PNT Reporter

05 Dec 2024

London has seen an 88% drop in affordable-housing starts, with just 3,156 homes begun between April-2023 and March-2024, compared to 26,386 the previous year. Harrow, Bexley, Richmond-upon-Thames, and the City of London recorded only one new affordable-home each, while boroughs like Kensington and Chelsea saw as few as two starts. Barking and Dagenham led with 584 starts, though still significantly down from 1,021. The decline contrasts with a 39% fall across England. London Councils cite tough market conditions despite 287,000 approved homes, including 70,000 affordable units, remaining unbuilt. Government reforms aim to address this crisis.Read more

PNT Reporter

05 Dec 2024

A Redfin-Ipsos survey of 1,802 U.S. residents in September 2024 reveals that over 22% of renters spend their entire income on rent, intensifying affordability challenges. To cope, 20% have taken second jobs, 14% rely on family support, and 13% have tapped retirement savings early. Despite stable rent growth, prices remain above pre-pandemic levels, outpacing wage increases. While new apartment construction may ease rental price pressures, affordability remains a critical issue.Read more

PNT Reporter

04 Dec 2024

The NSW Government has rezoned seven Sydney suburbs near key transport hubs, including Bankstown, Bella Vista, and Macquarie Park, under its Transport-Oriented Development program. The masterplans aim to deliver over 58,000 new homes, including affordable housing rates of up to 18%, alongside schools, health services, and public spaces. Supported by USD 520 million for community infrastructure such as recreation facilities and road upgrades, the initiative also introduces streamlined approval processes for large developments. Finalised after public consultation, the rezoning addresses Sydney's housing demands while integrating transport and essential services to create liveable, well-connected communities.Read more

PNT Reporter

04 Dec 2024

CapitaLand Investment Limited (CLI) has outlined a growth strategy to double its funds under management (FUM) to 200 billion Singapore dollars by 2028 and increase operating earnings to over 1 billion Singapore dollars by 2028-2030. This includes expanding its REITs platform, private funds, and lodging and commercial management operations through organic growth, new listings, and mergers. CLI has also agreed to acquire a 40% stake in SC Capital Partners Group for 280 million Singapore dollars, marking its entry into the Japan REIT market. The company is focusing on Demographics, Disruption, and Digitalisation to drive sustainable growth.Read more

PNT Reporter

04 Dec 2024

New home sales in the U.S. fell sharply in October, hitting their lowest level since December 2022. Sales declined by 17.3% to an annual rate of 610,000 units, with economists' predictions of a smaller dip proving overly optimistic. Rising mortgage rates, which climbed from 6.08% in September to 6.84% by early November, were a key factor, alongside hurricane-related disruptions in the South. While sales dropped nationwide, the South saw the steepest fall at 27.7%, contrasting with a surprising 53.3% surge in the Northeast. Despite slower sales, median home prices rose 4.7% to 437,300 Dollars, and unsold inventory reached its highest level since 2008, further signalling challenges ahead for the housing market.Read more

PNT Reporter

04 Dec 2024

A consortium led by Starwood Capital Group, Sixth Street Partners, and SSW Partners, along with ESR's founders and the Qatar Investment Authority, is close to finalizing a deal to take Hong Kong-listed ESR Group private. Valued at over USD 7 billion, the deal highlights confidence in the real estate fund manager despite China’s challenging property market. Warburg Pincus, holding a 14% stake, plans to retain its investment, reflecting faith in ESR’s long-term prospects. ESR has faced a 60% decline in its share price since 2021, aligning with broader market struggles, including a one-third dip in the Hang Seng Index. If successful, this acquisition could provide ESR with a strategic reset, potentially serving as a model for other real estate firms navigating similar market volatility.Read more

PNT Reporter

03 Dec 2024

China's government reported a 22.9% decline in land-sales revenue for the first ten months of 2024, following a 24.6% drop in the first nine months, as developers limited acquisitions due to financial constraints. Land-sales, a critical revenue source for local governments, have been declining since 2022, exacerbating financial-strains. In response, authorities introduced a 10 trillion-yuan ($1.4 trillion) debt-relief package to reduce local government debt burdens and stabilize the economy. Additionally, funds from local government special bonds will be used to reclaim and acquire idle land, focusing on redeveloping stalled residential and commercial projects to boost economic activity.Read more

PNT Reporter

03 Dec 2024

According to Savills, rents in the UK are expected to rise by 18% by 2029, exceeding average income growth of 15%. This increase is being driven by increasing tenant demand and a limited supply of rental properties, as many landlords exit the market owing to rising mortgage rates, regulatory reforms, and tax pressures. Proposed energy efficiency requirements requiring rental homes to have an Energy Performance Certificate rating of C or higher by 2030 could further decrease supply. The disparity between demand and availability is projected to exacerbate financial issues for tenants, particularly in London, where housing expenses already take a considerable portion of income.Read more

PNT Reporter

03 Dec 2024

Sales of previously owned U.S. homes rose in October, marking the first annual increase in over three years, driven by lower interest rates and more available properties. Existing home sales increased by 2.9% compared to the previous year, exceeding expectations, while home prices rose for the 16th consecutive month. However, sales are still on track to hit their lowest annual level since 1995 due to rising mortgage rates. Inventory has grown, with homes staying on the market longer, but remains below pre-pandemic levels. Limited inventory, particularly in affordable price ranges, continues to challenge first-time buyers, whose median age has risen.Read more