Language Dropdown

Professional office design, inspire your unlimited possibilities!

Inspiring the workplaces

Loosening the real estate rules, the Central Bank has reservations.

Weekly News Highlight

1. Loosening the real estate property rules, the Central Bank has reservations.

2. To provide relief to first-time buyers, the eight major banks will suspend the creation of new quota for large-scale builders.

3. Industrial real estate turnover is on the rise! In the first eight months, $91.7 billion exceeded last year's total.

4. AI innovation assistance! Wistron to build its first "mega data center" in Taiwan.

5. Continuing revitalization of assets by RTHK Kwun Yum 5,000 ping industrial land to be tendered for sale in October

6. Kyoei Electric spends over $1.5 billion on land and equipment in Zhunan to expand production.

1. Loosening the real estate property rules, the Central Bank has reservations.
2024.09.05 Economic Daily News I By Pei-Jun Liao and Mei-Jun Chen / Taipei, Taiwan

In order to rescue the housing loan drought, the Bank of China proposed three major real estate lending projects excluded from the Banking Law 72-2 real estate 30% limit, which attracted the most attention is the dangerous old more civil construction financing to sub-family housing loans, but the central bank's attitude reserves, suggesting that the Golden Management Board overall consideration, to avoid excessive absorption of funds in the real estate market, which affects other industries.

The FSC invited the Central Bank, the Ministry of Finance and 13 private banks to discuss the issue of real estate lending yesterday (4). Deputy Secretary of the Banking Bureau, Mr. Lin Zhiji, said that the central bank mentioned that the concentration of real estate lending is close to an all-time high, and that an increase in the number of excluded items will cause the real estate market to over-absorb funds, which will affect other industries.

Lin Zhijie said, the meeting of the bank proposal, a, dangerous old man Du Geng civil construction financing into sub-family housing loans can be excluded from the Bank Act section 72-2 (known as real estate days), the main reason is that the dangerous old man Du Geng undertook civil construction financing lending, would not be counted as 72-2, when these buildings into housing loans, it is also proposed that can be excluded.

Second, loans for offshore construction by overseas branches of the Bank of China, which are not related to the domestic real estate boom, are also recommended to be excluded. Third, loans for the construction of libraries and sports centers by government agencies.。

Lin Zhiji said, on the "more dangerous old to the mortgage" can be excluded, the central bank meeting has put forward some views, suggesting that the FSC overall consideration; overseas branches of the Jianrong exclusion of the advantages and disadvantages of the FSC these two cases will be carefully evaluated, not already decided.

2. To save the first-time buyers, the eight major banks will suspend the new quota for large-scale builders.
2024.09.04 United Daily News I By Han-Lun Chu / Taipei Herald

Builders should pay attention to this. If they want to buy land in the future, they should first assess whether their pockets are deep enough. It is understood that after Premier Cheuky invited the directors of the eight major banks to a meeting last Friday, five major consensus has been reached among the major banks, among which, as the priority is to provide relief to first-time home buyers who do not own their own homes, the major banks will not increase the existing quota for large-scale builders at least in the first half of next year, and at the same time, will not take on loans for the remaining housing units.

As for the New Youth Security Interest Rate, under the direction of the Executive Yuan, the major banks have reached a consensus not to increase the New Youth Security Interest Rate, but other interest rates will be increased depending on the cost of funds of the banks.

According to sources familiar with the matter, in a meeting convened by Mr. Premier CHEUK last week, an official asked the bankers whether the current shortage of housing loans was due to the fact that the builders had been given too much credit or whether it was related to the underwriting of residual housing loans. Mr. Premier Cheuk-yan was immediately concerned about whether there was such a phenomenon, and a number of banks replied on the spot that they had not taken out any more remaining housing loans. However, this shows that Mr. Premier Cheuk-yan attaches great importance to this matter, and therefore, all major banks will soon issue orders to their branches to prohibit them from taking out any more remaining housing loans.

According to the public stock financial circles, the major banks, after the exchange of views of the senior director of the bank, has been cohesion of four major consensus, including: 1, the new Qingan interest rate must be used as the original 1.775% level does not increase the number, but the interest rate of other real estate, but according to the various banks to reflect the cost of capital needs to be adjusted to the higher; 2, if the application for loans for the real estate has not yet been signed by those who must be the first to the first purchase of the loan for the no-use first home loan, the new Qingan as a priority; 3, the total amount of the banks to the top few contractors to the limit of the current amount, at least in the first half of next year, no longer be used to execute the signed contract. If the contract has been signed with the bank, the signed contract will be followed; 3. The total amount of each bank's loan to the top contractors will be limited to the current amount, and will not be increased at least in the first half of next year; 4. The bank can no longer take out loans for the remaining housing units of the builders; 5. Each bank should actively adjust the portfolio of credit assets independently, in order to cope with the requirements of Article 72-2 of the Banking Law, including the allocation and transfer of domestic and foreign resources or resources for civil construction and financing, as well as for other credits. (e) Banks should proactively and independently adjust the portfolio of credit facilities to meet the requirements of Article 72-2 of the Banking Act, including the transfer of resources for domestic and international or civil construction financing and other credit facilities.

The so-called top builders of the existing quota, also includes "has been approved but not yet used" quota, if the builders have not yet used, as long as the contract, can still be used, but if not yet signed, will not be able to, the relevant sources revealed that, in order to avoid crowding out the people's mortgage, so this restriction, and more importantly, has been approved but not yet used the quota, a lot of the bank bank has already reached more than hundreds of billions of dollars, and perhaps the first half of next year can not be digested, so the additional new more quota, and not to crowd the first buyer's demand for mortgage. Therefore, it is not possible to create more new quotas to crowd out the demand for mortgage loans from first-time home buyers.

As for the residual loans, it is even more unethical. The public stocks pointed out that borrowing the remaining housing loans to builders, so that builders have the capital not to release the house, pulling up the price of housing, but also crowded the people's mortgage funds, such a time but also borrowing the remaining housing loans really does not make sense, in addition to the eight major banks and treasuries, the Golden Management Board should also be managed by the remaining housing loans of the other state banks this part.

3. Industrial real estate transactions have erupted! In the first eight months, $91.7 billion exceeded last year's total.
2024.09.05 Business Times I By Tsai Huifang／Reporter

The industrial real estate market is hot! The transaction amount has been erupting! Jones Lang LaSalle released the latest statistics today, pointing out that the cumulative transaction value of Taiwan in the first eight months of 2024 has reached NT$91.7 billion, surpassing the NT$57.7 billion of the whole year of 2023 and the NT$29.3 billion of the year of 2022, and setting a new record high in history.

According to Jones Lang LaSalle, the industrial real estate market in Taiwan hit a record high in 2024, with the cumulative total transaction value for the first eight months ending August 2024 reaching $91.7 billion, a rapid increase from last year's annual figure of $57.7 billion and the previous year's figure of $29.3 billion.

Jones Lang LaSalle pointed out that industrial real estate has become a hot investment item in the market, and the factory and office transactions in New Taipei City are particularly hot, with red flats constantly opening up in the market, with the most eye-catching districts being the Sanchong, Xinzhuang, and Wugu districts in New Taipei City.

Benefiting from the rising economy, companies' demand for self-use office headquarters has expanded, while Mie Prefecture, Hsin-Chuang Prefecture, and Wu-Gu Prefecture have good transportation accessibility and industry clustering effects, thus attracting the favor of the technology and traditional industries.

Statistics show that in 2024, I-Chiun purchased the entire building in Xinzhuang Xinzhi Duan for $2.99 billion, and IGS purchased the factory office in Wuyu for $2.33 billion.

In addition, New Taipei City's pre-sale of factory office projects has also seen frequent transactions this year. New factory office projects in the Hsin-Chuang triple-area, such as Delin Organization's "Taiwan Intelligence Headquarters" and Shin Chuan Construction's "Shin Chuan Star Plaza," have seen pre-sale prices stabilize at the head of the 5-per-ping mark.

In response to the increase in demand for industrial plants and offices, major contractors have also adopted an active land-hunting strategy, Xinzhuang, Sanchong, as long as there is a large area of industrial land available for development often become the target of the builders to compete for one after another.

For example, the New Mazzy Group has recently purchased 967 pings of industrial land in the Dengkan Industrial Park in Sanchong for a total of $830 million, and Chouet Construction has purchased 1,460 pings of industrial land in Hsinzhuang for a total of $2.2 billion.

4. AI innovation assists! Wistron to build the first "mega-scale data center" in Taiwan.
2024.09.03 Economic Daily News I By Wu Kangwei / Taipei Reporter

With the rise of generative artificial intelligence (AI), the demand for data centers has increased dramatically. With this in mind, Zettabyte, Asia's leading provider of AI data center software and systems, and Wistron (3231), a major foundry, entered into a strategic alliance on March 3 to build the first "Hyperscale AI Data Center" in Taiwan. Wistron Chairman Lin Hsien-ming also announced that the Hyperscale Data Center to be built by the two companies will use the most advanced liquid cooling system, which will actually bring positive and innovative momentum to the development of AI computing in the Asian region.

It is reported that the "first large-scale AI data center" to be built in cooperation with Zettabyte will leverage Wistron's excellent products, services and experience in information and communications technology (ICT), and will be combined with NVIDIA's advanced AI hardware platform, and the two companies expect that this will bring substantial benefits to meeting the demand for data-driven technologies, such as AI and machine learning, and also bring positive benefits to enhancing the global status of Taiwan's AI ecosystem. It is also expected to bring positive benefits to the global status of Taiwan's AI ecosystem.

According to Wistron, this collaboration will not only meet the rising demand for AI computing in Taiwan and the Asia-Pacific region, but also strengthen Taiwan's AI technology infrastructure to enhance Taiwan's global competitiveness and promote AI talent development. In addition, the AI Data Center is expected to play a key role in enhancing Taiwan's AI infrastructure for a variety of applications such as semiconductors, healthcare, finance, manufacturing and smart cities.

We are pleased to partner with Wistron to build a world-class AI computing facility by combining our expertise and Infrastructure as a Service (IaaS) to promote innovation and development in the AI field in Taiwan, the Asia-Pacific region, and the Middle East," said Tai Chung-Ho, Chairman of Zettabyte. The "AI as a Service" program

Wistron's Chairman, Mr. Hsien-Ming Lin, stated, "Wistron's collaboration with Zettabyte to build a large-scale data center will use the most advanced liquid cooling system, which will help improve the efficiency of the data center. With our vision and commitment to promoting AI technology in Taiwan, we can make significant contributions to the development of Taiwan's AI ecosystem and its position on the global stage." said Mr. Hsien-Ming Wistron.

5. Ruentex continues to revitalize its assets. 5,000 pings of industrial land in Kwun Yum will be put up for sale in October.
2024.09.04 Liberty Times I By Zhu Yuchu / Report

Following last year's disposal of the land for the Taiyuan factory, which resulted in a profit of approximately $490 million, this year, Runtech (2915) continues to revitalize the assets on hand. Among them, the industrial land for the Guanyin factory was entrusted to Savills for public bidding with a land area of 4,625.53 ping, and this time, in order to meet the needs of different types of industries, it plans to combine the bidding for the sale of the 4,625.53 ping as well as the independent bidding for the sale of the 3,304.81 ping and 1,320.72 ping, allowing for greater flexibility in the evaluation of enterprises in need. 320.72 ping, allowing more flexibility in evaluation for enterprises in need.

According to our understanding, the land assets of Runtai include the Taoyuan Guanyin Factory, Taoyuan Yangmei Factory, Jhongli No. 1 Factory and Xinfeng Factory, which are subject to the sale of this tender. The Taoyuan Guanyin Factory has a 12-meter wide frontage on Jianjing 1 Road and a 168-meter wide frontage on the road. The land is zoned as a Type D building site, with a build-up ratio of 70% and a plot ratio of 300%, and the bidding date will be October 25th.

According to Savills, Taoyuan City is a major manufacturing and technology hub in Northern Taiwan. In 2023, the total value of large-scale industrial real estate transactions in Taiwan will reach $86.9 billion, of which Taoyuan City will rank first amongst all counties and cities, with a value of $24.6 billion, accounting for 28% of the total number of transactions in the whole of Taiwan, followed by New Taipei City, with a share of 25%. Unlike New Taipei City, where industrial offices are the mainstay of transactions, Taoyuan City, where manufacturing is the mainstay, focused 70% of its transactions on factories and industrial land, and has become the main town for the expansion of industries in Northern Taiwan.

With a total development area of more than 632 hectares, the Guanyin Industrial Park has gathered more than 300 manufacturers to set up their factories here. The comprehensive public facilities and services such as water supply, electricity supply and sewage treatment have attracted many famous manufacturers to set up their factories here, including Far Eastern New Century, Allied, Guorui Automotive, Taiwan Glass, and Hwacheng Electric Machinery, and many other well-known companies.

At the beginning of this year, Taiwan's largest gas supplier Sanfu Gas spent $1.159 billion to purchase nearly 5,000 ping of land in the Guanyin Industrial Park to expand its factory, the largest industrial land transaction in the region in the past three years, with a unit price of nearly $240,000 per ping, which is nearly a 20% increase in the unit price of land compared to the market price of land in the Guanyin Industrial Park of two years ago which ranged from $180,000 to $200,000 per ping.

According to Savills Senior Associate, Mr. Worrenfang, who is in charge of the tender, as the unit price of land in Taoyuan City's industrial zones is gradually moving towards the 4-price mark, the Guanyin Industrial Zone, Taoyuan Science and Technology Industrial Zone, and Shalun Industrial Park, which are affordable, have attracted the evaluation of owner-occupier manufacturing, transmission and logistics industries. In addition, Guanyin Industrial Park is gradually changing the types of industries to be located in the area, shaking off the stereotypical image of heavy industry and attracting more different industries such as food, electronic components, computer peripherals, etc. to move in in recent years.

The land in the Guanyin Industrial Park is subject to tender. In addition, Taoyuan City is the first county in Taiwan in terms of population growth, and thanks to the gradual development of the Cao Luo Redistricting Area, the population growth rate of the Guanyin District in 2023 will rank No. 2 amongst all administrative districts in Taoyuan, and this strong attraction of migration of population will bring positive benefits to the recruitment of talents for the companies that have set up factories in the Guanyin Industrial Park.

6.KYEC spends over $1.5 billion on land and equipment in Chunan to expand production.
2024.08.31 Liberty Times I By Hong You-fang / Hsinchu, Taiwan

(2449), a leading wafer testing company, announced that in order to meet the needs of its future operation and development, it has spent NT$1.045 billion to acquire 5 batches of factory equipment from Xuan Tong System Engineering for integrated circuit testing; and the board of directors has also approved the acquisition of approximately 6,767 pings of land in Dengpu Section, Zhunan Township, Miaoli County, within the NT$500 million quota.

In order to satisfy the needs of customers such as Fidelity, KYEC is actively expanding its AI chip testing capacity in Causeway, and will also purchase land in Zhunan, revealing the need to expand its production capacity in order to satisfy customers' needs in the future.

The Board of Directors of Kyowa Electric Power Co., Ltd. yesterday approved to increase the capital expenditure of its Chinese subsidiary, Kyowa Technology, from RMB738 million (approximately NT$3,428 million) to RMB1,392 million (approximately NT$6,462 million) this year, representing an increase of 88.5%.

KYEC's announcement pointed out that the increase in capital expenditure of KYLT is mainly to meet the operational needs to prepare for the demand of production capacity expansion, and will be financed by its own funds and financing.

KYEC has previously announced the sale of its stake in Kyoron Technology, and the transaction is expected to be completed in the third quarter of this year, after which KYEC's stake will be zero. KYEC pointed out that because the transaction has not yet been completed, Kyoron Technology is still a subsidiary managed by KYEC. Due to the increase in local orders, the Board of Directors has approved an increase in capital expenditures in order to increase testing capacity.