portfolio was valued at 4.6 billion yuan as at June 30, 2016.

    Units will be offered to institutional investors under a placement tranche as well as a public offering here, subject to over-allotment options, said the trust manager Dasin Retail Trust Management in the preliminary prospectus.

    It added that Dasin Retail Trust will benefit in terms of acquisition growth in the Pearl River Delta region where the sponsor has an “active real estate presence”.

    The sponsor has been granted right of first refusal (ROFR) to the trust manager for 14 completed and uncompleted properties.

    In addition, the trust has also secured 120.8 million yuan (S$25 million) from two cornertone investors – China Orient Asset Management (International) Holding and Haitong International Investment Fund SPC.

    The sole financial adviser, global coordinator and issue manager for the offering is DBS Bank, which is also the joint bookrunners and underwriters, alongside Bank of China and Haitong International Securities.

    Lees ook:

  • If You Think Sports Retail in Singapore is Dead, Read This.

    If You Think Sports Retail in Singapore is Dead, Read This.

    The great debate — about whether or not eCommerce will nail the coffin on bricks and mortar retail shops — has droned on for as long as the Internet began cannibalizing sales.

    So asking a pertinent question — If retail stores are disappearing from the Singapore scene, why do new sports stores keep popping up? — is a logical one, particularly from the perspective of runners on ever-present searches for the latest gear and fashion.

    Can history unravel the mystery?

    The evolution of retail stores began when markets sprung up thousands of years ago across Asia, Europe and Africa. Ultimately open-stall, outside markets morphed into enclosed shops.

    As competition exerted influence, stores carrying a wide range of merchandise replaced speciality stores, though today, innovative small boutiques have managed to survive, and no niche is healthier than sporting goods stores kept alive by Singaporeans who are deeply invested in the nation’s fitness movement.

    Then, along came the Internet. Even chain and big-box stores suffered as eCommerce gobbled up shoppers. Even “Store-within-a-store” concepts, pioneered by Asian retailers could not stop the steady, ever-present incursion of online retail marketing, and nothing has prompted consumer dependency more than an ability to shop using smartphones and devices.

    Forrester Research reports that 56-percent of consumers use smartphones to shop.

    If You Think Sports Retail in Singapore is Dead, Read This.

    Specialty stores remain viable

    PUMA recently opened two concept stores at Paragon and Bugis+, hoping to lure runners and sports enthusiasts away from their mobiles and computers.

    PUMA believes that dedicated store sections have the power to bring shoppers to these new locations because they’re strategically located within concentrated shopping areas that attract a youth market eager to find deals and promotions.

    Not to be outdone, ASICS saw an untapped market in northeastern Singapore and launched a stand-alone shop at the NEX shopping mall recently.

    ASICS believes that identifying an under-served populace is the key to in-person shopping. Their spacious new location is thoughtfully merchandised to encourage avid runners to browse the latest in ASICS innovations.

    Further, the new Under Armour presence at Vivo City Brings UA’s Singapore stores to five, including their new retail presence sprawling across 1,980 square feet of product display area and trendy décor touches.

    Under Armour has become an expansive presence throughout Southeast Asia and it’s considered by many athletes to be the coolest brand on the planet, even when measured against big dogs like Nike and adidas.

    Why is UA so cool? Because everything about their products is superior, starting with the brand’s quirky tagline: “It’s what you do in the dark that puts you in the light.”

    That light, of course, is a spotlight shining on the impeccable taste of runners who prefer to be seen wearing the UA logo on everything they own!

    Non-branded stores continue to open, too

    The space-age design of Running Lab’s two new locations — Marina Square and Tampines Mall — is reason enough for passionate runners to browse the retailer’s unique enclaves which are sorted by brand and gender, and there is no shortage of signature brands on display that are beloved by running enthusiasts and athletes.

    To drive traffic, Running Lab organises free runs throughout Singapore on Tuesdays and Thursdays, but they’re not the only show in town.

    The first 2XU Performance Centre opened just weeks ago at Suntec City Tower Three. Their ambitious marketing plan — to become the epicentre of performance compression wear — sets it apart from competitors because the niche alone has the potential to drive traffic into the store.

    If You Think Sports Retail in Singapore is Dead, Read This.

    Always a trendsetter, we toss the iconic Uniqlo into the mix. Uniqlo’s Orchard Central grand opening recently introduced Singapore to what can only be described as a sensory playground filled with wall-to-wall digital displays and rotating mannequins, while there’s a nice balance of innovative activity-related products, ideas and wares and the prestigious brands to which runners remain loyal.

    For Uniqlo, size matters. This 29,000-foot retail spot has become a destination unto itself, catering to sports-minded Singaporeans of every age group.

    It’s not all good news

    Common sense would lead one to believe that the opening of new sporting goods stores in Singapore portends good news for the future of retail, but business writers warn that, “what you see isn’t necessarily what you can believe.”

    In fact, a steady stream of popular stores continue to close because they have become unprofitable.

    Singapore economics played some part in this exodus, but not all blame-placing can be ascribed to fiscal decline due to online shopping and tech-savvy consumers continuing to find favour with cyber shopping.

    But the reality is this: retailers start every day in the red, supporting rental space, salaries, power bills, taxes and marketing expenses. Further, brands and stores refusing to track changing shopper behaviours aren’t likely to survive.

    What are solutions to this mystery?

    Absent a crystal ball, it’s obvious that Singapore retailers won’t survive without retooling their business models and no niche is worthier of emulation that the nation’s sports boutiques because the folks that run and manage them keep a pulse on Singapore’s vibrant fitness movement and watch trends like hawks.

    Further, a mindful balance of retail and online business practices keep shops afloat in addition to taking advantage of trend-tracking.

    Here’s why we think sporting goods stores have an advantage over other retailers:

    1. A shared retail/online presence has been the secret that has helped many sporting goods stores stay afloat.
    2. Management understands that athletes aren’t particularly crazy about the idea of having to return merchandise bought online and aren’t shy about using promotions and specials to a bring them in.
    3. More runners frequent sports stores for social reasons than analysts report. In-person shopping beats scrolling through screens of merchandise says TANGS Assistant Vice President of Communications Ms. Jocelyn Teo.
    4. Sporting goods shoppers are a different breed. Their performance depends upon the right shoe fit and gear choices, and while time-crunched athletes may turn to online shops for some purchases, retailers give athletes more reasons to show up in person, including incentives, promotions and deals.
    5. A CBRE Asia Pacific research study asked 11,000 Singapore consumers (ages 18 to 64) to weigh in on the online/in-person shopping debate, concluding: “… consumers are more comfortable with the traditional shopping format where they can touch and feel the products before purchasing.”
    6. Integrated shopping patterns are the wave of the future and savvy sporting goods retailers know this. The ability to switch back and forth between store and website drives traffic since returns, purchases, exchanges apply equally.
    7. Look for a more dynamic retailer consortium to cooperate on shared functions like integrated warehousing, shipping and order-fulfillment that can lower overheads resulting in merchandise price reductions.
    8. Common-sense changes — staying open more hours, sponsoring in-store events, offering a fully-integrated online/in-store experience and making sure employees behave more like concierges and less like clerks are but a few of the ways sporting goods stores will not only survive, but thrive.

    If you were forced to choose between online and in-store shopping and were required to pick just one, which would it be and why?