Marina Bay Financial Centre Marina Bay Financial Centre 17 November - - PowerPoint PPT Presentation

Marina Bay Financial Centre Marina Bay Financial Centre

17 November 2006 17 November 2006

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• Introduction

– Background – Strategic Location – One Raffles Quay

• Marina Bay Financial Centre

– Phase 1 Details – Phase 1 Office – Phase 1 Residential

Presentation Outline

Introduction Introduction

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Background

• Development of New

Downtown at Marina Bay – Singapore’s new CBD area

• One Raffles Quay is KLL’s

first development in this area

• Marina Bay Financial

Centre (MBFC) strengthens KLL’s foothold in the New Downtown

Bayfront MRT Station Landmark MRT Station Integrated Resort & Casino One Marina Boulevard One Raffles Quay The Sail @ Marina Bay MBFC Phase 1 MBFC Phase 2

R A F F L E S A V E N U E M A R I N A B L V D STRAITS BLVD SHENTON WAY

Marina Bay Marina Channel S ore River

BAYFRONT AVE

proposed bridge

C O L L Y E R Q U A Y

Marina Bay MRT Station Raffles Place MRT Interchange

(white site)

New tourism icon [ferris wheel]

MBFC Phase 1

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One Raffles Quay

Marina Bay Financial Centre

Marina Bay Integrated Resort Landmark MRT station

Crown jewel of Marina Bay, linking One Raffles Quay, Esplanade Theatres, Marina Bay Integrated Resort and Landmark MRT station

Strategic Location

Esplanade Theatres Existing hotels, convention and retail facilities

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• Strong partners

– Developed with Cheung Kong and Hongkong Land, Asia’s leading property companies – Consortium now embarking on 2nd project Marina Bay Financial Centre

• 1.33 mil sf (TLA) office development

– Site acquired in Mar 01 at $290 psf – Commenced work in Jun 02 – TOP : North Tower ­ Oct 06 South Tower ­ Apr 06

One Raffles Quay

North Tower South Tower

• 100% pre­committed, tenants include :

– Deutsche Bank, UBS, ABN Amro, Ernst & Young, Credit Suisse and Barclays

• One Raffles Quay provides relevant experience for MBFC

Marina Bay Financial Centre Marina Bay Financial Centre

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Marina Bay Financial Centre

• More than just an office building

– “City in a Garden” integrated work­play environment – Contribute to the fulfilment of vision for Marina Bay – Strengthen Singapore’s position as Asia’s key financial hub

• Awarded site in Jul 05 with same partners

– Site area : 3.55­ha – Land price : $381 psf

Marina Bay Financial Centre One Raffles Quay Raffles Place CBD

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Marina Bay Financial Centre

• Total GFA of 438,000 sm

Guidelines : – At least 60% for office space – Remaining 40% for white site use

Remaining (194,000 sm) 8 years option Ph 1 (244,000 sm) : Office : 180,000 sm Resi & retail : 64,000 sm

Total GFA : 438,000 sm

Ph 1 Resi & Retail Ph 1 Office Remaining portion

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Phase 1 Details

• Vibrant new $2 bil financial precinct
• Two office towers

– NLA : 1.65 mil sf

One residential tower (total 428 units)

– NSA : 0.56 mil sf

• Unparalleled views of CBD skyline, Marina

Bay area and the Straits of Singapore

• Designed by world­renowned Kohn

Pederson Fox Associates

• Ready in 2010

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Phase 1 Office

• Office Towers

– Two office towers (32 and 46­storeys) – 1.65 mil sf (NLA) of grade A office space – Large column­free floor plates of 21,000 sf and 24,000 sf

Marina Bay Residences 46­storey Office Tower 32­storey Office Tower

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Phase 1 Residential

• Marina Bay Residences

– Residential component of Marina Bay Financial Centre – Comprises 428 luxury waterfront homes fronting Marina Bay – Features 1­, 2­, 3­, and 4­bedroom units as well as penthouses in 55­storey tower – Well­positioned to meet strong international demand – Plan to launch 200 units in 4Q06

Marina Bay Residences

Additional Info Additional Info

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• Strong take­up of 1.84 mil sf for Jan­Sep 06, with entry of new

companies and expansion of existing ones (URA)

– Grade A office occupancy : 99.3% (CBRE) – Avg Grade A office rentals : $7.60 psf, up 11.8% qoq (CBRE)

• Limited availability of quality space

– 2007­2010 : Average new supply of 0.74 mil sf p.a. (CBRE) – Redevelopment to reduce CBD space by 1.5 mil sf (7­8% of current stock)

• Further escalation of rents

– Prime rents up 41% yoy to $6.90 psf/mth, highest since end­2001 (URA) – Grade A and prime rentals projected to rise by >9% and >5% respectively by end­2006 (CBRE)

Singapore Office Market

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Office Supply (2006­2010)

Source : URA, CBRE and KLL

Expected Completion Proposed Office Projects NFA (sf) 2006 Parakou Building 64,000 One Raffles Quay 1,322,534 55 Market Street ­ addition 78,000 SIF Building Redevelopment 68,000 Sub­ total 1,532,534 2007 LKN Building Redevelopment 80,800 VisionCrest 139,000 Central (office block only) 179,000 Sub­ total 398,800 2008 Selegie Road Office/Soho/Retail /Serviced Apt development 82,000 HarbourFront Tower 5 208,000 Sub­ total 290,000 2009 Overseas Union House Redevelopment 415,000 Crosby House Redevelopment 228,000 Sub­total 643,000 2010 MBFC (Phase 1) 1,646,876 Total (2006­2010) 4,511,210

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Office Occupancy and Rentals

89.6 89.2 86.4 85.4 84.3 83.7 83.1 82.6 82.1 82.2 82.7 83.5 84.0 85.0 86.6 87.2 88.0 89.5 88.8 89.0 85.2 85.7 87.7

78 80 82 84 86 88 90 92 1Q01 2Q01 3Q01 4Q01 1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 2Q04 3Q04 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 % 1 2 3 4 5 6 7 8 S$psf/mth

Islandwide Occupancy Prime Rentals

Islandwide Office Occupancy and Prime Rentals

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Office Occupancy Costs

• Singapore ranked 43rd worldwide, attractive compared to
• ther Asian cities

Ranking City US$/sf/annum Ranking City US$/sf/annum 1 London (West End), England 185.60 17 New Delhi, India 63.28 2 Tokyo (Inner Central), Japan 130.05 21 Milan, Italy 60.05 3 London (City), England 127.49 23 New York ­ Midtown Manhattan 55.15 4 Tokyo (Outer Central), Japan 117.90 26 Frankfurt am Main, Germany 54.26 5 Hong Kong 101.67 27 Madrid, Spain 54.13 7 Mumbai (Bombay), India 93.06 37 Shanghai (Pudong), China 44.86 8 Paris, France 92.48 39 Shanghai (Puxi), China 43.30 11 Edinburgh, Scotland 72.85 40 Washington, DC (CBD) 42.74 14 Seoul, South Korea 68.99 43 Singapore 41.53(S$5.45psf/mth)

Global 50 Index (by occupation cost in US$ psf per annum)

Source : CBRE Global Market Rents (May 2006) USD : SGD =1.576

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• Continued uptrend in prices and demand, led by strong

take­up of high­end homes

– High­end price hit : $3,000 psf for Tomlinson area, $2,300 psf for Ardmore Park area, and $1,800 psf for Sentosa condominiums

• Singapore’s growing appeal as global city attracting

more foreign buyers

– 22% or 3,143 of the 14,286 homes sold in Jan­Sep 06 were bought by foreigners (Savills Singapore)

• Exciting new lifestyle products like upmarket city condos

and luxury waterfront homes likely to fuel demand

Singapore Residential Market

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Residential Price and Rentals

• Continued uptrend in prices and demand

– More than 6,700 new units sold in Jan­Sep 06, up 2.7% yoy (URA) – Prices up 6.1% in first nine months of 2006, with the 2.7% rise in 3Q06 being the highest quarterly increase in 6 years (URA)

5,785 8,955 6,736 5,156 9,485 7,189 5,406 8,171 6,096 5,520 9,565 125.4 118.2 113.8 112.8 115.1 117.2 132.8 134.2 100 151.6 173.1

2,000 4,000 6,000 8,000 10,000 12,000 1996 1997 1998 1999 2000* 2001 2002 2003 2004 2005 1­3Q2006

• No. of Units

80 100 120 140 160 180 Price Index

Total Primary Demand Price Index

URA Private Residential Demand and Price Index

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Thank you