Monday, Jun 18, 2012
AsiaOne  
 
Hosting advertisements still online despite URA notice  
 
SINGAPORE - Advertisements to sublet homes for short-term stays are still online despite previous warnings by the Urban Redevelopment Authority (URA) to stop such practices.

The Straits Times reported Monday that website ValueStay is still listing apartment units for rent.

It reportedly shows daily, weekly and monthly rates, such as $170 a night for a one-bedroom Shan Road apartment, or $490 a night for a Bukit Timah three-bedroom 'business class' apartment.

However, a check by AsiaOne found that the website was blank. A web search also showed that its listing page has been removed.

According to the URA, private homes like apartments, condominium units and landed properties can be sublet for residential purposes, but only for six months or more.

ValueStay told The Straits Times that it is a Singapore-registered company and that the apartments listed are private arrangements between them and the owner.

It also said the company will be cancelling these arrangements as the business was not successful.

A URA spokesperson said it has investigated about 640 cases of short-term stays in private homes last year.

Offenders will be issued an enforcement notice. They can be fined up to $200,000 or jailed up to a year, or both if they repeat the offence.

A resident at one of the listed condos who complained to the URA three years ago told The Straits Times that short-term stays are still going on.

Tuesday, Jun 19, 2012
AsiaOne  
  
Kaki Bukit Road 5 industrial site tender awarded  
 
The Kaki Bukit Road 5 / Kaki Bukit Avenue 6 industrial site tender has been awarded to Hock Lian Seng Holdings Limited by the Urban Redevelopment Authority (URA).

The company submitted the highest bid in the tender for the site.

The land parcel is designated for Business 2 development and has a total site area of 13,072.2 sq m. It has a tendered price of $27,303,784.

It was launched for sale by public tender on April 19 this year on a 30-year-lease term. The tender was closed on June 14.

Tuesday, Jun 19, 2012
The Business Times  
  
Kemaman View sold en bloc for $45.5m  
 
By Lim Wei Sheng

Freehold residential development Kemaman View has been sold to private developer Aylesbury Pte Ltd for $45.5 million, or some $935 per square foot per plot ratio (psf ppr).

The 17,388 sq ft site, located off Balestier Road, comprises 30 apartment units, each 1,324 sq ft in size. Located in District 12, the plot is zoned for Residential Use under Master Plan 2008, with a gross plot ratio of 2.8 and a maximum height of 36 stories subject to approval.

With the collective sale, each individual apartment unit owner will receive gross sale proceeds of about $1.5 million, a 30 per cent premium over the resale price if the unit were sold individually, according to marketing agent HSR.

The site was launched in the collective sales market in April, with an indicative asking price of $46-48 million.

"Land values in the City Fringe Balestier area of District 12 are fast catching up to the nearby Prime District 11 of Newton & Novena," noted Jeffrey Goh, head of investment sales for HSR.

Development charges for the plot are not expected to be payable, unless the developer obtains approval for an additional 10 per cent gross floor area (GFA) for balconies in addition to a potential GFA of 53,813 sq ft. In this scenario, development charges are estimated to amount to $2.8 million, resulting in a unit land price of $816 psf ppr.

HSR had earlier said that the development could yield 98 new apartment units of 600 sq ft each, with a target selling price between $1,400 and $1,600 psf.

Wednesday, Jun 20, 2012
AsiaOne  
 
820 private housing units expected from two new residential sites  
 
SINGAPORE - The Urban Redevelopment Authority (URA) and Housing and Development Board (HDB) have released two residential sites which are estimated to yield 820 housing units.

This is to provide developers and home-buyers with more choices for private housing, URA said in a statement on Wednesday.

The two sites, located at Tanah Merah Kechil Road and Bright Hill Drive, will be available for sale by public tender today.

They have been launched for sale under the Confirmed List of the 1st half 2012 (1H2012) Government Land Sales (GLS) Programme.

The estimated 820 units are part of the 7,000 residential units to be launched for sale under the GLS Programme for 1st half 2012.

The land parcel at Tanah Merah Kechil Road is located within an established private residential estate and is situated close to Tanah Merah MRT Interchange station.

It is also accessible by East Coast Parkway and Pan Island Expressway.

The land parcel at Bright Hill Drive is located in the Thomson area and is close to MacRitchie Reservoir and Bishan Park.

Bishan MRT and Marymount MRT stations are nearby; the area is easily accessible by public bus services.

Tender for the residential sites at Tanah Merah Kechil Road and Bright Hill Drive will close at 12 noon on July 31 2012 and August 7 respectively.

Selection of the successful tenderer will be based on the tendered land price only.

Wednesday, Jun 20, 2012
AsiaOne  
 
Buyers return 150 private homes in May  
 
SINGAPORE - Private home buyers returned 150 units to developers last month, the highest number in at least five years.

The Straits Times said these units were bought in April from projects such as Sky Habitat, The Tampines Trilliant and Hillsta and made up 5.7 per cent of the more than 2,600 non-landed homes - including executive condominiums - sold that month.

However, experts say that in percentage terms, the rate is in line with last year's, despite the high absolute figure for returns.

Another reason for the spike in absolute numbers is due to April's robust sales; buyers bought the highest number of units in almost three years.

Property research firm Square Foot Research's data also showed that return rates, defined as returned units as percentage of total non-landed sales in the previous month, have remained largely below 6 per cent.

Home buyers who choose not to exercise their home purchase option after signing it forfeit 1.25 per cent of the price.

For a $1 million condo, this works out to $12,500.

The research firm's director said buyers may have been spooked by National Development Minister Khaw Boon Wan's comments that the Government is monitoring the shoebox unit trend and that it may consider additional regulations targeting these units.

The Straits Times said the percentage return rate was higher in the earlier part of 2012. For example, 9 per cent of private homes bought, or 52 units, were returned in January.

In February 2008, 127 of 310 non-landed units, about 41 per cent, were returned due to concerns over the United State economy and choppy stock markets.

The actual number of returned units could actually be higher - options could have been issued to home owners, but declined within the same month.

According to the English daily, 15 units were returned at Hillsta in Choa Chu Kang's Phoenix Road. 11 units were returned at EC project The Tampines Trilliant and 10 units were returned at Sky Habitat in Bishan.

In April, 17 units at Riversound Residence in Punggol were returned. Nine units each were also returned at Pasir Ris' Ripple Bay and Punggol's EC project Twin Waterfalls.
 

Thursday, Jun 21, 2012
AsiaOne  
 
Unlicensed estate agent fined $6,000 for attempting to rent out room  
 
SINGAPORE - A 48-year-old man was fined $6,000 on Thursday for trying to rent out a room in an Ang Mo Kio flat.

Lim Beng Kwang is the third unlicensed real estate agent to be prosecuted since new rules kicked in last year.Reach your goals with Manulife 

He tried to rent out a room to an officer from the Council for Estate Agents (CEA), who had arranged to view the room in a sting operation on April 9 this year.

CEA uncovered Lim’s offences when it investigated a complaint made against him for rude and unprofessional service.

It was discovered that from January to April 2011, Lim had advertised several HDB flats for rent on an online property portal under his name, using a mobile number which was loaned to him by an Australian friend.

Lim pleaded guilty to acting as a real estate agent without first being registered with the CEA.

Another count of his doing estate agency business without a licence was taken into consideration.

He can be fined up to $25,000 and jailed for a year.

CEA said it will be prosecuting several more people for doing estate agency work without being registered over the next few months.

In view of the crackdown, CEA advised property owners to only engage salespersons who are registered with the CEA, and to request for the salesperson's registration number and verify that the salesperson is listed on CEA's Public Register before engaging his or her services.

Verification can be done at www.cea.gov.sg.

CEA said that the Public Register has been enhanced to allow consumers to search the particulars of a salesperson using his or her mobile number.

This is in addition to search options using the salesperson's name or registration number.

Property owners are also advised not to respond to any real estate agency flyer, leaflet or advertisement that does not provide a salesperson's details or registration number.

Lastly, property owners should report to CEA when they encounter anybody not listed on the Public Register but carrying out estate agency work illegally.

They can report the person to the CEA at 1800-6432555 or feedback@cea,gov.sg.

Thursday, Jun 21, 2012
The Business Times  
  
Big-ticket property deals bouncing back, trend likely to continue  
 
By Kalpana Rashiwala

SINGAPORE - Investment sales of property - which cover big-ticket transactions - have rebounded to about $6.4 billion in the second quarter as at June 19, according to preliminary figures from Savills Singapore.

Such deals had taken a hit in the first quarter, when the figure dived to $4.8 billion (from $7.9 billion in Q4 2011).

Q2's surge has been fuelled by the residential and office markets, including sales of Tower 15 on Hoe Chiang Road, KeyPoint on Beach Road and strata office units at Burlington Square, Tung Centre and The Adelphi.

Savills defines investment sales as deals of at least $10 million. It includes sales of Government Land Sales (GLS) sites, acquisitions by real estate investment trusts and residential collective sales below that threshold.

Taking into account outstanding state tenders - such as for the private housing sites at Farrer Drive and at Pheng Geck Avenue scheduled to close on June 21 and June 28 respectively - as well as other caveats for various sectors of the property market, the final Q2 investment sales tally could reach about $7 billion.

This would take the figure for first-half 2012 to almost $12 billion.

Savills' executive director (investment sales) Steven Ming expects investment sales to continue apace in the second half, possibly resulting in a full-year total of $21-25 billion.

"This assumes macro economic conditions improve and that financing continues to be available. Availability of debt is one of the main lifelines to the real estate investment market. Absence of debt will lead to falling investment volumes," he cautions.

As the government will continue to roll out the same quantum of private housing land in H2, the public sector is likely to dominate investment sales in H2.

"Should concerns about the macro economy begin to fade and the bid-ask gap narrow, the second half of 2012 could see a resurgence of transactions in the private sector," Mr Ming added.

Last year, total investment sales hit $29.6 billion, down slightly from 2010's $31.4 billion, based on Savills' figures.

CBRE executive director (investment properties) Jeremy Lake forecasts that the full-year 2012 number will be double the first-half figure - with activity in all sectors.

"The eurozone's problems have been around so long that people are becoming used to it; and stock markets go up and down all the time.

Those who believe the bottle is half empty will continue to sit on the sidelines or offer prices that are unacceptable to owners, whereas those who consider the bottle to be half full are likely to agree on price with sellers i.e. there is no price gap," he said.

Wealthy Asians continue to be interested in Singapore real estate, said Mr Lake, though big institutional players such as European and US funds have been quiet here.

A noteworthy exception would be US-based private equity giant Blackstone Group, which made its first major Singapore property acquisition in Q2 - the $210 million purchase of StarHub Green, an industrial building at Ubi Avenue 1.

Investment sales reflect the confidence of major property players in the sector's mid to long-term prospects.

According to Savills' figures, investment sales in the residential sector so far this quarter have reached $3.6 billion - about $1.1 billion or 46 per cent higher than Q1 2012.

A big chunk of this came from GLS sites, amounting to $2.5 billion, up 38 per cent from Q1.

The commercial segment too posted a $914 million or 91 per cent quarter-on-quarter jump to $1.9 billion. However, investment sales of industrial properties fell 32 per cent quarter on quarter to about $766 million.

In the collective sales market, figures from Credo Real Estate show that five deals totalling $328.8 million have been inked this quarter as at June 20, down from the six deals at $456.6 million in Q1.

Credo Real Estate managing director Karamjit Singh notes that all collective sales over the past 21/2 years have been below $250 million apiece.

And the trend is set to continue.

"The 10 per cent ABSD has effectively killed off very large residential en bloc sales because a developer, in order to stave off paying ABSD, would be required to not just complete the new project on site but sell out the entire development within five years of the date of being awarded the site by the sales committee.

Thursday, Jun 21, 2012
AsiaOne  
 
Farrer Drive residential site tender closed  
 
The tender for a Farrer Drive residential site was closed by the Urban Redevelopment Authority today (URA).

It was launched for sale by public tender on May 24 this year for a 99-year lease. It has a site area of 6,268.3 m² and a maximum permissible GFA of 10,030 m².

The site was originally on the Reserve List of the Government Land Sales Programme.

A decision on the award of the tender will be made after the bids received have been evaluated.

This will be announced at a later date.

Monday, Jun 25, 2012
AsiaOne  
  
Woodlands flats marked for selective en bloc redevelopment scheme  
 
A block of flats at Woodlands Centre Road has been selected for the Selective En bloc Redevelopment Scheme (SERS) by the Government.

Blocks 1A to 6A, Woodlands Centre Road will be the 78th site to benefit from SERS. It comprises 147 sold flats completed in 1980.

Residents will move to the new replacement flats at Woodlands Drive 70 by 2016. There are 190 units of new two-room, three-room, four-room and five-room flats to accommodate them.

The new flats are located opposite the Admiralty MRT station and shopping complex Admiralty Place. There will be amenities such as shops, eating establishments, a wet market, community centre and schools nearby.

Eligible SERS flat owners will be invited to register for their replacement flats in the second quarter of 2013.

Other than the flats, 197 rental shops, eating outlets and offices at Blocks 1A to 6A, as well as the hawker centre at Block 4A comprising 78 cooked food stalls, will be cleared.

Eligible shop tenants will be given an ex-gratia payment of $60,000 per tenancy.

Singaporean SME shop tenants will be granted a relocation assistance benefit of $30,000 per tenancy if they are able to find alternative premises to continue their business before the clearance deadline.

All shop tenants will also be given a 10 per cent rental discount on their successful bid for other HDB rental shops or when they take over HDB rental shops through assignment.

NEA will build a replacement hawker centre at Woodlands Town to ensure that there will be an adequate number of cooked food stalls to serve the community.

Hawker stallholders who wish to continue their trade will be allocated a new stall at the replacement centre.

They can also choose to be allocated alternative vacant stalls at other existing hawker centres, subject to availability.

For stallholders who wish to exit, an ex-gratia payment of $23,000 per tenant will be offered to first-generation stallholders.

Rehousing Benefits for Eligible SERS Flat Owners

(a) Compensation for their existing flats based on the prevailing market value;

(b) Assured allocation of new flats at the designated replacement site (if eligible);

(c) Purchase of replacement flats at subsidised prices frozen as at the date of SERS announcement;

(d) 20% price discount (up to $15,000 for singles and $30,000 for joint singles and families), if eligible, for the purchase of the replacement flats;

(e) Exemption from the payment of resale levy for the existing flats and concessions for the payment of resale levy/ deferred premium for the sale of a subsidized flat elsewhere;

(f) Exemption from paying the $10,000 premium on top of the purchase price of the replacement flat for original SERS flat owners who are 1st timer SC/SPR households;

(g) Concessionary housing loan for the replacement flats for eligible SERS flat owners, subject to credit assessment; and

(h) A comprehensive financial package to ease the cash flow for purchase of the replacement flats; and

(i) Option to apply for a flat under the public sales exercise and enjoy the same SERS rehousing benefits (where applicable). Flat owners will be given priority allocation in public sales exercises, where up to 5% of the available flat supply is set aside for offer to eligible households and tenants affected by SERS as well as Government's relocation and resettlement schemes.

Eligible SERS flat owners who do not wish to take up the new replacement flats can choose to sell their SERS flats in the open market.

With the sales proceeds, which will include a premium for the rehousing benefits, they can buy a resale flat in their preferred location.

Monday, Jun 25, 2012
AsiaOne  
  
Eye-catching glass houses in Singapore  
 
SINGAPORE - It seems like more people in Singapore are choosing to design and build their houses using glass as one of the main elements.

The Straits Times reported that more people are choosing to live in these eye-catching glass homes, which may cost considerably more to build than if using concrete. 

Curious eyes have free reign of the property - certain rooms are exposed completely to onlookers.

Home owners turn to using planted trees in their gardens to shield their houses, or "smart glass" which can turn from transparent to opaque with the flick of a switch.

Some also install closed-circuit television cameras to monitor their homes.

Heat is another problem. Home owners have to use energy-efficient glass which controls heat flow into the home.

Tuesday, Jun 26, 2012
AsiaOne  
 
URA releases sales conditions for East Coast Road hotel site  
 
SINGAPORE - The Urban Redevelopment Authority (URA) released today the detailed sales conditions for an East Coast Road hotel site.

The land parcel is located at the junction of East Coast Road and Joo Chiat Road. The area is lined with conserved shophouses operating eateries and shops.

The hotel site has land area of 0.8 ha and is expected to generate a gross floor area of about 24,716 sq m.

It also contains the former Joo Chiat Police Station, which will be conserved and restored as part of the hotel development.

Under the Government's Reserve List system, the land parcel at East Coast Road will be released for sale if the criteria for the triggering of the site is met.

When the site is put up for tender, a tender period of about six to eight weeks will be allowed before tender closes.

Wednesday, Jun 27, 2012
AsiaOne  
  
Bukit Batok, Yishun industrial sites launched for sale  
 
SINGAPORE - The Urban Redevelopment Authority (URA) today launched 2 industrial sites at Bukit Batok Street 23 and Yishun Avenue 9 (Parcel 5) for sale by public tender.

The Bukit Batok Street 23 land parcel has a site area of about 1.5 ha and will be developed for Business 1 uses.

It has a maximum permissible gross plot ratio of 2.5 and a lease period of 30 years.

Land Parcel 5 at Yishun Avenue 9 has a site area of about 2 ha and will also be developed for Business 1 uses.

It has a maximum permissible gross plot ratio of 2.5 and a lease period of 30 years.

Under Business 1 use, the sites can be developed for uses such as light industry, clean industry, utilities or telecommunication uses, as permitted under the Planning Act.

The tender for the industrial sites at Bukit Batok Street 23 and Yishun Avenue 9 (Parcel 5) will close on Aug 22 and Aug 30 respectively at 12 noon.

Selection of the successful tenderer will be based on the tendered land price only.

These 2 sites are part of the 16 industrial sites announced for sale under the Confirmed List of the 1st half 2012 Industrial Government Land Sales Programme.

Friday, Jun 29, 2012
The Business Times  
 
Prices of suburban condos above 506 sq ft most resilient  
 
By Kalpana Rashiwala

PRICES of completed apartments above 506 sq ft in the Non-Central Region or suburban areas have been the most resilient year to date (up to May) followed by small units islandwide. Big apartments in the Central Region have fared the worst, show data from NUS.

Based on NUS's Singapore Residential Price Index (SRPI) series, which tracks prices of completed apartments and condos, the sub-index for the Non-Central Region (excluding small units) rose 1.9 per cent between December last year and May this year.

Over the same period, the sub-index for small units (up to 506 sq ft) islandwide dipped 0.1 per cent, while the sub-index for the Central Region (excluding small units) slipped an even bigger 2 per cent. Central Region is defined as Districts 1-4 (which include the financial district and Sentosa Cove) and the traditional prime residential districts of 9, 10 and 11.

The pattern is similar to trends in the past two years. In 2011, the Non-Central Region sub-index (excluding small units) rose 11.3 per cent, higher than a 10.6 per cent increase for small units islandwide and 5.1 per cent hike for Central Region (excluding small units) In 2010, the three indices posted gains of 14.9 per cent, 13.8 per cent and 7.7 per cent respectively.

"The index movements pretty much reflect what we've been seeing in the market in the past few years," says DTZ's SE Asia chief operating officer Ong Choon Fah.

"In suburban locations, because developers have been launching new projects at prices higher than those of existing, completed projects in the vicinity, it has an effect on prices of the completed properties as well."

Even so, analysts note that there is usually still a price gap between new launch and resale prices, which means that buyers, especially owner occupiers, still see value in completed suburban condos, says SLP International managing director Peter Ow.

Mrs Ong notes that in addition to owner occupiers, there is demand for completed suburban apartments from investors. "Rents have held up well. Many younger expats on smaller housing budgets are opting to lease suburban condos and even HDB flats," she adds.

In contrast, big units in the Central Region tend to be more pricey and cater mostly to high net worth Singaporean investors and foreigners. "Some of them could be affected by various cooling measures as well as the global economic situation. They may also be attracted to other property markets such as London," says Mrs Ong.

Meanwhile, shoebox apartments continue to be popular, with their more affordable lump sum investment size.

NUS's May 2012 flash estimates released yesterday show that the overall SRPI increased 1.5 per cent in May over the preceding month. This is double the 0.7 per cent month-on-month hike in April. The sub-index for small apartments islandwide posted a 0.9 per cent month-on-month rise in May, against a drop of 0.8 per cent in April.

The sub-indices for the Central Region and Non-Central Region, both excluding small units, were up 0.8 per cent and 2.2 per cent respectively month on month for May.

In April, the Central Region sub-index rose 1.5 per cent while that for the Non-Central Region was unchanged from the preceding month.

The SRPI series, minted by NUS's Institute of Real Estate Studies, tracks prices of completed private apartments and condos (excluding executive condos).

R'ST Research's caveats analysis shows a pick-up in resale volumes of private apartments/condos above 506 sq ft in recent months, in both the Central and Non-Central regions - compared with January, when volumes dived following the introduction of the additional buyer's stamp duty in December.

Friday, Jun 29, 2012
The Business Times  
 
Faber Drive bungalow up for sale, guide price set at $12.5m  
 
A BUNGALOW at Faber Drive has been put up for sale by expression of interest, with a guide price of $12.5 million. The guide price translates into nearly $1,067 per square foot (psf), based on land area of about 11,719 square feet.

A two-storey bungalow with a build-up of 4,400 sq ft stands on the site. It also has a swimming pool.

Said Mary Sai, executive director, investment (commercial sales), of marketing agent Knight Frank: "One sector of the residential market which is quite resilient is the landed properties such as small bungalows, semi-detached, and terrace houses.

"Transactions of such properties are still quite active as these are often the dream homes of many Singaporeans. Furthermore, their prices are generally within affordable and reasonably range."

This is in spite of the slew of cooling measures imposed on residential properties, she noted.

The site is within close proximity of The Clementi Mall, Clementi Bus Interchange/ MRT Station, and the National University of Singapore. Its land size is capable of being subdivided into two plots for smaller houses which require a minimum size of 4,305 sq ft, added Ms Sai.

Saturday, Jun 30, 2012
The New Paper  
  
Pilot project at Punggol  
 
One block in Punggol HDB estate may well hold the answer to household energy efficiency in the future.

In the next one to two months, 10 homes at Block 109C, Edgedale Plains, will be invited to install a new home energy management system, which aims to increase energy efficiency at home, reported Channel News Asia.

The system includes a smart phone application that indicates a household's monthly electricity consumption. Users will also be able to control their air-conditioners, even when they are not at home.

The project is a collaboration between Panasonic and government agencies, such as the Housing and Development Board, the Energy Market Authority and the Economic Development Board.

Mr Tan Chee Sim, senior principal engineer at the HDB Building Research Institute, said: "By giving the residents their consumption pattern and adding a dollar sign to it, it (the system) actually tells them how much they are paying. I think if they lower it, and reduce their cost, they will definitely change (mindsets of residents towards energy management)."

Panasonic says it expects 20 per cent savings for households.

Block 109C, Edgedale Plains, is a test bed for green energy solutions. Close to 190 solar panels have been installed at the block's rooftop, and lifts and lights in common areas will be powered entirely by solar energy, achieving zero emission. HDB says if it proves successful, it will explore introducing these solutions to other parts of Singapore
 

Monday, Jul 02, 2012
AsiaOne  
 
Prices for residential properties rise in Q2  
 
SINGAPORE - Prices rose for both private residential properties and resale HDB flats in the second quarter of this year compared to the first quarter.

The private residential property index rose from 206.0 points to 206.8 points, an increase of 0.4 per cent, according to flash estimates released by the Urban Redevelopment Authority (URA). The index dropped 0.1 per cent in the previous quarter.

Prices for resale HDB flats rose 1.3 per cent to 194.0 on the Resale Price Index (RPI) compared to a 0.6 per cent increase in the last quarter.

The RPI gives information on the general price movements in the public residential market.

Among private properties, prices of non-landed private residential properties in the core central region saw a bigger increase. It increased 0.6 per cent in the second quarter, reversing a 0.6 per cent decrease in the previous quarter.

Prices outside of the central region deccelerated to a 0.4 per cent increase compared to a 1.1 per cent increase in the previous quarter. There was no change in the prices in the rest of the central region.

URA's flash estimates are compiled based on transaction prices given in caveats lodged during the first ten weeks of the quarter.

The numbers will be updated four weeks later when URA releases its full second quarter 2012 real estate statistics. HDB will release the RPI for the full quarter, along with more detailed public housing data on July 27.

UPCOMING LAUNCHES

This month, HDB will be offering about 5,200 new flats for sale in Bedok, Bukit Merah, Choa Chu Kang, Clementi, Geylang, and Punggol.

It has committed to offer 25,000 Build-To-Order (BTO) flats in 2012. In the first half of this year, it has already offered 12,703 BTO flats and 3,825 flats under a Sale of Balance flats exercise.

Wednesday, Jul 04, 2012
AsiaOne  
 
Potong Pasir residential site sold for $114.8 million  
 
The Urban Redevelopment Authority (URA) has awarded the tender for the residential site at Pheng Geck Avenue (Parcel B) to Santarli Corporation Pte Ltd.

The company submitted the highest bid of $114.8 million in the tender for the 4,850.5 sq m site. This translates to about $6,762.09 psm/gfa.

The residential site, which is located near Potong Pasir MRT station, was launched for sale by public tender on May 15 and closed on June 28. The land parcel was offered for sale on a 99-year lease term.

Thursday, Jul 05, 2012
The Business Times  
      
ABSD-exempt share of home buying edges up  
 
By Michelle Tan

SINGAPORE - The share of home purchases made by buyers from countries exempted from the additional buyer's stamp duty (ABSD) has inched up in the first half of this year.

Foreign buyers (including permanent residents) hailing from ABSD-exempt countries because of bilateral free-trade agreements, such as the US, Switzerland, Norway, Iceland and Liechtenstein, accounted for 3.1 per cent of home purchases made by non-Singaporeans in the first six months of the year.

This compares with 2 per cent and 2.6 per cent in the first halves of 2011 and 2010 respectively, data compiled by CBRE showed.

US buyers have been particularly active in the local property scene, emerging as one of the top five foreign buyers of properties here in the first quarter of 2012, displacing Myanmar from the rankings.

Said Alan Cheong, Savills Singapore head of research: "For US buyers, they could still be participating relatively strongly because their economy is performing well."

However, in terms of absolute numbers, the volume of transactions made by exempt foreign buyers has been on a downtrend, leading some consultants to believe that the health of the economy could perhaps be a greater influence on buying behaviour rather than cooling measures.

"The volume of foreign buying, especially those in prime districts, had in fact shifted down gear even before the ABSD was introduced, largely on the back of the weakening global conditions," said Chua Yang Liang, Jones Lang LaSalle's Singapore head of research.

Having said that, industry watchers pointed out that the volume of transactions from the pool of exempt buyers made up a very small part of the market and did not reflect the overall market.

What's certain is that ABSD has been effective in reducing the number of foreigners from all countries buying properties here.

An estimated 1,374 foreigners (excluding Singapore permanent residents and companies) bought residential properties in the last quarter of 2011.

But the numbers plunged to 345 and 334 in the first and second quarters of this year respectively, representing a quarter-on-quarter decline of 75 per cent and 3 per cent for the respective periods, data from URA Realis showed.

The government introduced the ABSD as a "targeted and measured move to moderate investment demand (from overseas) in order to avoid the need for a major correction down the road".

Thursday, Jul 05, 2012
The Business Times  
  
Malaysians pip Chinese in S'pore property scene  
 
By Michelle Tan

SINGAPORE - Malaysians have emerged as the biggest foreign buyers of Singapore residential property, outpacing those from China.

According to data from the Urban Redevelopment Authority (URA) and CBRE Research, Malaysian buyers comprised 27.6 per cent of all foreigner purchases during the first half of 2012, compared to China's 20.3 per cent. This is a sharp contrast to the second half of 2011, when China occupied top spot with 29.6 per cent, and Malaysia had 18.7 per cent.

Said R'ST Research director Ong Kah Seng: "The resilience of Malaysian buyers is due to Singapore's proximity.

There are also many Malaysians who are permanent residents (PRs) in Singapore, and PRs are allowed to purchase at least one 'ABSD-free' private property."

Mr Ong also pointed out that Indonesian buyers (1H2012: 18.4 per cent) have been coming back strongly, following a slight lull in the first few months after the ABSD (additional buyer's stamp duty) was implemented.

Sharing some reasons for the revival in interest from Indonesian buyers, Mr Ong said: "Singapore is still a well-tested and well-positioned property hotbed for them, especially for those who have been on the sidelines during the prior prolonged sluggish central region home performance period.

With homes in the central region seemingly poised for sustained recovery, some people (especially those who are PRs) may decide to quickly purchase a unit.

Also, younger Indonesians who do not require posh or major-sized units to house their families see homes in Singapore as good avenues to be independent and yet remain close to their families."

All in all, it seems foreigners have started to accept the ABSD as a tax and are starting to hunt for properties in Singapore. And consultants are not the least bit surprised.

Friday, Jul 06, 2012
The Business Times  
 
A string of private housing launches around the corner  
 
SINGAPORE - Developers are preparing a slew of private housing projects for release in the next few weeks, including V on Shenton on the former UIC Building site, Parc Olympia at Flora Drive in the Upper Changi area and Parc Centros near Punggol MRT Station.

Next week, City Developments and Hong Realty are expected to roll out their Green Mark Platinum landed housing project, Haus@Serangoon Garden. The 99-year leasehold development will have 97 terrace houses. The homes are expected to cost $2.5 million-$3 million each. A typical intermediate terrace house will have land area of about 1,600 sq ft and built-up floor area of about 3,600 sq ft.

Capitol Investments is also said to be mulling over the release of some of the 39 units at its Eden Residences Capitol, near City Hall MRT Station, perhaps later this month or early next month.

The 99-year leasehold units - comprising three and four-bedders, as well as penthouses and garden villas - are on levels 3-11 of a new tower that will rise next to the landmark Capitol Theatre. The apartments will be opposite St Andrew's Cathedral; most units will enjoy views of Marina Bay.

A typical three-bedroom apartment will be about 2,200 sq ft and a four-bedder, over 3,000 sq ft.

Pricing for the apartments has yet to be fixed but some market watchers suggest it could touch $3,000 psf - given their unique positioning within Singapore's civic and cultural district.

Eden Residences Capitol will be part of a mixed development (retail, theatre, hotel and residences) that will include the historic Capitol Theatre, Capitol Building and Stamford House - which are being conserved and restored for adaptive re-use.

In the financial district, United Industrial Corporation is getting ready to release its V on Shenton (or Five on Shenton) towards the end of this month, BT understands. The project comprises 510 apartments in a tower that will rise to 54 storeys. Units range from studios to three-bedders; there will also be six penthouses. Word on the street is that the average pricing for the 99-year leasehold project could be in the $2,300-$2,500 psf range.

Unit sizes are about 440-plus sq ft for studios, 880 sq ft for two-bedders, 1,000 sq ft for two-bedder-plus-study units and 1,500-1,750 sq ft for three-bedders. Penthouses range from around 3,300-7,000 sq ft. In addition to facilities like a swimming pool and club lounge (on the roof of the carpark podium), residents can use outdoor dining areas to host private parties (on level 24) and take in views from open-air landscaped gardens (on level 34). An indoor gym will be on the 35th level. V on Shenton is part of a mixed development that will include a 23-storey office tower.

In the 99-year, mass-market condo segment, Koh Brothers is expected to preview next week its Parc Olympia project at Flora Drive. Observers say that pricing could average around $880-$900 psf.

Near Punggol MRT Station, Wee Hur Holdings is expected to roll out Parc Centros within a fortnight.

The pricing may be around $950 psf on average. The 16-storey condo will feature one to five-bedroom apartments as well as penthouses. Absolute prices start from about $550,000 for a 460-sq ft one-bedroom apartment, working out to about $1,195 psf.

Meanwhile, Allgreen Properties is expected to release two projects over the next few months - the 928-unit Riversails at Upper Serangoon Crescent and The Sorrento on West Coast Road. The latter will be a five-storey, freehold project with 131 units (one to three-bedders). Average prices could be around $1,300-$1,400 psf. Riversails - an 18-storey, 99-year condo - will have one to four-bedroom apartments. The average price is expected to be around $850 psf.

In the first five months of this year, developers sold 10,724 private homes, excluding executive condos. CBRE estimates that the figure for June could be around 1,100 units which could take the first-half figure to about 11,800 units.

Assuming developers sell 3,000-4,000 units in each of Q3 and Q4, the full-year tally would be 17,800-19,800 units, according to CBRE's forecast. Developers sold 15,904 units in 2011 and a record 16,292 units in 2010.

CBRE's executive director Joseph Tan said: "In the second half, we expect home prices to remain stable as developers continue to keep mass-market condo prices affordable at below $1,000 psf to move units; buyers will continue to be drawn to property investment as long as interest rates remain low."

But rents could dip marginally later this year as more projects are completed, and the inflow of expats slows amid a global economic slowdown, he added.

Urban Redevelopment Authority's flash estimate Q2 private home price index was up 0.3 per cent from Q4 last year. The index rose 5.9 per cent in 2011 and 17.6 per cent in 2010.