Annual Report 2012 - singapore land limited

Singapore Land Limited - Annual Report 2012
21
MANAGEMENT REVIEW
Singapore Land Tower
Clifford Centre
2012 OVERVIEW
Despite the weak economy, the offi ce rental market held
up better than expected, supported mainly by demand
from the non-fi nancial sectors. Residential property market
remained buoyant as it was supported by high liquidity and
low interest rates.
SINGAPORE COMMERCIAL OFFICE INVESTMENT
SINGAPORE LAND TOWER
The fl agship building continued to perform well in the year
under review. Notwithstanding strong competition from
new buildings within the Central Business District Core,
the building was able to maintain its average occupancy
at 98%. Rental revenue, however declined slightly by 2%
compared to the preceding year, due to market rents being
lower than expiry rents.
During the year, several improvement works were
undertaken to better meet tenants’ needs. These include
the installation of Electronic Parking System to improve
traffi c fl ow in the car park, upgrading of washrooms as
well as the installation of new cooling towers with energy
effi cient and water saving features.
CLIFFORD CENTRE
Despite being the oldest building in the Group, Clifford
Centre managed to improve its average occupancy by 3
percentage points to 99%. Rental revenue also improved
by 7% compared to the preceding year.
The retail premises, which formed 20% of the total lettable
area, contributed about 25% of the total rental revenue.
As part of our ongoing programme to help retail tenants
maintain healthy sales revenue, year-end marketing
promotions were organised during the festive season.
At Clifford Centre, entry and exit at the car park was made
smoother with the upgrading to Electronic Parking System.
Closed-Circuit Television system was installed in all lifts to
enhance the security system in the building.