Staying human in the face of an en-bloc

The en-bloc sales that occurred in 2009 has no doubt made a few property owners overnight millionaires. However, it has also brought out the greedy and ugly side of Singaporeans who will stop at nothing to ensure they enjoy similar windfalls.

Last year, a few collective sites were launched for sale but only one site, Dragon Mansions, was sold for S$100.8 million. Despite the dearth of en-bloc activities, other sites were also making news for all the wrong reasons.

Laguna Park was one such site put on en-bloc sale last September for $1.2 billion. However, the condominium found itself mired with controversy with cases of vandalism reported in the papers.

As it turned out, the perpetrator of the crime was the condominium’s own estate management committee chairman who had inserted glue into the padlock, rear gate keyholes and main wooden door of flat owners who had refused the en-bloc sale.

He was subsequently found guilty of two counts of mischief and has since stepped down from his post. In the end, Laguna Park residents ended up poorer in other ways. Not only was the site unsold, the harmony and trust between residents is forever destroyed.

While there is nothing wrong in wanting to profit from your property investment, a line has to be drawn when committee members are allowed to force the sale of perfectly good buildings while homeowners who do not want to sell are unlawfully harassed.

Such a shortsighted approach will only depress the value of a property as landlords will be afraid to invest in the upkeep of the property. In the end, residents are the one who will suffer as they end up living in decrepit looking buildings.

With the improving market sentiment, we can expect more en-bloc sales to occur this year. However, our quest for material wealth should never make us lose our sense of humanity. Other intangible assets, like a sense of neighbourliness, can increase the attractiveness of an estate and perhaps lead to a successful en-bloc sale that is agreed by everyone in harmony.