Latest News from PropertyGuru https://www.propertyguru.com.sg/news-rss Latest News in PropertyGuru en-sg Copyright (c) PropertyGuru All rights reserved. 5 Tue, 19 Mar 2024 11:37:09 +0800 <![CDATA[75% of Lentor Mansion Sold Over Launch Weekend, Majority of Renters Find Home Rents Unaffordable, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/3/211091/75-of-lentor-mansion-sold-over-launch-weekend-majority-of-renters-find-home-rents-unaffordable-and-more www.propertyguru.com.sg:news:211091 Mon, 18 Mar 2024 06:33:59 +0800 75% of Lentor Mansion Sold Over Launch Weekend, Majority of Renters Find Home Rents Unaffordable, and More
75% of Lentor Mansion Sold Over Launch Weekend, Majority of Renters Find Home Rents Unaffordable, and More

12 to 18 March 2024

Lentor Mansion, GuocoLand’s third condominium launch within the Lentor Hills estate, sold 400 units or 75% of its total units during its launch over the weekend. Meanwhile, a recent survey conducted by PropertyGuru revealed that a large majority of renters in Singapore, at 85%, find current rental prices too high.

 

1. 75% of Lentor Mansion sold over launch weekend

Lentor Mansion, GuocoLand’s third condominium launch within the Lentor Hills estate, sold 400 units or 75% of its total units during its launch over the weekend, reported The Straits Times.

Prices for the units ranged from $2,104 per sq ft (PSF) to $2,478 PSF.

2-bedroom units emerged as the most popular among buyers, with all 214 units sold. About 84% of the 3-bedroom units were also sold, including 16% of the 4-bedders and 13% of the 5-bedders.

Singaporeans and Singapore Permanent Residents (PR) accounted for 99% of the total buyers at launch.

Jointly developed by GuocoLand and Hong Leong Holdings, Lentor Mansion features a mix of 2-bedroom to 5-bedroom units spread across three 16-storey towers and three eight-storey blocks. It is set for completion in 2027.

It is the first development to be sold under the Urban Redevelopment Authority’s (URA) new guidelines, where units sold are based on liveable space. 

While overall market sentiments were lifted with the positive news, it would be circumspect to maintain that the sales results may not necessarily be replicated in future launches,” shared Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru. 

“However, what is perhaps clearer is that there are property seekers looking out for value-buys where a blend of location, amenities (integrated developments, near transport nodes and good schools) and sweet spot pricing could lead to more positive outcomes.”

 

2. Majority of renters find home rents unaffordable

A recent survey conducted by PropertyGuru revealed that a large majority of renters in Singapore, at 85%, find current rental prices too high, forcing many to adopt measures such as tightening their budgets or seek more affordable options, reported Singapore Business Review.

PropertyGuru’s bi-annual Consumer Sentiment Study H1 2024 showed that 69% of the respondents believe rents would further increase over the next six months, with 50% of them expecting growth of 5% or more.

With this, 37% of the renters reduced their spending to pay bills, while about 44% searched for cheaper rental properties to cope with the increasing cost of living.

Majority of Singaporeans, four out of five, believe more can be done to alleviate the rental surge.

“Renters may see some reprieve in rent moderation given more completed units available for lease, especially toward the end of the year, providing tenants with more housing options,” said Dr Tan Tee Khoon.

 

3. Home buyers urged to be more cautious amid looming economic uncertainties

Minister for National Development Desmond Lee has urged home buyers to be more cautious and exercise prudence amid the looming economic uncertainties.

In an exclusive interview with CNA, the minister shared that the government worked very hard over the past few years to stabilise the housing market following disruptions brought about by the COVID-19 pandemic. Challenges observed during the pandemic years include increased housing demand, high resale prices and delayed Build-to-Order (BTO) projects.

Lee noted that these disruptions required time to restore balance.

While BTO application rates appears to have stabilised, home buyers need to be cautious amid the unclear economic outlook, he said.

“We see interest rates staying higher for longer. We see economic uncertainties in the road ahead of us. We see geopolitical tensions, and all these will have an impact on the property sector,” said the minister.

To support young couples in homeownership, Lee has unveiled the Staggered Downpayment Scheme, which is aimed at easing the initial cost of acquiring a flat.

The government is also providing a $300 rental vouchers in the form of the PPHS (Open Market) voucher for eligible families waiting for their BTO flats to offset rent paid for an HDB unit or bedroom on the open market. 

 

4. SLA looks beyond bid price when awarding co-living projects

Beyond bid price, tenders for co-living rental spaces are awarded based on the quality of proposals, reported CNA.

Notably, the Singapore Land Authority (SLA) reviews bids holistically taking into consideration factors such as creativity and concept of the proposal, sustainable initiatives and contribution to the precinct’s vibrancy.

This comes amid an uptick in the number of bids for co-living properties due to rising demand.

 “There has been an increasing need for spaces for co-living concepts that incorporate many communal facilities such as wellness components to bring the community together and for people to enjoy,” shared SLA Director Carrie Wong.

Since 2023, three properties have been launched by SLA for co-living housing, with plans to release more in the coming months.

Co-living operator Cover Projects, for instance, plans to retain the heritage building’s look, equip the space with amenities and involve environmental considerations in its planning.

The firm won the bid to transform 26 Evans Road, a state property near Botanic Gardens, into a co-living space. 

 

5. New home sales drop 47% in February 2024

Singapore saw new private homes sales, excluding executive condominiums (ECs), drop 47% month-on-month to 149 units in February 2024, marking the lowest February sales since 2008, reported Singapore Business Review citing URA data.

The figure is also the lowest monthly sales since December 2023.

Including ECs, new home sales plunged 68.9% to 183 units in February from 588 units in January 2024.

On an annual basis, sales of new private homes, excluding ECs, fell 65.6% from the 433 units shifted in February 2023.

The Rest of Central Region (RCR) and the Outside Central Region (OCR) both accounted for 38.9% of the total transactions in February, while the Core Central Region (CCR) contributed 22.1%.

URA Realis data also showed that no new condominiums were transacted for over $10 million in February, albeit eight condominium units were snapped for at least $5 million but less than $10 million. 

 

6. Fall detection package to help seniors age in place to be offered from 1April 2024

Starting 1 April 2024, households in Housing and Development Board (HDB) flats can subscribe to a fall detection package, as part of the Housing Board’s efforts to enhance the living environments of seniors as well as support their ageing in place, reported The Straits Times.

Minister for National Development Desmond Lee underscored the necessity of preparing for a future with a larger senior population and help them live independently.

He shared that HDB will partner with commercial vendors to provide these packages, with further details to be announced at a later date.

He made the statement at the launch of Age+ Living Lab at Block 839 Yishun Street 81.

A collaboration between SG Assist and the Singapore University of Social Sciences (SUSS), the lab serves as a simulated home environment equipped with assistive products for seniors. It aims to educate seniors and their caregivers about assistive tools and gerontechnology – technology which helps meet the needs of seniors.

An example of a fall detection solution is a wall-mounted fall monitor designed by local tech provider iWow. 

 

7. URA releases two River Valley Green sites for sale

Two residential sites at River Valley Green have been released for sale under the first half 2024 Government Land Sales (GLS) programme, revealed the Urban Redevelopment Authority (URA).

Launched under the Confirmed List, the land plot at River Valley Green (Parcel A) had an area of 9,291.1 sq m and maximum gross floor area (GFA) of 32,519 sq m. It is expected to yield 380 housing units.

The other plot at River Valley Green (Parcel B) spans 11,737 sq m and comes with a maximum GFA of 41,080 sq m. Zoned “Residential with Commercial at first storey”, the site is expected to yield 580 units, including 220 long-stay serviced apartments.

It available under the Reserve List, which means it will only be released for sale if the government receives an offer of a minimum price that is acceptable to it and if there is adequate market interest.

 

8. Singapore among top sources, destinations of property investments

Colliers has listed Singapore as the world’s second-largest source of global cross-border capital, reported Singapore Business Review.

Notably, more than US$5.6 billion (S$7.5 billion) of capital invested came from the Lion City over the last six months of 2023.

The city-state also emerged as the ninth-largest global capital destination, with US$2.12 billion (S$2.8 billion) in standing assets as of last year.

By asset class, Singapore companies injected $2.33 billion to industrial properties, $1.7 billion to office properties and $785 million to hotel properties.

Meanwhile, overseas investors invested $742 million in the city-state’s office properties, $738 million in its retail properties and $458 million in its industrial properties.

Overall, the United States continued to the biggest source of global cross-border capital, while Hong Kong settled in third place. Rounding off the top five list are Canada and Germany.

Meanwhile, the United Kingdom headlined the list for the top global capital destination followed by the US and Japan.

Other top global capital destinations include Germany, China, Canada, Australia, Spain, Singapore and France. 

 

9. HDB issues $700 million of fixed rate notes

HDB has issued $700 million, seven-year fixed rate notes under its $32 billion Multicurrency Medium Term Note (MTN) Programme.

To mature on 12 March 2031, the notes are in denominations of $250,000 with a coupon of 3.151% per year payable semi-annually in arrears.

The notes were offered by way “of placement to institutional investors (as defined in Section 4A of the Securities and Futures Act 2001 of Singapore (“SFA”)) pursuant to Section 274 of the SFA and accredited investors (as defined in Section 4A of the SFA) pursuant to and in accordance with the conditions specified in Section 275 of the SFA and (where applicable) Regulation 3 of the Securities and Futures (Classes of Investors) Regulations 2018,” said HDB.

While approval in principle for the notes’ listing on the Singapore Exchange Securities Trading Limited (SGX-ST) has been obtained, their admission on the official list of SGX-ST should not be taken “as an indication of the merits of HDB, its subsidiaries or the notes”.

Rated AAA by Fitch Ratings, the notes were cleared through The Central Depository, with United Overseas Bank Limited as sole lead manager and bookrunner.

 

10. Entire floor at Royal Square on sale for $44.28 million

An entire floor of strata space at Royal Square has been put up for sale via expression of interest (EOI) with a guide price of $44.28 million, revealed sole marketing agent Savills Singapore.

Situated at Level 6 of the integrated mixed-use development, the 7,373 sq ft strata space comprises two strata titles, which may be acquired jointly or individually. Savills noted that both foreigners and companies may acquire the property with no additional buyer’s or seller’s stamp duty payable.

Currently, the entire floor is tenanted to an international hot pot chain, offering investors immediate rental income “with the flexibility for end-users to occupy the space in the midterm”.

Royal Square is a 33-storey integrated mixed-use development comprising a hotel, medical suites and a two-storey retail podium. It is located along Health City Novena, enjoying prominent visibility along the junction of Thomson Road and Irrawaddy Road.

The EOI exercise for the strata space closes on 18 April 2024.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Fariza Salleh, Content Manager at PropertyGuru, edited this story. To contact her about this story, email: farizasalleh@propertyguru.com.sg. 

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<![CDATA[Lentoria Sells 19% of Units Over Launch Weekend, Lentor Mansion Draws 5,000 Visitors During Preview, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/3/211058/lentoria-sells-19-of-units-over-launch-weekend-lentor-mansion-draws-5000-visitors-during-preview-and-more www.propertyguru.com.sg:news:211058 Mon, 11 Mar 2024 07:22:09 +0800 Lentoria Sells 19% of Units Over Launch Weekend, Lentor Mansion Draws 5,000 Visitors During Preview, and More
Lentoria Sells 19% of Units Over Launch Weekend, Lentor Mansion Draws 5,000 Visitors During Preview, and More

5 to 11 March 2024

TID sold 50 units of Lentoria, or about 19% of the development’s 267 units, during its launch over the weekend. Meanwhile, Cuscaden Reserve, a 192-unit luxury condominium in District 10, has been relaunched with prices starting from $2,900 per sq ft (PSF).

 

1. TID sells 50 units of Lentoria over its launch weekend

TID sold 50 units of Lentoria, or about 19% of the development’s 267 units, during its launch over the weekend.

Prices started from $1,958 PSF.

TID revealed that 2-bedroom and 3-bedroom units, measuring 700 sq ft to 1,1119 sq ft, accounted for more than 70% of the 50 units sold. “Prospective buyers were particularly drawn to the fact that Lentoria will be looking to serve its notice of vacant possession by July 2027,” it added.

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group commented on the opening sales performance, “The exuberance witnessed from 2021 to 2022 has subsided, and the market has largely stabilised in its current equilibrium. Amid the uncertainty, the sales at Lentoria are encouraging despite the number of new launches in the Lentor area.

We anticipate demand in the area to remain stable, appealing to property seekers from the northeast and north regions of Singapore. With the upcoming completion of the RTS link, the homeowners will be five stops from Woodlands North and enjoy superb accessibility to Johor Bahru, where they could maximise their Singapore dollar earnings.”

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru added, “Perhaps this is the first time a developer sales launch coincided with a massively popular concert. Dubbing it the Taylor Swift effect, there could be property seekers who would rather put their purchase plans on hold than miss The Eras tour!”

Overall, the units achieved an average price of $2,120 PSF.

Situated in District 26, the 99-year leasehold development is the fourth new launch within the Lentor area, out of the six state sites sold. TID, a joint venture between Hong Leong Group and Mitsui Fudosan, acquired the 10,819 sq m site in September 2022 for $276.36 million, reported The Business Times.

 

2. Cuscaden Reserve relaunched at lower prices after getting an ABSD extension

Cuscaden Reserve, a 192-unit luxury condominium in District 10, has been relaunched with prices starting from $2,900 PSF, reported The Straits Times.

This is around 20% below the average price of $3,600 PSF achieved for the 12 units sold in September 2019.

The discount comes after the Additional Buyer’s Stamp Duty (ABSD) deadline to dispose of all units by 2023 was extended to 2024, shared a marketing agent for the project, who wanted to remain anonymous.

Cuscaden Reserve obtained its Temporary Occupation Permit (TOP) in August 2023 and has 180 unsold units, most of which are 1-bedders and 2-bedders.

Booking of units will start on 16 March 2024.

 

3. CDL sells 61 Lumina Grand units during the second balloting

Lumina Grand, City Developments Limited’s (CDL) 512-unit condominium project, sold 61 units during its second balloting, reported Singapore Business Review citing Huttons data.

This brings total sales at the project to almost 70% after one month of sales.

Of the 61 units shifted during the second balloting, 59 were 3-bedroom and 4-bedroom units.

Huttons shared that the majority of the buyers were from the Choa Chu Kang, Bukit Batok, and Bukit Panjang areas.

It added that almost all of the buyers opted for the deferred payment scheme.

“Opting for a deferred payment scheme allows buyers to have the best of both worlds,” said Huttons.

“They can still upgrade their lifestyle yet conserve their cash for a safety net,” it added.

 

4. Lentor Mansion opened for preview, prices start from $2,082 PSF

GuocoLand has opened Lentor Mansion – its third condominium launch within the Lentor Hills estate – for preview on 1 March 2024 with prices starting from $2,082 PSF.

Its first two were Lentor Modern and Lentor Hills Residences.

Occupying a 2.2ha site, Lentor Mansion will feature 533 condominium units spread across three 16-storey towers as well as three eight-storey blocks – “making it the largest site and lowest in density among all plots sold under the Government Land Sales Programme in Lentor to-date,” said GuocoLand.

2-bedroom units are offered from $1.149 million or $2,180 PSF, 3-bedders from $1.702 million, or $2,165 PSF, 4-bedders from $2.635 million, or $2,148 PSF, while 5-bedders are priced from $3.176 million, or $2,139 PSF, reported The Business Times.

Sizes of the units range from 527 sq ft to $1,507 sq ft.

GuocoLand acquired the Lentor Mansion site with Hong Leong Holdings for $486.8 million in April 2023.

Dr Tan Tee Khoon observed, “The fact that over 5000 property seekers visited the Lentor Mansion show flat over 1 to 3 March 2024 was astounding for the 533 unit project and the first new launch development which consists of 45 units of 5-bedders with sizes varying from 1,485 sq ft to 1,507 sq ft priced a tad above $3 million.

This is part of the ‘Mansion’ series of design concepts that GuocoLand is bringing to the Lentor area, with a black-and-white themed clubhouse which provides for social interaction and also a business centre that caters for remote working. The unique proposition that the developer is bringing demonstrates their intention to shape a new private residential enclave in the making. Lentor Mansion will appeal to the palette of exclusive property seekers looking to make their home in District 26.”

Sales booking for Lentor Mansion, which is expected to be completed by end-2027, will commence on 15 March 2024.

 

5. Nanshan Group launches Ardor Residence

Ardor Residence – a freehold condominium project of Nanshan Group at 181 Haig Road – has been launched for sale on 6 March 2024 offering 35 well-designed units spread across a five-storey block.

Buyers can choose from 2-bedroom plus study units to four-bedroom plus study apartments. The District 15 development also has penthouse units.

With sizes ranging from 861 sq ft to 1,776 sq ft, units come with distinctive finishes and luxury appliances from Bravat and Bosch.

Amenities at the development include a gymnasium, a swimming pool, BBQ pits and 24-hour security.

A seven-minute walk to Katong Shopping Centre, the development is also within one kilometre of various schools including Tanjong Katong Primary School, Tanjong Katong Secondary School, Haig Girls’ School and Chung Cheng High School.

Ardor Residence is set to receive its TOP in 2027.

 

6. 10,000 new homes to be built in Yishun, new housing area to rise at Gillman Barracks

To meet housing demand, Minister for National Development Desmond Lee revealed plans to launch new housing areas in Yishun and Gillman Barracks.

About 10,000 homes will be built in Yishun’s new housing area at Chencharu, located near Khatib MRT station.

Of these, at least 80% will be public housing. The first BTO project, which is set for launch in June 2024, will offer around 1,200 units of 2-room Flexi to 5-room flats. Other projects within the area will be progressively launched in the coming years.

Over the longer term, the government is also studying the possibility of developing a new residential neighbourhood at Gillman Barracks. The new neighbourhood will comprise a mix of private and public housing as well as public spaces and amenities.

Environmental and heritage studies will start in the second quarter of 2024, with completion expected around the first half of 2026.

Predominantly zoned “Reserve Site” under the 2019 URA Master Plan, Gillman Barracks is currently occupied by various interim uses such as creative lifestyle, arts, F&B and office uses, with tenancies progressively expiring by 2030.

 

7. Redevelopment of Gillman Barracks should balance heritage and environmental needs

With demand for Gillman Barracks homes expected to be robust, experts underscored the need to balance the potential development of the area with considerations for its heritage and environmental value, reported CNA.

Notably, new public housing at Gillman Barracks are expected to fall under the Prime or Plus classifications given the site’s central location and lack of new housing options within the area.

Located near the city centre, Gillman Barracks is within proximity to the Labrador MRT station, a business park in Pasir Panjang as well as the future Greater Southern Waterfront district.

Experts believe preservation of the area’s history is essential, with some suggesting a heritage impact assessment (HIA) to ensure the site “will remain meaningful for current and future generations”.

Meanwhile, the forested area in Gillman Barracks is ecologically valuable, not only serving as a habitat but also as a corridor for wildlife to move from the Southern Ridges to Bukit Timah and the Central and Western catchment areas.

“Remove the forested area of Gillman entirely and the ability of wildlife to move from north to south across the island, and then east and west along the southern shores, could be curtailed considerably,” said Dr Shawn Lum, Nanyang Technological University’s Senior Lecturer at Asian School of the Environment.

 

8. Island View relaunches en bloc sale, reserve price may be slashed to $532 million

Island View, a freehold development in Pasir Panjang, has been relaunched for collective sale at a current reserve price of $575 million.

This works out to a land rate of $1,634 PSF per plot ratio (ppr), including the latest land betterment charge (LBC) and the 7% bonus balcony space.

The development was previously put up for en bloc sale for $575 million in 2023. Its tender closed with no bids received.

The lower reserve price of $532 million translates to a land rate of $1,542 PSF ppr including the LBC and the 7% bonus balcony space.

Featuring 72 residential units, Island View occupies a 28,757.3 sq m (309,543 sq ft) site that is zoned for residential use under the 2019 URA Master Plan with a gross plot ratio of 1.4. As such, there is potential to redevelop it by up to five storeys high with 402 new units, based on an average unit size of 100 sq m.

The tender for Island View closes on 16 April 2024.

 

9. Pine Grove makes another en bloc attempt

Pine Grove, a condominium situated off Ulu Pandan Road, has been relaunched for collective sale with a reserve price of $1.95 billion, reported CNA.

This works out to a land rate of around $1,440 PSF ppr “after factoring in (an) additional 10% bonus gross floor area under the various incentive schemes and inclusive of an estimated land betterment charge of $1.02 billion for intensification and (a) lease upgrade for a fresh 99-year lease”, said ERA Singapore CEO Marcus Chu.

However, there is a possibility that the price may be lowered to $1.78 billion as owners started signing a supplemental agreement for a reduced price.

Chu shared that over 60% of owners have signed the supplemental agreement as of 3 March.

The former Housing and Urban Development Company (HUDC) estate comprises 660 units on an 82,982.8 sq m site that has 59 years left on its lease.

Under the 2019 URA Master Plan, the site is zoned for residential development with a gross plot ratio of 2.1. This means it could potentially yield up to 2,050 new units, subject to the authorities’ approval.

The tender for Pine Grove closes on 6 May 2024.

 

10 Proportion of resale flat buyers paying COV dropped since the increase in CPF Housing Grants

The proportion of resale flat buyers paying cash over valuation (COV) has declined by 50% since 2021 following the enhancements to the Central Provident Fund (CPF) Housing Grant in February 2023, reported TODAY.

Senior Minister of State for National Development Tan Kiat How said around 18% of resale flat buyers paid COV after the enhancements, a significant decline from about 29% in 2022 and 36% in 2021.

He was replying to MP Xie Yao Quan’s (Jurong Group Representation Constituency) question on the proportion of resale flat buyers paying COV since the adjustment in the CPF Housing Grant.

On whether the government would consider a “tiered system”, in which the CPF grant is pegged at different amounts of COV, Tan explained that implementing such a system can give rise to abuses given that COV is determined on a willing-buyer-willing-seller agreement.

“Because it’s a willing-buyer-willing-seller agreement, there’s a high chance of it being hard to enforce because buyers and sellers could collude to circumvent the restrictions,” said Tan.

 

11. Tengah’s first neighbourhood centre to open in Q2 2024

Tengah’s first neighbourhood centre, called Plantation Plaza, will open in the second quarter of this year, featuring 75 shops across five floors, reported CNA.

The shops will open progressively, beginning with a supermarket and a food court, said HDB.

Plantation Plaza will be integrated with a BTO project, Plantation Village that was completed in January 2024.

Its construction was timed to be completed at around the same time as the four nearby BTO precincts – namely, Plantation Acres, Plantation Grange, Plantation Village, and Plantation Grove.

“Similar to other neighbourhood centres, the upcoming Plantation Plaza will be completed after some critical mass of residents has built up, to ensure business viability for retailers,” said HDB.

To support businesses during their initial tenancy period, new shop tenants will be offered staggered rent discounts.

Meanwhile, a retail street will connect the neighbourhood centre to Block 127A to 126A of Plantation Village. This will provide residents with sheltered pedestrian access to the future MRT station on the Jurong Region Line.

HDB shared that a residents’ network centre as well as a preschool are also expected to be completed in Q2 2024.

 

12. New online platform to help individuals in need of emergency housing during national crises

An online crisis portal where homeowners can list their properties for emergency housing during a national crisis is being set up, reported CNA.

The first of its kind within Singapore, the initiative was announced by the Ministry of National Development (MND) and MOGUL.sg in a joint release.

“Individuals in need of emergency housing during national crises can access the portal to view the available properties and accompanying terms and conditions set by homeowners detailing the length of stay, suitability for families or pets, and other relevant conditions,” they said.

They noted that the portal will prove useful during crisis scenarios which create an urgent need for emergency housing.

The portal will be integrated into the platform of MOGUL.sg and will be activated only during a national crisis.

The portal’s operational costs will be absorbed by MOGUL.sg. Eligibility verification processes as well as a legal framework will be established to protect users.

 

13. Singaporean gets jail for helping foreigners buy over $6 million in restricted properties

A 57-year-old Singaporean man, Tan Hui Meng, has been sentenced to jail for assisting foreigners to purchase over $6 million worth of restricted properties, reported CNA.

Tan, who is an undischarged bankrupt, was sentenced to two years, three months and two weeks’ imprisonment as well as a fine of $3,000 after he was found guilty of eight charges under various Acts. These include the Oaths and Declarations Act, Land Titles Act, Residential Property Act and Housing and Development Act.

The charges arise from his involvement in buying or abetting the acquisition of three landed housing along East Coast Road for his business associate – Zhan Guotuan.

An experienced and wealthy businessman from China, Zhan plans to purchase all the houses along East Coast Road, where the three properties are situated, and develop them into a condominium. In fact, he had collaborated with Tan on previous development projects, such as Ceylong Residence and Tembeling Court.

The prosecutors noted that Tan persistently lied about the true identity of the buyer, insisting that he had bought the three properties at East Coast Road for himself.

“The accused knew that Zhan’s foreign speculation on the land in Singapore was highly profitable, and it was for this reason that the accused had gone out of his way to commit the offences,” they said.

Tan plans to appeal against his sentence and conviction.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Real Estate Leaders Setting the Standard for Sustainable Design and ESG]]> https://www.propertyguru.com.sg/property-management-news/2024/3/211045/real-estate-leaders-setting-the-standard-for-sustainable-design-and-esg www.propertyguru.com.sg:news:211045 Mon, 11 Mar 2024 05:18:55 +0800 Real Estate Leaders Setting the Standard for Sustainable Design and ESG
Real Estate Leaders Setting the Standard for Sustainable Design and ESG

The real estate industry is experiencing a major transformation, driven by leading developers that are actively shifting their projects towards a more sustainable future.

These developers are proactively integrating environmental, social, and governance (ESG) considerations into every aspect of their business practices. ESG principles guide developers to go beyond physical structures and consider the ecological and social impact of their projects.  

 

Benefits of adopting ESG principles in real estate 

Numerous benefits come with embracing ESG, including:  

  • Increased occupancy rates: ESG-focused buildings attract tenants who prioritise sustainability and well-being, potentially leading to up to 18% higher occupancy compared to conventional counterparts. 
  • Higher rental premiums: Landlords can command rents 2–8% higher due to the enhanced appeal and lower operational costs of green buildings. 
  • Utility savings: Efficient design, renewable energy sources, and smart building technologies translate to direct savings on utilities, with up to 15% less energy and water consumption. 
  • Reduced resource consumption: Lower reliance on finite resources such as water and energy fosters responsible use and minimises environmental impact. 
  • Improved waste management: Recycling and composting initiatives reduce landfill waste and encourage mindful consumption. 
  • Enhanced resilience: Buildings designed with climate change in mind are better equipped to withstand extreme weather events, resulting in lower maintenance costs and reduced risk of disruption. 
  • Ethical supply chains: Partnering with vendors that share ESG values mitigates reputational risks and ensures alignment with sustainability goals. 
  • Stronger community relationships: Engaging with local stakeholders and supporting community development fosters trust and positive relationships. 
  • Enhanced stakeholder trust: Accurate record-keeping, robust audits, and strong compliance measures ensure transparency and accountability, building trust among stakeholders. 
  • Improved regulatory compliance: Governments worldwide are implementing stricter regulations to encourage sustainable development. Real estate developers who proactively integrate ESG initiatives into their projects are better positioned to comply with existing and future regulations. 

 

How real estate developers are embracing ESG 

Real estate developers are no longer simply building structures; they’re creating sustainable environments that benefit people, the planet, and their bottom line. By embracing ESG principles, they’re tackling challenges associated with design and construction, and setting a new standard for the industry.

1. ISO certification 

Developers, such as GuocoLand (Winner: Best Developer, Special Recognition in Sustainable Design and Construction, Sustainable in ESG) and UOL Group Limited (Winner, Best Residential Developer, Best Sustainable Developer and Best Hospitality Developer, Special Recognition in Sustainable Design and Construction, Sustainable in ESG), partner with contractors that hold ISO 14001 certification for environmental management.

2

This certification enables better control over the impact of construction activities on the environment.

2. Real-time monitoring 

Some of GuocoLand’s Singapore-based construction sites are adopting ESG monitoring dashboards to provide real-time information on resource consumption (e.g., diesel, electricity, recycled water, and timber plywood), waste generation, and noise levels.

Solitaire on Cecil by Solitaire Cecil Pte Ltd (Winner, Best Commercial Developer, Best Reconstruction Project Development, Best Office Architectural Design) also conducts real-time monitoring and management of energy and water consumption as well as indoor air quality.

Copy of TCE2490_140CecilSt_S010_EXT_HeroDay_Final5000

3. Green building technologies

Sustainable developments prioritise energy-efficient technologies. GuocoLand’s Guoco Tower, for instance, captures and recycles 75% of rainwater, reducing its water consumption by 35%. It also utilises daylight, natural ventilation, and high-efficiency HVAC systems with smart controls to further reduce water and energy.

1_Lentor Modern Island View

This impressive effort earned them LEED Platinum and BCA Green Mark Platinum certifications. Across all projects, GuocoLand adheres to the GRI 302 and 307 standards for energy consumption and environmental compliance.

On the other hand, Solitaire on Cecil features EV car charging lots, 100 solar panels, and an efficient cooling tower and chiller plant system.

4. Greening the urban landscape

Developers are integrating landscaping and greenery into projects to enhance air quality, manage rainwater runoff, and create aesthetically pleasing environments.

UOL Group Limited, a recognized BCA Green Mark Champion, incorporates green and biophilic design into its buildings. Meanwhile, GuocoLand selects special plant species to boost local biodiversity and introduce features that clean rainwater and cool the microclimate.

5. Community development

Real estate developers are actively engaging with the community through various initiatives. From supporting social programs to promoting walkable communities, developers are making a positive impact beyond their projects.

For instance, Bukit Sembawang Estates Limited (Winner, Best Landed Developer, Best Landed Housing Development, Special Recognition in ESG) gives back to the community by providing monetary assistance to nearby nonprofit groups and organisations annually.

Pollen Collection - Inter Terrace Cross Section

In 2022 and 2023, they gave money and more than 350 kilograms of food to the “Heart on Wheels” food donation drive. They also donated desktops for the “Be the Light” initiative to help underprivileged families in Singapore.

Meanwhile, Frasers Property Singapore’s (Winner, Best Mixed-Use Developer, Special Recognition in Sustainable Design and Construction, Special Recognition in ESG, ) North project links 920 residences to a 400-outlet mall, minimising the community’s need for transportation.

Main devt facade

By embracing ESG principles and implementing innovative solutions, real estate developers are not just building structures, they’re building a brighter future for all. They’re creating resilient buildings, healthier communities, and long-term value for stakeholders, setting a new standard for the industry and leaving a lasting positive impact on the world.

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<![CDATA[The Future of Architecture: Examining the Impact of Design Innovation on Commercial and Residential Spaces]]> https://www.propertyguru.com.sg/property-management-news/2024/3/211014/the-future-of-architecture-examining-the-impact-of-design-innovation-on-commercial-and-residential-spaces www.propertyguru.com.sg:news:211014 Fri, 08 Mar 2024 02:04:58 +0800 The Future of Architecture: Examining the Impact of Design Innovation on Commercial and Residential Spaces
The Future of Architecture: Examining the Impact of Design Innovation on Commercial and Residential Spaces

Innovation is often associated with cutting-edge technology and futuristic concepts such as robotics and AI. But when it comes to architectural design, it’s beneficial to view innovation as reimagining and improving existing materials and technologies.

While new technologies have a vital role in enhancing sustainability, functionality, and user experience in architecture, the real strength of architectural innovation lies in discovering new possibilities within the familiar. Innovative architects possess a thorough understanding of the properties of materials and technologies they already have, enabling them to push boundaries and create groundbreaking designs.

Now, let’s dive into how innovative designs shape the future of architecture, particularly as they apply to different commercial and residential spaces.

 

1. Storytelling through architecture 

The notion of storytelling through architecture isn’t novel, but today’s designers and developers increasingly prioritise this element for a good reason: it’s a reminder that architecture’s visual storytelling capability can be a vital link between the past, present, and future.

One notable “storyteller” in this context is Pullman Singapore Hill Street (Winner, Best Hotel Development, Best Hotel Architectural Design, Best Hotel Interior Design) by EL Development Pte Ltd. The narrative it tells revolves around the rich history of Hill Street, a major road in Downtown Core.

pullman-hotel

Stepping into the Pullman is like stepping onto a luxurious Pullman train car, with the gleaming aluminum fins adorning the podium’s façade, evoking the brand’s rich heritage in rail travel.

Pullman is but one example of how architects today take on the challenge of translating the essence of a location into physical structures, mainly to promote a sense of connection and identity within the built environment.

pullman-hotel1

This resurgence in emphasis on storytelling not only enriches a structure’s aesthetic appeal but also fosters a deeper engagement with the community and an appreciation for the context in which these structures exist.

 

2. Spotting the real deal in sustainable innovation 

Sustainability is no longer a buzzword in architecture but a necessity. Just slapping a green label on a development doesn’t guarantee innovation.

Solitaire on Cecil (Winner, Best Office Architectural Design, Best Reconstruction Project Development, Best Commercial Developer) by Solitaire Cecil’s Pte Ltd (TE Capital Partners and LaSalle Investment Management) sets a good example in pushing the boundaries of sustainable design.

soltaire-on-cecil

Its crowning jewel is the “Blue Diamond” facade, a stunning symphony of contemporary glass punctuated by lush greenery. This high-performance facade boasts three tones of blue glass, strategically positioned to maximize natural light and minimize heat gain. This design choice accomplishes two things: protecting the environment and illuminating the interior with a warm glow.

soltaire-on-cecil1

In addition, extensive green features like vertical greenery climb its walls, acting as a living air purifier and reducing the urban heat island effect. End-of-trip facilities encourage sustainable commutes, while electric vehicle charging stations cater to the future of transportation.

Such developments are a testament to the power of innovation in sustainable design, showing us that commercial development can be both beautiful and responsible. It’s a blueprint for a future where progress and environmental consciousness go hand-in-hand.

 

3. Architectural innovation breeds community 

Communal living has existed for centuries, from monasteries to boarding houses. Yet, the concept of “Co-living space” still confuses some people. In any case, Co-living has gone a long way from the basic concept of “sharing walls and a roof.”

Co-living spaces are no longer just repurposed apartments but laboratories of design, reimagining the way we live, work, and connect. 

Many modern Co-living spaces are a reminder that design can be a catalyst for connection, collaboration, and personal growth. It’s a community woven from bricks, mortar, and a whole lot of architectural imagination.

Campus @ Telok Kurau by The Assembly Place (Winner, Best CoLiving Space and Best Co-Living Operator) is a shining example of this imaginative approach.

telok-kurau-condo-singapore

This student Co-living development, located in Telok Kurau, has large, open spaces – think expansive common areas bathed in natural light, ideal for spontaneous gatherings and brainstorming sessions.

telok-kurau-condo-singapore1

These spaces are carefully designed to facilitate healthy interaction and exchange of ideas. Forget cramped hallways and sterile lobbies; Campus is a living, breathing ecosystem of connection.

 

4. An appetite for innovation in food production 

Food feeds our bodies and souls, but the structures that house its production often lack the same nourishment for the imagination. Industrial food facilities, while crucial, can be dull and monotonous. But what if we could reimagine them as spaces that spark creativity and innovation, as much as they do delicious meals?

Chiu Teng Group’s CT FoodNEX (Winner, Best Industrial Development) is being constructed as a haven for food production with food producers’ needs well taken into account. This 10-storey project isn’t your typical factory.

ct-foodnex1

Its full ramp-up design allows for seamless flow and collaboration, with over a hundred production units catering to a diverse range of food businesses. From central kitchens and food processing to cold storage and high-end catering, CT Foodnex is a smorgasbord of culinary possibilities. 

The facade, inspired by Piet Mondrian’s grid-pattern compositions, mixes primary colors and clean lines. It’s a visual ode to the artistry and precision that goes into food creation, transforming the building into a canvas for edible masterpieces.

ct-foodnex

To future-proof food factories, there are key essential ingredients: flexibility, adaptability, human-centric design, and technological integration. In a country celebrated for its culinary heritage and a flourishing community of food producers, architectural innovation in food production spaces is indispensable.

 

5. The tall order of innovation in high-rise design 

Tall buildings, once symbols of ambition and progress, are now solving a complex equation: integrating designs that provide breathtaking views while respecting neighbours and the environment.

Riviere (Winner, Best Waterfront Condo Development, Best Condo Development (Singapore), Best Mixed Use Developer, Special Recognition in Sustainable Design and Construction, Sustainable in ESG) by Frasers Property Quayside serves as an example of how to successfully achieve this balancing act.

Nestled alongside the tranquil Robertson Quay, its two 36-storey towers are strategically positioned to maximise views. Notably, these towers’ placements reflect a commitment to respect and responsibility towards the surrounding community. 

Northward, apartments bask in the vibrant energy of Orchard Road, their windows framing the city’s beating heart. Southward, Marina Bay unfolds in all its glistening glory. The architects have carefully positioned Riviere’s towers to minimise the impact on existing views.

Respectful of their neighbours, they’ve ensured the river remains a shared treasure, its surface visible from both old and new residences. This feat of architectural innovation isn’t just about reaching for the sky but also about building with respect for the ground we share.

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<![CDATA[4-room BTO flats in Hougang, Queenstown most popular among first-time buyers, Land betterment charge rates up 7.8% for landed, and more]]> https://www.propertyguru.com.sg/property-management-news/2024/3/210975/4-room-bto-flats-in-hougang-queenstown-most-popular-among-first-time-buyers-land-betterment-charge-rates-up-7-8-for-landed-and-more www.propertyguru.com.sg:news:210975 Mon, 04 Mar 2024 06:29:23 +0800 4-room BTO flats in Hougang, Queenstown most popular among first-time buyers, Land betterment charge rates up 7.8% for landed, and more
4-room BTO flats in Hougang, Queenstown most popular among first-time buyers, Land betterment charge rates up 7.8% for landed, and more

27 February to 4 March 2024

4-room Build-to-Order (BTO) flats in Hougang and Queenstown emerged as the most popular among first-time buyers in the latest sales exercise. Meanwhile, the Singapore Land Authority (SLA) has revised the land betterment charge (LBC) rates, with the rates increased for commercial, landed residential, non-landed residential, hotel/ hospital and industrial uses.

 

1. 4-room flats in Hougang, Queenstown most popular among first-time buyers

4-room Build-to-Order (BTO) flats in Hougang and Queenstown emerged as the most popular among first-time buyers in the latest sales exercise, reported The Straits Times.

Tanjong Tree Residences @ Hougang saw over four first-timer applicants vying for each of the 22 4-room units on offer as at 5pm on 28 February.

Over at Queenstown, Tanglin Halt Courtyard’s 175 4-room flats attracted 1,078 applicants even as it has the longest waiting time of four years and 10 months. The first-timer application rate for such flats, which are part of an integrated development, stood at 3.2.

The two projects in Bedok – Bedok North Springs and Bedok South Bloom – received 1,390 applications for the 499 4-room flats offered, with two first-time applicants vying for each unit.

Meanwhile, application rates for flats within the non-mature estates of Punggol, Choa Chu Kang and Woodlands were lower.

Both Matilda Riverside in Punggol and Woodgrove Edge in Woodlands registered a first-timer application rate of 1.5 for their 4-room flats, while the Rail Garden @ CCK project attracted 1.2 first-timer applicants for its 224 4-room flats.

 

2. February BTO sales exercise saw over 10,500 applicants

The latest BTO sales exercise attracted 10,521 applicants, down 21.6% from the application levels registered in December 2023, reported Singapore Business Review.

This comes even as overall application rate increased to 2.5 in February from 2.2 in December last year.

Analysts attributed the high application rate to the reduced BTO sales exercises for this year; a lower BTO supply compared to December; and to more flats having shorter waiting time.

Despite the higher application rates, the figure remains moderately muted compared to application rates registered between 2021 and 2023 – indicating that BTO demand may have stabilised. 

 

3. Land betterment charge rates up 7.8% for landed, 0.1% for non-landed housing

The Singapore Land Authority (SLA) has revised the land betterment charge (LBC) rates, with the rates increased for commercial, landed residential, non-landed residential, hotel/ hospital and industrial uses.

LBC rates for commercial use were increased by an average of 3.8%, with 104 of the 118 geographical sectors posting increases of between 3% and 9%.

Landed residential LBC rates were raised by an average of 7.8%, with 16 of the 118 sectors registering increases of between 7% and 8%, said SLA.

LBC rates for non-landed residential use were upped by an average of 0.1%. Of the 118 sectors, 37 witnessed increases of 3% to 14% while 27 recorded declines of 1% to 19%.

Meanwhile, the LBC rates for hotel/hospital as well as industrial uses were raised by an average of 0.7% and 1.7%, respectively.

No changes were made to the other use groups.

The revised LBC rates took effect from 1 March 2024.

 

4. Revised LBC rates reflect polarised performance of suburban, prime condo markets

The newly revised LBC rates reflect the polarised performance as well as sentiment in the private condominium market, with the suburban area witnessing hot demand while prime areas posted cooler demand, reported The Business Times.

An analysis showed that the Tanglin/Cuscaden area registered the biggest cut in LBC rates for non-landed residential use at 19.2%. It was followed by 18.8% chops within the Ardmore/Draycott/Claymore area, One Tree Hill, Orchard, Nassim/Orange Grove/Ladyhill/Fernhill and Paterson/Lengkok Angsa areas.

Meanwhile, West Coast/Clementi and Braddell/Toa Payoh areas saw LBC rates increase by 14% and 10.7%, respectively.

Market watchers attributed the divergence in sentiment to the doubling of Additional Buyer’s Stamp Duty (ABSD) rate to 60% for foreign buyers of private residential properties in April 2023. Foreign buyers are traditionally prominent in Singapore’s prime housing market.

 

5. URA launches Holland Drive site for sale

A residential site located at Holland Drive has been launched for sale under the 1H 2024 Government Land Sales (GLS) programme, revealed the Urban Redevelopment Authority (URA).

Launched under the Confirmed list, the site has an area of 12,388.0 sq m and a maximum gross floor area (GFA) of 58,224 sq m. It comes with a 99-year leasehold tenure and is expected to yield 680 housing units.

“These form part of the 5,450 residential units to be made available via the Confirmed List of the 1H 2024 GLS programme,” said URA.

The Confirmed List supply of 5,450 units in 1H 2024 is higher compared to the 5,160 units in 2H 2023 and 4,090 units in 1H 2023. In fact, it is the highest Confirmed list supply in a single GLS program since 2H 2013.

 

6. Thomson View up for collective sale, reserve price at $918 million

Thomson View Condominium, a residential development located next to Upper Thomson MRT station, has been put up for sale with a reserve price of $918 million, revealed Edmund Tie.

This works out to a land rate of $1,282 per sq ft per plot ratio (psf ppr), after factoring the LBC for the intensification of land use, the 7% additional bonus GFA and the lease upgrading premium to top up the lease to a fresh 99-year tenure.

The development occupies a 50,197 sq m (540,314 sq ft) site with a 99-year tenure that started from 1975. Completed in 1987, the development comprises 54 townhouses as well as a 29-storey block that houses 200 apartments and a shop unit.

Edmund Tie noted that the site is zoned “Residential” under the 2019 Master Plan with a plot ratio of 2.1. This means it could yield a total GFA of around 112,792 sq m.

It added that authorities have advised no objection, in-principle, to a redevelopment plan for 1,240 residential units, with no pre-application feasibility study required.

Interested parties can submit their offer to Edmund Tie until 18 April.

 

7. Sunseap Leasing to install solar panels at 1,075 HDB blocks, government sites

Sunseap Leasing, a unit of EDP Renewables APAC, will install solar panels at around 1,075 HDB blocks and 101 government sites after it was awarded the largest solar leasing tender, revealed the Housing and Development Board (HDB).

The tender has a solar capacity of 130 megawatt-peak (MWp), up 15% from the earlier estimates of 113 MWp.

Installation of the solar panels will start in Q2 2024, with completion set in Q3 2026.

HDB shared that around 3,900 HDB blocks have been installed with solar panels to date. Where feasible, the remaining HDB blocks will be progressively installed with solar panels in batches in the next three years.

Separately, HDB also awarded tenders to Chevalier Singapore and EM Services to retrofit 4,000 lifts with the Elevator Energy Regeneration System (EERS).

Retrofitting works will start in Q2 2024 and will be completed by 2030.

“The EERS recovers energy generated during lift motions and braking operations, to power other services such as lighting, ventilation, and the lift display panel within the lift,” said HDB.

With the system, lift energy consumption can be lowered by 20% on average.

 

8. JTC launches site at Tampines North Drive 5

JTC has launched the tender for an industrial site located at Tampines North Drive 5 under the 1H 2021 Industrial Government Land Sales (IGLS) programme.

Zoned for Business 2 use, the site comes with a gross plot ratio of 2.5 and a leasehold tenure of 30 years.

The site at Tampines North Drive 5 (Plot 10) is the second of five Confirmed List sites under the 1H 2024 IGLS programme.

Tender for the site will close on 23 April 2024 (Tuesday).

 

9. Shophouse at Upper Paya Lebar Road on sale for $8.8 million

A corner shophouse located at 129 Upper Paya Lebar Road has been put up for sale via expression of interest (EOI) with the guide price at $8.8 million, revealed marketing agent Huttons Asia.

The property occupies a freehold site that is zoned for “Residential with Commercial at first storey” use. Excluding the open roof terrace, the shophouse has a built-up area of about 3,089 sq ft.

Huttons revealed that the shophouse has two separate titles at 129 and 129A Paya Lebar Road. Its first storey comes with a permanent approval for restaurant use and includes an outdoor refreshment area. The upper level is accessible via a separate staircase at the side of the property.

The EOI exercise for the shophouse closes on 28 March.

 

10. Vertex industrial units sold for $965,000

An industrial unit at Vertex, situated at Ubi Avenue 3, was sold for $965,000 at an auction on 28 February, revealed Huttons Asia.

This is a 4.3% premium over the property’s opening price of $925,000. It is also $65,000 higher compared to the last transacted comparable unit.

Measuring 1,744 sq ft, the B1 industrial unit is located on the mid-floor of the development and comes with a ramp-up access.

Huttons’ Lee Sze Teck revealed that the auction attracted nine bids.

“The strong interest demonstrates continued demand for well-located industrial units in Singapore,” he said.

Located near Tai Seng and Ubi MRT stations, Vertex is a 60-year leasehold development completed in 2009. It features strata titled warehouses as well as clean factory units.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Fariza Salleh, Content Manager at PropertyGuru, edited this story. To contact her about this story, email: farizasalleh@propertyguru.com.sg. 

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<![CDATA[UOL Group Chief Executive Liam Wee Sin Discusses Luxury Trends and Consumer Shifts]]> https://www.propertyguru.com.sg/property-management-news/2024/2/210923/uol-group-chief-executive-liam-wee-sin-discusses-luxury-trends-and-consumer-shifts www.propertyguru.com.sg:news:210923 Tue, 27 Feb 2024 05:49:41 +0800 UOL Group Chief Executive Liam Wee Sin Discusses Luxury Trends and Consumer Shifts
UOL Group Chief Executive Liam Wee Sin Discusses Luxury Trends and Consumer Shifts

Singapore’s luxury residential market has proven to be remarkably resilient despite global headwinds, with new developments poised to continue appealing to long-term investors attracted to strong market fundamentals. Nevertheless, developers must constantly innovate to stay ahead of market trends and consumer demands. 

UOL Group’s recent achievements in this regard are proof that having a visionary approach pays off. Watten House, their recent luxury development featuring spacious low-density units in the prime Bukit Timah neighbourhood, received a strong buyer response during its private preview in November 2023, having sold 57% or 102 of its 180 units on the first day.

3 Watten Main Entrance

The project’s Asian-inspired design has been recognized at the PropertyGuru Asia Property Awards (Singapore) 2023, winning Best Luxury Condo Development, Best Luxury Condo Architectural Design and Best Luxury Condo Landscape Design. UOL also clinched the titles of Best Residential Developer and Best Sustainable Developer in the same Awards – a testament to the Group’s commitment to excellence in its luxury developments.

In this interview, Chief Executive Liam Wee Sin delves into Watten Houses’ success factors, shares key insights into the luxury residential sector and gives us a sneak preview of the Group’s upcoming luxury projects.

1 Mr Liam Wee Sin

 

1. UOL’s Watten House performed very well during its recent private preview in November 2023. Was it unexpected, and what would you say were some factors that contributed to its success?

Watten House’s performance during its recent private preview was certainly encouraging. We were confident in the inherent strengths of the land parcel, and the team worked very hard to make the project a success.

2 Watten 5-Bedroom Living Dining

The site’s strategic location in Bukit Timah makes it appealing to local and foreign buyers as a long-term investment or heirloom property, particularly due to its freehold status and proximity to excellent schools and amenities. The elevated position also offers captivating long views of the surrounding greenery and residential estates. We created diverse unit attributes that catered to various buyer preferences, contributing significantly to robust sales.

Part of the success can also be attributed to UOL’s unique approach to creating value through strong product and project delivery. We crafted a narrative reminiscent of an Asian-inspired mansion, complemented by timeless architecture and spacious layouts. The landscape and interior designs further contribute to a lifestyle that resonates seamlessly with the site’s unique features.

Our decision to have the preview at the end of 2023 allowed us to capture potential buyers’ attention before their year-end travels. When the market is relatively subdued, luxury residential buyers often tend to gravitate towards a ‘flight to quality’, a trend that we successfully leveraged for the Watten House private preview in November last year.

 

2. After the private preview, you’ve closed the Watten House show gallery. What can we expect from the public launch in early 2024?

3 Watten Main Entrance

Following the positive response from the preview, we’ve closed the show gallery to take a year-end break and engage in strategic planning. During this time, we have been refreshing the show unit configurations with a new interpretation for the public launch. I think people will be pleasantly surprised by the updates.

We will also be unveiling a sculpture by Han Sai Por, which will find its place within the actual development.

 

3. Are there any other luxury projects in the pipeline, and would you be able to share more details about them?

The next two additions to our Luxury Collection are the upcoming developments at the former Meyer Park and Orchard Boulevard sites.

The former Meyer Park is located in an exclusive area of eastern Singapore. With its freehold status and the upcoming Long Island master plan, it will enhance its value by capitalising on the area’s future growth story. Similarly, the Orchard Boulevard site has an apex location in Tanglin, enjoying panoramic views of the Botanic Gardens and Dempsey area with the prime connectivity of an Orchard address.

6 Meyer Overview (c) Darren Soh

We believe these two locations are the right place to be, having a good balance between value retention and growth. They are well-positioned to continue our Luxury Collection and will redefine their respective locales for many years.

I am very excited about the launch of the former Meyer Park project, as it will be something different and experiential. We are also exploring a bold concept that will set a benchmark for luxury high-rise living in Meyer.

 

4. UOL is known for creating market-leading luxury projects such as Nassim Park Residences, Meyer House, Watten House, and the upcoming Meyer Park and Orchard Boulevard developments.  How has the notion of luxury evolved, and what would you say luxury buyers today are looking for?

7 Meyer (c) Darren Soh

The notion of luxury is more broadly defined now. Location is still very important. However, buyers today also look at areas that offer amenities, lifestyle and conveniences that suit their wide-ranging needs. In addition, they are now very discerning and can connect with and appreciate design-centric developments, from the overall architecture, landscape and interior design to the layout of dwelling units. 

For our recent high-end projects, we have transitioned to a new creative process that is much more engaged and immersive, integrating impeccable design with a distinct and differentiated concept.  You will see this in our upcoming Meyer Park and Orchard Boulevard launches. 

Our approach transcends traditional luxury, focusing instead on a meticulously curated experience with dimensionality and storyline. We believe that our buyers can perceive the difference, which our recent market successes have validated. 

 

5. On a personal level, what inspires you, and where do you draw ideas for new luxury residential launches?

Every design process is a collaborative one, involving and learning from various team members and our creative partners. It helps to keep an open mind that is always brewing new ideas, especially establishing a clear direction without coming to conclusions too early. Leveraging technology is also important, as it allows for the testing of options and solutions quickly. 

At UOL, we are known for our extensive portfolio of biophilic hotels and human-centric designs.  This allows for cross-pollination between hospitality and residential concepts, harnessing the latest design trends and elevating our standards in both asset classes. 

On a personal level, I tend to be a morning person, and I cycle and walk along in the parks and park connectors, so fresh ideas flow during the early hours when distractions are minimal. That’s when I have my handphone ready.

 

6. Lastly, how would you describe luxury living today?

Luxury means exclusivity, space, comfort, and design in our developments. A luxury development is not just about location; it’s about its design content. This is built over the collaborative execution of many projects with our creative partners. It starts with a rigorous process of visioning and ideation, leading to design iterations and, ultimately, execution and delivery.

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<![CDATA[About 6,830 HDB BTO June 2024 Flats to Launch, Landlord Slammed for "Morgue-like" Listing, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/2/210915/about-6830-hdb-bto-june-2024-flats-to-launch-landlord-slammed-for-mortg www.propertyguru.com.sg:news:210915 Mon, 26 Feb 2024 07:27:12 +0800 About 6,830 HDB BTO June 2024 Flats to Launch, Landlord Slammed for
About 6,830 HDB BTO June 2024 Flats to Launch, Landlord Slammed for "Morgue-like" Listing, and More

20 to 26 February 2024

HDB will launch around 6,830 June 2024 BTO flats. Meanwhile, a Facebook listing for a small room in a Toa Payoh Central flat sparked online outrage, with netizens slamming the landlord for renting out the “morgue-like” room.

 

1. About 6,830 HDB BTO June 2024 flats to be launched

HDB will launch around 6,830 BTO flats across six estates in June 2024: Jurong East, Kallang/Whampoa, Queenstown, Tampines, Woodlands, and Yishun.

Out of the six June 2024 BTO projects, those in the Kallang/Whampoa and Queenstown may be offered under the Prime Location Public Housing (PLH) model. BTO flats under the PLH model have tighter eligibility guidelines, including a longer Minimum Occupation Period (MOP) of 10 years.

Notably, the two June 2024 BTO sites in Kallang/Whampoa will have about 2,020 units, with some flats offering waterfront views.

Located near Holland Village, the Queenstown June 2024 BTO project boasts excellent transport links, with Holland Village MRT station just a six-minute walk away. It is also near various schools, including Anglo-Chinese Junior College, Anglo-Chinese School (Independent) and Fairfield Methodist School.

The June 2024 HDB BTO project in Woodlands will have about 1,590 flats, while the HDB BTO June 2024 Yishun project will have about 1,270 units.

Meanwhile, Jurong East and Tampines projects will have 1,070 and 550 units, respectively.

 

2. Landlord slammed for ‘morgue-like’ listing

A Facebook listing for a small room in a Toa Payoh Central flat sparked online outrage, with netizens slamming the landlord for renting out the morgue-like room, reported The Straits Times.

Offered for $600 a month, the room – which appears to be a utility room – comes with a three-tier open storage rack, a fan and a small desk.

One Facebook user pointed out that the room is worse than a morgue, which usually comes with air-conditioning. Another Facebook user questioned whether the landlord has a conscience.

Notably, renting out utility rooms in HDB flats is illegal.

“Only bedrooms originally constructed by HDB can be rented out. All other parts of the flat, including partitioned rooms, cannot be used as bedrooms for tenants,” said HDB.

Those engaging in unauthorised rental may be issued a written warning, imposed a fine of up to $50,000, or have their flats compulsorily acquired by HDB.

HDB has taken action against 730 unauthorised flat rental cases between 2010 and 2021.

 

3. Over 5,000 flats launched for sale under February 2024 BTO and SBF sales exercises

HDB launched 5,714 flats under its February 2024 BTO and Sale of Balance Flats (SBF) exercises.

Of the total, 4,126 HDB BTO Feb 2024 flats spread across seven new BTO projects are in Bedok, Hougang, Choa Chu Kang, Queenstown, Woodlands, and Punggol. HDB noted that five of the February 2024 BTO projects, or more than 80% of the BTO units launched, come with a waiting time of under 3.5 years.

The remaining 1,588 are SBF units situated across various towns and estates.

The flats range from 2-room to 5-room units to meet diverse housing needs and budgets.

To ensure affordability, the flats are priced with significant market discounts, making their selling price considerably lower compared to transacted prices of comparable resale flats.

The February 2024 sales exercise marks this year’s first of three BTO launches.

To give applicants more time to decide, HDB extended the seven-day application period to eight days.

 

4. Leaks and condensation issues continue to plague Tengah residents

Some flat owners in Tengah are still grappling with issues arising from the defective centralised cooling system, months after problems with the alternative air-conditioning system first emerged, reported CNA.

Photos and videos circulating on a Telegram chat group showed puddles forming on the floors of BTO units due to leaks in the centralised cooling system.

Notably, issues with the cooling system arose before key collection started in August 2023.

Although SP Group has taken measures to address the concerns, such as lowering rates and waiving usage charges, complaints about leaks and condensation persist.

Some homeowners complained that the leaks caused significant damage to their homes, leading to delays in renovations.

SP Group acknowledged the challenges, noting that improvements have been made to their installation and quality assurance processes.

“After proactively implementing our additional testing, commissioning works and quality assurance measures, we have observed the situation stabilising,” it said.

 

5. URA awards Orchard Boulevard site

United Venture Development (No. 7) has been awarded the 7,031.4 sq m site at Orchard Boulevard after it submitted the highest bid of $428.28 million, revealed the Urban Redevelopment Authority (URA).

Zoned “Residential with Commercial at first storey”, the site has a maximum permissible gross floor area of 24,610 sq m and a 99-year leasehold tenure.

The tender for the site was launched on 17 October 2023 and closed on 1 February 2024, with four bids received.

Valerian Residential submitted the second-highest bid at $418 million, while SL Capital (8) offered the lowest at $393.9 million.

Related article: Government Land Sales (GLS) Programme Guide (Updated With GLS Sites for 1H2024 Singapore)

 

6. The residential site at 27 Geylang Lorong 32 sold for $12.25 million

A freehold residential site at No. 27 Geylang Lorong 32 has been sold to Primest Land V1 for $12.25 million, which works out to an $804 per plot ratio (ppr) after factoring in the Land Betterment Charge (LBC).

Situated within prime District 14, the site has received outline planning permission to be redeveloped into an eight-storey boutique development with 20 apartment units averaging 85 sq ft each.

AFL Development, founded by Fanny Cheng, will oversee the development.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru, noted that District 14 holds historical significance in Singapore, with Geylang known for its affordable foods.

“The district has been attractive to buyers mainly because of the effort that has gone into preserving its cultural heritage, which includes projects like the Geylang River Projects, Paya Lebar Central and the Civic Centre of Wisma Geylang Serai,” he said.

He noted that most of the new projects in Geylang are boutique-sized, featuring an average size of 818 sq ft.

“The petite size and lower capital outlay makes the units more investor-friendly. They continue to gain popularity with property seekers and investors who wish to live in the city fringe with easy accessibility to the city centre,” he added.

 

7. Serene Centre sold for $105 million

Serene Centre, a four-storey mixed-use development at the junction of Farrer Road and Bukit Timah Road, has been sold for $105 million to the Teo family from Apricot Capital and partners, reported CNA.

Cushman and Wakefield shared that co-living operator The Assembly Place (TAP) was named the asset manager.

Built in the 1980s, the development comprises 30 retail and food and beverage (F&B) units on its lower floors and 10 apartment units on its upper floors.

TAP revealed that the retail spaces will be revitalised while the apartment units will be converted into co-living spaces.

“Eighty-six service apartment rooms have been planned on the upper floors as part of the co-living concept, complemented with communal facilities such as kitchens, utility rooms and lounge areas,” it said.

Renovation works, which are set to start in April 2024, are expected to be completed by the end of Q1 2025, it added.

 

8. Crystal Court relaunched for sale, priced at $115 million

Crystal Court, a five-storey mixed-use development in District 10, has been relaunched for sale with a guide price of $115 million or $2,456 per sq ft per plot ratio (PSF ppr), revealed Edmund Tie & Co.

The development and an adjoining site between River Valley Road and Crystal Court are offered for sale.

Enjoying a dual frontage along Nathan Road and River Valley Road, Crystal Court occupies a 1,554.2 sq m freehold site and features 16 apartment units, a commercial unit on the ground floor and a basement carpark.

The adjoining plot, on the other hand, spans 377 sq m and is being used as a private service road with surface carpark lots.

Both sites are zoned “Commercial and Residential” under the URA 2019 Master Plan.

Swee Shou Fern, Edmund Tie’s Head of Investment Advisory, said developers could repurpose the existing building of Crystal Court for alternative uses such as co-living residences, serviced residences, a hotel or a postpartum care centre.

The two plots can also be amalgamated and redeveloped into a five-storey boutique mixed-use development, said Edmund Tie, which invited interested parties to submit separate tenders for each property.

The tender for the two properties closes on 9 April 2024.

 

9. 3-bedroom apartment at Eden Residences Capitol up for sale

A 3-bedroom apartment at Eden Residences Capitol will be auctioned on 28 February 2024, carrying a guide price of $5.9 million or $2,783 PSF, revealed Huttons Asia.

Located on the fifth floor, the single-storey apartment spans 2,120 sq ft and features en-suite bathrooms, spacious bedrooms, a balcony and a private lift.

While the property is sold with existing tenancy, those buying for their occupation can give the tenant a six-month notice to vacate.

“This presents an attractive option for discerning investors seeking a prestigious urban address. Eden Residences Capitol is the only luxury residence in District 6, Singapore’s Civic and Cultural District,” said Geri Ang, Huttons Asia’s Director of Sales and Auction.

Related article: Singapore District Map: Defining the CCR, RCR and OCR by the 28 Districts

 

 

10. Semi-detached house at Jalan Arif on sale for $6.7 million

A semi-detached house at Jalan Arif in Kovan will be auctioned on 28 February 2024 with an asking price of $6.7 million, revealed Huttons Asia.

This costs $1,200 PSF based on the property’s 5,573 sq ft land area.

With a leasehold tenure of 999 years, the property occupies a regular-shaped site and boasts a wide frontage of about 12 m. Huttons noted that the property is suitable for addition and alteration or redevelopment.

“This is a rare opportunity for buyers seeking inter-generational living to acquire a good-size piece of land with a wide frontage in a popular residential enclave at Kovan,” said James Wong, Huttons Asia’s Head of Sales and Auction.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Eco-friendly Home Features Singapore Homebuyers Shouldn't Ignore]]> https://www.propertyguru.com.sg/property-management-news/2024/2/210894/eco-friendly-home-features-singapore-homebuyers-shouldnt-ignore www.propertyguru.com.sg:news:210894 Wed, 21 Feb 2024 08:10:52 +0800 Eco-friendly Home Features Singapore Homebuyers Shouldn't Ignore
Eco-friendly Home Features Singapore Homebuyers Shouldn't Ignore

The mark of a green home seems easy enough to spot. Typically, it uses less energy and water, leading to utility savings for homeowners and a healthier planet. In Singapore, a country with hot and humid weather, living in a green home comes with numerous incentives for homeowners.

Interestingly, a study reveals that almost one-third of Singaporean homebuyers are unwilling to pay any premium for eco-friendly features. For those who are, they’d consider no more than a 5% price increase. 

Regardless, if you’re in the market for a new home, you might not be actively seeking green features, but choosing one with reduced environmental impact during construction could align with your preferences.

This short guide highlights essential eco-friendly home features that you shouldn’t overlook if sustainability is a key criterion in your search for a new home. 

 

1. Look for the Green Mark

Savvy homebuyers know that looking for a truly sustainable home requires considering green certifications. These certifications, awarded by independent bodies like the Singapore Green Building Council, comprehensively assess a building’s environmental performance.

You can think of it like grocery shopping. Still, instead of checking for organic labels on individual products, you’re looking for a green “eco-label” for the entire building, ensuring its commitment to sustainability across various aspects.

Singapore’s flagship green building rating system, the Green Mark Certification Scheme, awards three levels of certification: Green Mark Certified, Green Mark Gold, and Green Mark Platinum. Choosing a Green Mark-certified home is like buying pre-washed, pre-chopped organic vegetables – it saves you time and effort in verifying the building’s eco-friendliness.

A fine example is Wing Tai Asia’s The LakeGarden Residences (Winner, Best Nature Integrated Development, Best Green Development), a stunning residential project overlooking Jurong Lake.

the-lakegarden-residences-executive-condo-ec-singapore1

This development isn’t just about breathtaking views and proximity to nature; it’s also a Green Mark Platinum Super Low Energy (SLE) development. This means the project is built to achieve exceptional energy efficiency that significantly benefits residents and the environment.

the-lakegarden-residences-executive-condo-ec-singapore

While Green Mark certification is a valuable indicator, it’s just one piece of the puzzle. Look deeper into the specific sustainability practices employed by the developer. Do they prioritise locally sourced materials? How are they managing energy and water consumption?

The takeaway is to not settle for surface-level green labels. Delve into the developer’s approach to sustainability and choose a home that aligns with your values.

 

2. Spot the sustainability champions 

Thankfully, navigating the world of sustainable homes doesn’t have to be an exhausting venture. In Singapore’s property market, some developers have carved a niche for themselves as green champions. Recognising these industry leaders makes choosing an eco-friendly home that much easier.  

One such developer is Hoi Hup Realty (Winner, Best Lifestyle Developer), a company known for its commitment to sustainability and innovation. Consistently incorporating cutting-edge green technologies and eco-conscious practices, their project Terra Hill (Winner, BestPremium CondoInterior Design) is a luxurious freehold hilltop residence constructed with sustainable approaches, including eco-friendly materials.

terra-hill-condo-singapore

It’s worth noting that the company has garnered multiple accolades, including BCA Green Mark Gold Plus certifications for its mixed-use and residential developments and the first green club loan in the Southeast Asian hospitality sector.

Terra Hill Interior Shot

Choosing a home developed by a recognised green champion such as Hoi Hup offers several advantages. Firstly, it provides peace of mind knowing that your home has been meticulously crafted with the environment in mind, as in the case of the developers. Secondly, you gain access to the benefits of their implemented green technologies, potentially translating to lower utility bills and a more comfortable living environment. 

 

3. Eco-friendly materials matter 

While location, amenities, and aesthetics remain crucial for discerning homebuyers, some are partial to environmentally friendly materials in their homebuying decisions.

Consider Lentor Modern (Winner, Best Integrated Development, Best Private Condo Development, Best Private Condo Architectural Design) by Guocoland (Best Developer, Special Recognition in Sustainable Design and Construction, Sustainable in ESG), a development rising above a shopping mall and seamlessly connected to the Lentor MRT station.

lentor-modern-condo-singapore

Green construction materials, certified by the Singapore Green Building Council like those used in Lentor Modern, prioritise low VOC emissions and minimise indoor air pollution, creating a healthier environment for residents. Additionally, using ALC panels, plastering and skim coat, adhesive, and waterproofing improves indoor air quality.

lentor-modern-condo-singapore1

Meanwhile, sheltered bicycle parking lots and end-of-trip facilities at Lentor Modern offer more than convenience. They actively encourage residents to choose healthy and environmentally friendly commuting options, reducing carbon footprint and promoting a sense of community.

These features, along with several others, have earned Lentor Modern a well-deserved BCO Green Mark Gold Plus certification, a tangible assurance of the development’s commitment to sustainability and its positive impact on its residents’ lives. 

 

4. Consider sustainable, smart home features  

It’s easy to get swept up in the buzz surrounding energy-efficient appliances, waste management systems, and water-saving fixtures. These features are undoubtedly crucial for green living, but there’s one often-overlooked factor that can take sustainability to the next level: smart home features.

At the forefront of these game-changing features sits the humble electric car charger. As Singapore actively pushes towards a greener future, as outlined in the Singapore Green Plan 2030, homes with electric vehicle charging infrastructure represent more than just convenience; they’re a statement of forward-thinking environmentalism.

Take, for example, the Pollen Collection (Winner, Best Landed Housing Development, Best Housing Development – Singapore, Best Landed Developer) by Bukit Sembawang Estates Limited (Special Recognition in ESG). This stunning development of three-storey terraces and semi-detached houses goes beyond lip service to sustainability.

pollen-collection-condo-singapore1

Each residence boasts a sleek, future-proofed car porch with dedicated isolator points for installing EV chargers, should residents want them in the future. This seemingly simple feature aligns perfectly with the Singapore Green Plan’s ambitious initiative to transform the nation’s vehicle population to electric models.

pollen-collection-condo-singapore

But Pollen Collection’s commitment to sustainability doesn’t stop there. Each rooftop is adorned with solar panels, allowing residents to harness the sun’s power and generate renewable energy. This translates to reduced electricity bills and actively contributes to a greener Singapore. 

So, as you embark on your homebuying journey, remember to look past the usual suspects regarding sustainability. Seek residences that embrace the power of smart home technology to create a living space that’s not just technologically advanced, but also future-ready and environmentally conscious.

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<![CDATA[HDB To Offer 962 Punggol BTO Flats in February Sales Exercise, Budget 2024: ABSD Refund for Single Singaporean Seniors and More]]> https://www.propertyguru.com.sg/property-management-news/2024/2/210867/hdb-to-offer-962-punggol-bto-flats-in-february-sales-exercise-budget-2024-absd-refund-for-single-singaporean-seniors-and-more www.propertyguru.com.sg:news:210867 Mon, 19 Feb 2024 08:32:44 +0800

14 – 19 February 2024

After more than four years, the Housing and Development Board (HDB) will launch the first Build-to-Order (BTO) project in Punggol – Matilda Riverside – in its February sales exercise. Meanwhile, single Singaporean seniors, or those aged 55 and above, can now claim a refund of Additional Buyer’s Stamp Duty (ABSD) when they buy a lower-value private property as replacement for their existing home.

1. HDB to offer 962 Punggol BTO flats in February sales exercise

punggol-ecotown-hdb-bto

After more than four years, the Housing and Development Board (HDB) will launch the first Build-to-Order (BTO) project in Punggol – Matilda Riverside – in its February sales exercise, reported CNA.

Situated next to Punggol Reservoir within the Matilda District, the project will feature 962 BTO units spread across seven residential blocks of 10- to 19-storeys. A wide selection of flat types will be offered, from two-room Flexi to five-room flats.

The waiting for the project will be the shortest in the latest sales exercise at three years and one month.

Notably, most of the flats launched in February will have waiting times of not more than three-and-a-half years.

HDB noted that units at Matilda Riverside were designed so that residents will have views of the waterfront as well as courtyard spaces in between the blocks.

Amenities include playgrounds, a hardcourt, a preschool, fitness facilities, a residents’ network centre and a common green, which come with a multi-purpose court.

The upcoming launch will also offer other BTO projects in areas such as Bedok, Queenstown, Hougang, Woodlands and Choa Chu Kang. HDB will also offer 1,500 Sale of Balance Flats units.

 

2. Budget 2024: ABSD refund for single Singaporean seniors

Single Singaporean seniors, or those aged 55 and above, can now claim a refund of Additional Buyer’s Stamp Duty (ABSD) when they buy a lower-value private property as replacement for their existing home.

Notably, this ABSD concession is previously offered to married couples, with at least one of the spouse being a Singapore citizen.

“To better support seniors who wish to right-size, I will extend the concession to single Singapore Citizens aged 55 and above,” said Deputy Prime Minister and Finance Minister Lawrence Wong in his Budget 2024 speech.

The seniors can claim the refund once they sell their first property within six months after acquiring a lower-value private property if the replacement unit is completed; or within six months following the issue of the temporary occupation permit (TOP) or certificate of statutory completion (CSC), whichever is earlier, if the replacement unit is not yet completed at the time of acquisition.

Meanwhile, housing developers will also see a lower ABSD clawback rate for developments that have sold at least 90% of units within their prescribed sale timeline.

Developers were previously granted an ABSD remission provided they sell all units within their development within five years from acquiring the site.

However, developers sometimes encounter difficulties meeting the timeline requirement, and are then subject to a full ABSD clawback.

“The reduction in the ABSD remission clawback rate will depend on the proportion of units sold by the housing developers within the remission sale timeline,” said the Ministry of National Development (MND).

 

3. Budget 2024: Couples waiting BTO flat completion to get open market rental vouchers

Couples waiting for the completion of their Build-to-Order (BTO) flats will receive further support from the government, which will allow them to rent HDB flats from the open market, reported TODAY.

Currently, HDB offers subsidised rental flats to such couples under the enhanced Parenthood Provisional Housing Scheme (PPHS).

But while HDB is ramping up supply to meet the increased demand, the government wants “to do more to support such young families with urgent housing needs”, said Deputy Prime Minister and Finance Minister Lawrence Wong in his Budget speech.

“I will therefore provide a PPHS (Open Market) Voucher for a year to support eligible families who rent a HDB flat in the open market,” he added, without disclosing the dollar amount of the voucher.

 

4. Budget 2024: Lower property tax for some home owners with annual value bands revision

Starting 1 January 2025, the annual value (AV) bands for owner-occupied residential properties will be adjusted, with the lowest AV band threshold raised to $12,000 from $8,000 and the highest threshold to over $140,000 from over $100,000.

With this, home owners can expect to pay similar or lower property tax rates, assuming there is no change in their properties’ AV and prior to any rebate, reported CNA.

The move will ensure that those living in higher-value properties “continue to pay their fair share of taxes”, said Deputy Prime Minister and Finance Minister Lawrence Wong in his Budget speech.

He noted that the raising of the bands comes after a significant increase in market rents from 2022 resulted to more owner-occupied properties being affected by a recent hike in property taxes than expected.

“We had originally expected the property tax changes to impact mainly the top 7% of owner-occupied residential properties. But the AV increases resulted in the proportion of affected owner-occupied properties nearly doubling to 13%,” shared Wong.

He added that the government will continue to monitor the property market, providing another rebate in 2025 if needed.

Meanwhile, a 24-month instalment plan will be offered by the Inland Revenue Authority of Singapore to retirees living in higher-end homes facing cash flow issues.

 

5. New private home sales soar 108.1% in January

Singapore saw new private home sales surge 108.1% in January 2024 from the previous month, albeit it remains the weakest showing for the month of January in 15 years.

Developers’ sales, excluding executive condominiums (ECs), increased to 281 units in January from 135 units in December 2023, reported CNA citing Urban Redevelopment Authority (URA) data.

However, new private home sales declined 28.7% year-on-year from the 394 units transacted in January 2023. This marked the lowest since January 2009, when only 108 units were sold amid the global financial crisis.

Analysts attributed January’s month-on-month hike in sales to the launch of two new projects – Hillhaven and The Arcady at Boon Keng.

Notably, the two projects accounted for almost 40% of the total sales in January, with 111 units shifted.

The Outside Central Region (OCR) dominated sales in January, with 114 units sold or around 51% of the total sales last month. The Rest of Central Region (RCR) sold with 112 units or around 40%, while the Core Central Region (CCR) moved 25 new homes.

Developers put up 417 new units, excluding ECs, for sale last month, up from December’s 36 units.

 

6. New private home sales drop to 16-year low in 2023

For the second consecutive year, new private home sales fell 9.6% to 6,421 units in 2023, revealed Savills Research.

The figure was also the lowest since 2008, when 4,264 units were transacted during the global financial crisis. Savills attributed the decline primarily to delays in securing relevant sales permits, affecting new launches.

Although the number of new private home launched units dropped to 7,551 in 2023, it was still 66.8% higher compared to 2022’s 4,528 units.

Both the RCR and OCR recorded year-on-year hikes of 205.4% (4,233 units) and 61.1% (2,688 units), respectively, while the CCR posted a 57.2% (630 units) year-on-year decline.

Non-landed home purchases by foreigners dropped 33.3% year-on-year to 616 units in 2023, the lowest in 27 years. Non-landed home purchases by Singaporeans also declined by 8.6% to 13,911 units, while purchases by permanent residents (PRs) fell 12.7% to 3,030 units last year.

Meanwhile, price appreciation slowed across nearly all property segments in 2023, reflecting economic challenges and higher mortgage rates.

Landed home prices rose 8% in 2023, lower than the 9.6%hike seen in 2022. Prices of non-landed home prices also climbed at a much slower rate at 6.6% in 2023, compared to 8.1% in 2022.

 

7. Plantation Close EC site awarded to Hoi Hup-Sunway JV

The executive condominium (EC) site at Plantation Close has been awarded to a joint venture between Hoi Hup Realty and Sunway Developments, after it submitted the highest bid of $423.38 million for the site, revealed the Housing and Development Board (HDB).

Launched in November 2023, the site has an area of 20,038.2 sq m and a maximum gross floor area of 56,107 sq m.

It has a leasehold tenure of 99 years and is expected to yield 560 housing units.

The tender for the site closed on 1 February with four bids received.

 

8. HDB to refund GST wrongly charged over last five years

HDB will refund the Goods and Services Tax (GST) wrongly charged on administrative fees for home owners who rent out their bedrooms and flats as well as for the compulsory acquisition of HDB flats.

HDB shared that it has ceased collecting GST on these administrative fees as of 14 February 2024.

“As the above administrative fees have been determined to be regulatory in nature, they are non-taxable and GST should not have been charged on them. HDB apologises for the erroneous charging of the GST,” it said in a release.

On average, the GST charged stands at around $1 for every application to rent out a spare bedroom or the entire flat, and around $15 for the compulsory acquisition of flats.

HDB will reach out to affected households wrongly charged GST on such fees over the past five years from mid-March to arrange the refunds.

It noted that the refund amount will include interest.

 

9. Hike in young Singaporeans taking out loans to buy private homes

Despite the higher interest rate environment, banks noted a significant uptick in young Singaporeans obtaining loans to finance a property over the past few years, reported CNA.

ERA Realty Network shared that the number of private residential buyers aged 26 to 35 has tripled since 2015. These buyers accounted for 35% of last year’s new private home transactions, up from 31% in 2022.

It attributed the hike in young property buyers to various factors including rising incomes, the appeal of higher profit gains and more flexible resale options compared to BTO flats.

“The bulk of the transactions for this age group is below $2.5 million. They would buy within what they can afford according to their respective incomes and they will rarely overstretch,” said ERA Realty’s Key Executive Officer Eugene Lim.

While default rates among young property buyers are low, banks urge such buyers to remain prudent, noting that long-time financial commitments require careful consideration.

They advise buyers to assess affordability early and to set aside adequate savings to prepare for unforeseen circumstances such as interest rate hikes and job changes.

Get the full breakdown of your affordability with the Mortgage Calculator by PropertyGuru Finance

 

10. Factors to consider before buying first private home

With home prices having stabilised, the year 2024 may appear to be the perfect time for first-time buyers to enter the private residential market, reported TODAY.

“With careful research and planning, first-time private-home buyers could take advantage of changing trends to find a home that meets their needs and budget,” said Christine Sun, OrangeTee Group’s Chief Researcher and Strategist.

Among the factors that first-time buyers should consider is the ramped up supply of homes, particularly in the suburbs.

Notably, about 30 projects, yielding up to 12,000 units, are expected to be launched this year.

Even if launches are delayed due to unforeseen events, Sun still expects 23 private residential project launches, which would generate up to 8,800 units. This is 16.5% higher than the number of units launched in the previous year.

Excluding ECs, the OCR will account for about 50.5% or over 4,400 units of the total anticipated new units.

With more units completed in 2023 and 2024, potential buyers should prepare for a drop in supply over the coming years as this could put upward pressure on prices.

Buyers should also assess overall affordability as well as evaluate their financial position. And while market conditions may seem favourable, Sun urged home buyers to remain prudent, given the uncertain economic environment.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Fariza Salleh, Content Marketing Manager at PropertyGuru, edited this story. To contact her about this story, email: farizasalleh@propertyguru.com.sg.

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<![CDATA[4 Condo Purchase Mistakes to Avoid: Tips for Homebuyers]]> https://www.propertyguru.com.sg/property-management-news/2024/2/210821/4-condo-purchase-mistakes-to-avoid-tips-for-homebuyers www.propertyguru.com.sg:news:210821 Fri, 16 Feb 2024 07:58:31 +0800 4 Condo Purchase Mistakes to Avoid: Tips for Homebuyers
4 Condo Purchase Mistakes to Avoid: Tips for Homebuyers

Purchasing a condominium can be a rewarding venture. However, before you dive in, it’s important to know common purchasing mistakes that can turn your dream home into a headache. We will equip you with expert tips and unveil award-winning properties from the PropertyGuru Asia Property Awards Singapore 2023 that exemplify smart condo choices.

 

Mistake 1: Not doing enough research

Don’t let your excitement over buying a condominium cloud your judgment. Thorough research is essential to avoid unpleasant surprises later. So, ditch the purely online approach and schedule physical visits to assess the building’s overall structural integrity and common area upkeep.

Check out the unit itself for any signs of wear and tear. Inspect the type of materials and brands used in constructing and furnishing the condominium. Lentor Modern by GuocoLand (Winner, Best Private Condo Development, Best Integrated Condo Development, Best Private Condo Architectural Design and Best Developer) for example, uses reputable brands such as Hansgrohe, Roca, Franke, and SMEG, ensuring durability and lasting appeal.

lentor-modern-condo-singapore

Next, ask about potential hidden costs, such as condo fees, maintenance charges, and any special assessments that might arise.

Make sure to also review the homeowner association (HOA) rules. Understand their regulations on noise, pets, renovations, and common area usage. Ensure they align with your lifestyle to avoid future conflicts. Investigate the HOA’s financial stability and track record in maintaining the building and managing reserves.

 

Mistake 2: Purchasing a property without considering its resale value 

Your dream condo might tick all the boxes today, but will it retain its appeal years down the line? Resale value is paramount. Here are key factors that affect a condominium’s resale value:

 

1. Location 

Beyond the condominium itself, its location heavily impacts its value and your daily life. So, before you purchase a condo, ask yourself: 

  • How close is it to MRT stations and other public transportation options? 
  • Is it in a well-established area with strong infrastructure and amenities? 
  • Does it offer easy access to necessities such as grocery stores and shopping malls?

Condos like Lentor Modern (Winner, Best Private Condo Development, Best Integrated Condo Development, Best Private Condo Architectural Design and Best Developer) take convenience to the next level. 

lentor-modern-condo-singapore1

Situated directly above a mall, residents enjoy lift access to a plethora of shops, restaurants, and even a supermarket. Plus, it’s directly connected to the Lentor MRT station, making Orchard Road, Botanic Gardens, or the central business district (CBD) a train ride away.

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Meanwhile, Grand Dunman by SingHaiyi Group Ltd (Winner, Best Mega Scale Condo Development, Best Mega Scale Condo Architectural Design, Best Mega Scale Condo Landscape Design), is near the CBD, Dakota and Mountbatten MRT stations, and the East Coast Parkway expressway.

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This gives homeowners effortless access to the bustling downtown core and beyond.

 

2. Type of facilities available within the condo 

High-demand facilities can significantly boost a condominium’s resale value by catering to specific buyer segments:

  • Families and fitness enthusiasts: Gyms, swimming pools, and children’s play areas are highly sought-after amenities that enhance lifestyle and can command higher prices. 
  • Professionals and young couples: Concierge services, business centres, and entertainment rooms offer convenience and luxury, making them attractive to this demographic. 
  • Unique offerings: Rooftop gardens, movie theatres, or sports courts cater to specific interests and can stand out in the market, potentially attracting a premium price.

Blossoms By The Park (Winner, Best Private Condo Landscape Design and BestPrivateCondoInterior Design) by EL Development Pte Ltd  features a gym, function room, entertainment room, various pavilions, and a children’s play area, catering to families and those seeking community spaces.

blossoms-by-the-park-condo-singapore

The Seaside Residences (Winner, Best Completed Private Condo Development) by East Vue Pte Ltd, on the other hand, boasts a beach pool, spa alcove, water court, and other specialised facilities, appealing to those seeking a unique seaside lifestyle.

seaside-residences-condo-singapore1

 

3. Liveable PSF space 

Liveable price per sq foot (PSF) encompasses the overall functional and comfortable living area within a property. Generally, a larger liveable PSF leads to higher resale value.  

While additional bedrooms and bathrooms can enhance livability, cramped layouts with too many rooms can deter buyers. Similarly, superfluous bathrooms might seem excessive. Instead, a well-designed condominium with efficient use of space is likely to hold its value better.

 

Mistake 3: Choosing trendy over timelessness 

While contemporary design might be alluring, prioritise classic elements that stand the test of time.  

Ditch the fleeting fads. Instead, opt for neutral palettes, natural materials, and classic architectural details. Trendy finishes might feel dated in a few years, impacting resale value.

Altura (Winner, Best Executive Condo Development) by TQS (2) Development Pte Ltd, for instance, blends modern style with timeless features such as full-height windows and natural light, ensuring long-term appeal.

altura-executive-condo-ec-singapore1

You should also prioritise functional layouts. Ensure the floor plan accommodates your lifestyle and potential future needs. Consider open-concept spaces for flexibility and ample storage for decluttering. For example, all of Altura’s unit types are integrated with a study/flexi space that can be transformed for added space and cater to the resident’s evolving needs. 

altura-executive-condo-ec-singapore

Finally, think long-term about amenities. While a rooftop pool might seem enticing, prioritise more enduring features such as a well-equipped gym, a community garden, or secure parking.

 

Mistake 4: Failing to plan for your family’s needs well into the future 

Your condo should cater to your evolving needs, not just your current situation. Consider these factors:

  • Future family growth: If you plan on expanding your family, choose a condo with additional bedrooms or the potential for expansion. 
  • Accessibility and safety: Prioritise features such as elevators, well-lit common areas, and secure entry points if you have young children or elderly family members. 
  • Lifestyle changes: Will your needs change significantly as you age? Opt for ground-floor units or those with easy access to amenities if mobility might become a concern. 

By avoiding these common pitfalls, you can make a confident and informed condo purchase that paves the way for a comfortable and fulfilling future. Take your time, do your research, and make a choice that aligns with your aspirations for years to come.

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<![CDATA[PropertyGuru Calls for Reduction of 15-Month Wait Period, Tweak ABSD, Property Tax Revenue To Increase $600 Million in 2024 and More]]> https://www.propertyguru.com.sg/property-management-news/2024/2/210831/propertyguru-calls-for-reduction-of-15-month-wait-period-tweak-absd-property-tax-revenue-to-increase-600-million-in-2024-and-more www.propertyguru.com.sg:news:210831 Tue, 13 Feb 2024 10:12:30 +0800 PropertyGuru Calls for Reduction of 15-Month Wait Period, Tweak ABSD, Property Tax Revenue To Increase $600 Million in 2024 and More
PropertyGuru Calls for Reduction of 15-Month Wait Period, Tweak ABSD, Property Tax Revenue To Increase $600 Million in 2024 and More

5 to 13 February 2024 

In its Singapore Budget 2024 wishlist, PropertyGuru has urged the government to reduce the 15-month wait for private property downgraders and withhold the Additional Buyer’s Stamp Duty (ABSD) for Singaporean families purchasing a second home. Meanwhile, Singapore’s residential property tax revenue is projected to increase by $600 million in 2024, up by 58% from the earlier forecast of $380 million.

1. PropertyGuru calls for reduction of 15-month wait period, tweak ABSD

hdb-facilities-fitness-corner-singaporeIn its budget wish list 2024, PropertyGuru has urged the government to reduce the 15-month wait for private property downgraders and withhold the Additional Buyer’s Stamp Duty (ABSD) for Singaporean families purchasing a second home, reported Singapore Business Review.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru suggested cutting the 15-month wait period for private property owners who wanted to acquire non-subsidised HDB resale flat since the policy, which was introduced as a temporary measure, had already helped temper demand as well as moderate HDB flat prices.

With the market now at a new stage, he believes it is time “to revisit some of the assumptions”.

To curb the financial stress of homeownership, Dr Tan also proposed withholding the ABSD for Singapore families buying a second property, noting that doing so could inadvertently raise the supply of rental properties.

Meanwhile, Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group, called for the reintroduction of estate duty, abolished in 2008, to address wealth inequality.

He proposed applying inheritance tax more broadly to the population, with rates adjusted based on the type and value of housing owned, to ensure a fairer distribution of tax burden across various segments of the society.

2. Early transition to SORA provides more flexibility

Adrian, a 31-year-old fintech professional, was one of those who made an early switch from a Singapore Interbank Offered Rate (SIBOR) to Singapore Overnight Rate Average (SORA) home loan in 2020, in anticipation of market changes.

“In view of the COVID-19 pandemic and market uncertainty, I wanted more predictability to manage my loans and make partial pre-payments if necessary,” he said.

The move allowed him to reprice his $800,000 loan to a 3M Compounded SORA + 0.80% from 3M SIBOR + 0.45% package.

Those with SIBOR-referenced home loans have until 30 April 2024 to convert to an alternative package.

Failure to act will lead to an automatic conversion to SORA Conversion Package (SCP) from 1 June 2024.

This comes as SIBOR will be discontinued after 31 December 2024, with SORA becoming the key interest rate benchmark.

The transition is in line “with global interest rate benchmark reforms to improve the robustness and integrity of financial benchmarks”, said PropertyGuru.

Acting early provides homeowners more flexibility and control over their loan terms.

Notably, those with SIBOR-pegged loans have various options, including switching to prevailing package offered by their bank, switching to SORA Conversion Package (SCP) prior to 30 April 2024 or await automatic conversion.

Get expert advice to discover the right bank loan. Compare the best mortgage rates in Singapore on PropertyGuru Finance.

Related article: SIBOR to SORA Transition: Why You Should Act Now

3. Property tax revenue to increase $600 million in 2024

Singapore’s residential property tax revenue is projected to increase by $600 million in 2024, up by 58% from the earlier forecast of $380 million, reported TODAY.

Second Minister for Finance Chee Hong Tat attributed the bigger than expected hike to higher annual values due to higher market rentals for residential properties.

Chee made the statement in response to Leader of the Opposition Pritam Singh’s question on property tax collections in 2024 given this year’s increase in property tax rates.

The hike, which was the second and last step of the property tax revisions unveiled in Budget 2022, was part of the government’s effort to raise wealth taxes for cars and residential properties over time.

Che noted that most owner-occupied residential properties saw their annual values rise by over 20% in 2024 due to the hike in market rentals from 2022 to 2023.

To cushion the impact of the tax hike on owner-occupiers, the government provided a property tax rebate of up to 100%, capped at $1,000.

With this, no property tax will be paid by owner-occupiers of HDB 1- and 2-bedroom units, while owner-occupiers of other HDB flat types will see an average tax increase of less than $3 per month.

Half of private property owner-occupiers will face an increase of less than $15 per month.

4. HDB approves 850 appeals to waive 15-month wait-out period

The Housing Board has received around 3,470 appeals filed by private property owners seeking to waive the 15-month wait-out period before purchasing an HDB resale flat from 30 September 2022 to 31 December 2023.

Of these, 850 appeals or about 25% were approved by HDB, shared the Ministry of National Development (MND) in a written reply to Parliament.

The approved cases mostly involved individuals facing financial difficulties and without alternative housing options, or those who submitted evidence that they had committed to dispose of their private property, or to purchase an HDB resale flat prior to 30 September 2022.

MND was responding to MP Sitoh Yih Pin who asked for data on the number of appeals received as well as the success rate of such appeals.

The government introduced various property cooling measures in September 2022, including that requiring private homeowners to wait 15 months from the sale of their property before purchasing an HDB resale flat.

However, the 15-month wait-out period does not apply to Singaporean couples if both spouses are 55 years old and above and are moving from their private home to a four-room or smaller resale HDB flat.

5. HDB gave out over $4.5 billion in housing grants from 2020 to 2023

From 2020 to 2023, HDB gave out over $4.5 billion in housing grants to new or resale flat buyers, reported The Straits Times.

Notably, about 63,700 households benefitted from the Enhanced Central Provident Fund (CPF) Housing Grant, which provides up to $80,000 to first-time HDB flat buyers, while about 44,700 household received the Proximity Housing Grant, which offered up to $30,000 to resale flat buyers who chose to live near or with their parents or children, said HDB in an update.

These grants have witnessed enhancements in recent years, with the CPF Housing Grant raised last year to support buyers of resale flats.

With this, close to eight in 10 flat buyers in 2023 serviced their HDB loans using their CPF contributions, with little or no cash payments.

HDB shared that over 1.5 million household also benefitted from its upgrading programmes by end-2023.

These include the Enhancement for Active Seniors (EASE) programme to provide elderly-friendly fittings and fixtures to homes, the Home Improvement Programme to fix issues such as ceiling leaks and spalling concrete in ageing flats and the Neighbourhood Renewal Programme to revamp housing blocks and precincts.

6. 940 senior households who bought resale flats exempted from 15-month wait

Around 940 senior households who owned private properties purchased a 4-room or smaller HDB resale flat between 30 September 2022 and 31 December 2023, without waiting 15 months after disposing their homes, reported The Straits Times.

This formed less than 4% of the total resale transactions for such flats during that period, said National Development Minister Desmond Lee in a written reply to Parliament.

“Given the small numbers, there is likely minimal impact by this group of seniors on the prices and resale volume of 4-room resale HDB flats,” he said in response to MP Chong Kee Hiong, who asked if the exemption for senior private home owners had an impact on prices.

In fact, no “spillover impact” is expected on the prices of 5-room HDB resale flats, he added.

Property analysts believed the exemption for seniors contributed to the strong demand for 4-room resale flats, causing prices to increase.

Notably, 4-room HDB resale flats accounted for the biggest proportion of the overall HDB resale flat transactions in Q4 2023, at 44.4%.

7. Nearly 950 families in rental flats became HDB homeowners in 2023

Around 8,300 families living in public rental flats became HDB homeowners over the past decade, reported The Straits Times.

Of these, nearly 950 acquired their own HDB flats in 2023, up from 700 in 2022 and marking the highest since the start of COVID-19 pandemic in 2020. Majority bought their homes directly from HDB, while the rest turned to the resale market.

About two-thirds benefitted from grants for first-time buyers, like the Enhanced CPF Housing Grant, while 80 of the 950 rental households availed of the Step-Up Housing Grant.

As of December 2023, another 2,100 rental households booked new HDB flats still under construction.

Currently, around 50,000 households are residing in public rental flats.

8. Vacated flats in Tanglin Halt to be rented out as temporary housing from 2025

Some 2,000 vacated flats in Tanglin Halt will form the bulk of additional temporary housing for families waiting for the completion of their new flats, revealed the (HDB).

This will bring the total supply of flats under the Parenthood Provisional Housing Scheme (PPHS) to 4,000 units by 2025.

To be spruced up before they are rented out under PPHS, the vacated flats are spread across 17 blocks in Tanglin Halt.

The blocks were among the 31 blocks in the estate to be identified for Selective En bloc Redevelopment Scheme (SERS) in 2014.

HDB shared that the previous residents have been offered new flats in the Dawson estate and have since moved there.

“These flats will eventually be demolished to make way for redevelopment and will serve as a temporary housing option for PPHS families in the interim period,” explained HDB.

Refurbishment works on the flats include replacing fittings and fixtures like floor tiles, sanitary wares and water pipes.

Once completed, the HDB flats will be progressively let out under PPHS starting from the second half of 2025.

9. No award for tender of Marina Gardens Crescent site

The Urban Redevelopment Authority (URA) made no award for the tender of the white site at Marina Gardens Crescent.

This comes as the sole bid submitted by a consortium comprising GuocoLand. Intrepid Investments and TID Residential was deemed to be too low.

Notably, the consortium offered $770 million or $10,591.77 per sq m (psm) for the 99-year leasehold site, designated for residential and commercial development.

With this, the 17,319.2 sq m site is now made available on the Reserve List of 1H 2024 Government Land Sales (GLS) Programme, enabling interested parties “to submit applications for the sale of the site with a minimum price that is acceptable to the government”.

Meanwhile, the site at Media Circle has been awarded to CNQC Realty (Clementi) and Forsea Residence, after they submitted a $395 million bid.

Zoned for Residential with Commercial at first storey, the 10,632.1 sq m site has a maximum permissible gross floor area (GFA) of 30,834 sq m and a leasehold tenure of 99 years.

10. Investment sales to increase to $25 billion to $28 billion in 2024

The property investment market is expected to receive a significant boost from the launch of 25 Government Land Sales (GLS) sites, reported Singapore Business Review.

Edmund Tie expects investment sales to climb between $25 billion and $28 billion this year.

GLS accounted for $7.8 billion of total investment sales in 2023, up 40% from its contribution in 2022.

GLS’ share in investment sales doubled in 2023 at 38%, compared to 19.2% in 2022.

Notably, 14 GLS sites were awarded in 2023. Of these, four were awarded in Q4 2023, amounting to $2.9 billion.

The private sector, on the other hand, saw investment sales decline 45.8% to $12.7 billion, with collective sales emerging as a big contributor, making up 17.8% of total sales in 2023.

Taking into account GLS and the private sector’s contribution, overall investment sales for 2023 declined 29.4% year-on-year to $20.4 billion.

“As the economic recovery gains traction in 2024, investment activity in the office and retail sectors could pick up,” shared Edmund Tie.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Fariza Salleh, Content Marketing Manager at PropertyGuru, edited this story. To contact her about this story, email: farizasalleh@propertyguru.com.sg.

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<![CDATA[How High-end Condominiums Are Redefining City Living]]> https://www.propertyguru.com.sg/property-management-news/2024/1/210733/how-high-end-condominiums-are-redefining-city-living www.propertyguru.com.sg:news:210733 Wed, 31 Jan 2024 02:44:20 +0800 How High-end Condominiums Are Redefining City Living
How High-end Condominiums Are Redefining City Living

It’s difficult to pinpoint when condominiums began dominating urban landscapes, but their evolution from nondescript residential buildings to design icons is undeniable. In Singapore, one of the most densely populated cities in the world, condos certainly stand out as prominent features within the diverse housing landscape.  

Over the past few years, luxury condominiums have been woven into the country’s skyline, alongside commercial skyscrapers. With the growing popularity of such properties, Singapore may witness a sustained rise in high-end condominiums that expertly blend exclusivity and comfort.  

Here’s what you should know about how high-end condominiums redefine city living.

 

Elegance with a purpose 

For many luxury condo developers, extravagant decor and expensive fittings should transcend mere aesthetics. They should serve as crucial differentiators, drawing discerning homebuyers who seek residences that reflect sophistication. This might manifest through exquisite interior designs, smart home features, or high-end finishes. 

lumina-grand-executive-condo-ec-singapore1 (1)

Step into a luxury condo, such as Low Keng Huat (S) Limited’s Klimt Cairnhill (Winner, Best Ultra Luxury Condo Development and Best Ultra Luxury Condo Interior Design, PropertyGuru Asia Awards Singapore 2023), and you’re greeted by a symphony of exquisite details.

klimt-cairnhill-condo

The development exudes unmistakable luxury, beginning with its exclusive address along Cairnhill Road, known as “The Golden District,” where many of Singapore’s pioneering business founders established their presence.

The condo features a grand, double-height lobby, an exclusive multi-use clubhouse, and residential units with European Art Deco-inspired design bathrooms. These design touches and amenities collectively elevate the project above conventional residences.

terra-hill-condo-singapore

Similarly, the luxury freehold hilltop residence Terra Hill (Winner, Best Premium Condo Interior Design) by Hoi Hup Sunway Kent Ridge Pte Ltd, doesn’t compromise on sophistication.

Designed by award-winning firm P & T Consultants, the elegant touches are evident throughout, from designer concept ceiling fans to the fully fitted kitchen featuring high-quality appliances from De Dietrich, France.

The decor and fittings in these condos aren’t merely decorative flourishes. They’re tangible expressions of luxury, serving as both aspirational symbols and functional enhancements.

 

Developers spare no expense 

While every developer follows their own rules and crafts a unique formula for creating a high-end condo, what ultimately unifies their projects is the commitment to spare no expense when it comes to adding opulent touches. This dedication is what distinguishes their creations from regular condos.

Take, for example, the 3-bedroom premium units at Watten House (WinnerBest Luxury Condo DevelopmentBest Luxury Condo Architectural Design and Best Luxury Landscape Design), developed by UOL Group (Winner, Best Residential Developer, Best Sustainable Developer, Special Recognition in Sustainable Design and Construction, Sustainable in ESG) and Singapore Land Group. 

watten-house-condo-singapore

The units in the development feature expansive balconies offering scenic views of well-manicured courtyards, along with private lifts and marble flooring in living and dining areas.

watten-house-singapore

Expansive spaces offer residents more than just square footage – they provide a heightened sense of freedom. Developers of luxury properties know that spaciousness not only enhances comfort but also provides an exclusive canvas for residents’ personalised aesthetics. They incorporate premium materials, advanced designs, and lavish amenities into their projects, which for many homebuyers are essential and therefore worth the investment. 

 

Art and innovation in harmony 

High-end condos are increasingly adopting innovations in architecture and design, influencing residents’ choices in luxury living. More and more developers are integrating smart home technology and prioritising environmental design, effectively redefining the standards for premium condo living.

The synergy of art and technology is exemplified in developments like The Continuum (Winner, Best Premium Condo Development, Best Lifestyle Development, Best Premium Condo Architectural Design, Best Sales Gallery Architectural Design, Best Lifestyle Developer) by Hoi Hup Sunway Katong Pte Ltd. 

the-continuum-condo-singapore

The Katong Road development offers future residents smart home features in its Prestige Collection and Signature Collection units.

the-continuum-singapore

These home features include an intelligent doorbell for easy visitor monitoring, an automatic lock that facilitates keyless entry, and an energy-efficient temperature control system with an intelligent air conditioning system. Additionally, a smart gateway linking all homeowners’ devices enables residents to oversee their homes from any location.  

Such a level of control and awareness empowers residents to live more efficient lives. These condos, equipped with state-of-the-art tech, are intelligent ecosystems that adapt to homeowners’ needs and preferences, setting a new standard for comfort, convenience, and security. 

 

The unlikely pairing of sustainability and luxury 

Many luxury condo developers are also aligning more with sustainability demands in the real estate market. Recognising the growing importance of eco-conscious living, developers consider environmentally friendly practices and technologies. From energy-efficient appliances to sustainable building materials, they demonstrate a commitment to reducing their environmental impact.

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<![CDATA[Lumina Grand Sells Over 53% of Units Over Launch Weekend, Toa Payoh DBSS Flat Breaks Record for Most Expensive HDB Sold, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/1/210736/210736 www.propertyguru.com.sg:news:210736 Mon, 29 Jan 2024 09:43:44 +0800 Lumina Grand Sells Over 53% of Units Over Launch Weekend, Toa Payoh DBSS Flat Breaks Record for Most Expensive HDB Sold, and More
Lumina Grand Sells Over 53% of Units Over Launch Weekend, Toa Payoh DBSS Flat Breaks Record for Most Expensive HDB Sold, and More

23 to 29 January 2024

Lumina Grand, this year’s first executive condominium (EC) launch, saw healthy demand during its launch over the weekend, with 53% or 269 of the 512 units sold as of 12:00pm on 28 January 2023. Meanwhile, Singapore saw private home prices and HDB resale prices rise at a slower pace in 2023, at 6.8% and 4.9%, respectively.

 

1. Lumina Grand sells 53% of units over its launch weekend

lumina-grand-executive-condo-ec-singapore

Lumina Grand, this year’s first EC launch, saw healthy demand during its launch over the weekend, with 53% or 269 of the 512 units sold as of 12:00pm on 28 January 2023.

While all unit types were well-received, the 3-bedroom premium and 4-bedroom units emerged as the most popular among buyers, said City Developments Limited (CDL).

Units were priced from $1,338,000 for a 3-bedroom unit, $1,388,000 for a 3-bedroom premium, $1,628,000 for a 4-bedroom unit and $2,098,000 for a 5-bedroom unit.

The average launch price stood at $1,464 per sq ft (PSF), with an additional 3% applied for those sold under the deferred payment scheme.

CDL revealed that the 30% allocation for second-time buyers was reached by Lumina Grand during its initial launch. As such, second-time buyers who were unable to buy a unit can book their units a month later.

As the first and likely only EC project of the year, Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru, had expected Lumina Grand to fare well given that prices of ECs are usually 20% lower than similar private condominiums within the area.

 

2. Private home prices, and rents rise at a slower pace in 2023

Singapore saw private home prices increase 2.8% in Q4 2023, an improvement from the 0.8% growth seen in the previous quarter, revealed the Urban Redevelopment Authority (URA).

Overall, private home prices rose 6.8% in 2023, slowing down from the 8.6% hike in 2022. This marks the second consecutive year of price moderation.

In Q4 2023, prices of landed properties climbed 4.6%, while non-landed properties saw prices grow 2.3%. Both the landed property and non-landed property segment saw price growth moderate to 8% and 6.6% in 2023, from the 9.6% and 8.1% increase in 2022.

Looking ahead, Dr Tan Tee Khoon expects prices to remain high yet stable in 1H 2024, amid the high interest rate environment and geopolitical uncertainties, reported The Business Times.

“Demand, while subdued, should maintain a consistent upward trajectory,” he said.

Meanwhile, rents for private homes fell 2.1% in Q4 2023, its first decline in over three years.

URA noted that rents eased across all market segments, with the Outside Central Region (OCR) posting the biggest decline at 2.8% in Q4 2023. Rents in the Core Central Region (CCR) and the Rest of Central Region (RCR) fell 1.6% and 1.2%, respectively, in Q4 2023.

For the whole of 2023, private home rents rose 8.7%, way slower compared to the 29.7% growth in 2022.

 

3. HDB resale prices were up 4.9% in 2023

Prices of Housing and Development Board (HDB) resale flats increased 4.9% in 2023, way smaller compared to the 10.4% hike posted in 2022. It also marks the lowest year-on-year growth since 2019 when prices rose 0.1%, reported CNA.

In Q4 2023, HDB resale prices rose 1.1%, moderating from the 1.3% increase in the previous quarter.

“The rate of increase in resale prices has continued to moderate following the Government’s implementation of a strong pipeline of housing supply, as well as cooling measures to promote a stable and sustainable property market,” said HDB.

Despite the moderation in prices, the HDB resale market saw a record 470 million-dollar flat transactions in 2023. Of these, 134 were registered in Q4 2023.

However, these flats represent a small portion of the market, making up just 2.1% of the total transactions during the quarter under review, said Dr Tan Tee Khoon.

Looking ahead, Dr Tan expects asking prices for HDB flats to remain high “given the lower supply of newer HDB resale flats and the rarity of attractive units”.

 

4. More young Singaporeans buying new private homes

A study by ERA Realty showed that a growing proportion of young Singaporeans are purchasing new private homes, reported TODAY.

Notably, the share of young Singaporean buyers aged between 26 and 35 jumped from 9% of the total new private home sales in 2015 to 35% in 2023.

Those under 25 represent 3% of all new private home buyers in 2023. Before 2021, such a group of home buyers was virtually non-existent.

With this, the median age of Singaporeans purchasing new private homes fell to 39 in 2023 from 45 in 2015.

“Mirroring housing markets worldwide, older Singaporeans have traditionally dominated the domestic market for new private homes, but there are now compelling signs supporting a noticeable shift in this widely held narrative,” said Wong Shanting, Head of Research and Marketing Intelligence at ERA.

ERA attributed the shift in trend to young Singaporean’s growing affluence, represented by their rising income, as well as to their inclination to invest.

“Private home offers opportunities for capital appreciation and passive incomes, which closely resonates with the young Singaporeans’ views on investing and building financial security at an early age,” added ERA.

 

5. Toa Payoh HDB flat breaks record for most expensive resale flat

A 5-room HDB flat at 139A Lorong 1 Toa Payoh emerged as the most expensive resale flat in Singapore after it was transacted for $1,568,888 in January 2024, reported The Business Times.

Spanning levels 40 to 42, the unit is situated within The Peak@Toa Payoh, a Design, Build and Sell Scheme (DBSS) development completed in 2012.

The development comprises two 42-storey blocks and three 40-storey blocks, featuring 1,203 units of 3-room to 5-room flats. Sizes of five-room units ranged between 1,184 sq ft and 1,259 sq ft.

The transaction surpassed the previous high set by a four-room jumbo HDB flat at 50 Moh Guan Terrace, sold for $1.5 million.

With the recent changes in new flat classification and the rise in million-dollar flat transactions, many homeowners are holding firm to their asking prices given that their flats do not have any resale restrictions, said Lee Sze Teck, Senior Director for Data Analytics at Huttons Asia.

A total of 470 flats were transacted for $1 million or more in 2023, up 27.4% from 2022, according to Huttons’ data.

Huttons noted that 56 million-dollar HDB flat transactions were registered as of 26 January.

Related article: Is the Natura Loft 5-room DBSS Flat Worth $1.43 Million? A Look at Expensive HDB Flats in Singapore

 

6. Expert urge Singaporeans to overcome NIMBY mindset

With the ‘Not in My Backyard’ (NIMBY) mindset being a significant barrier to developing essential amenities, Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions at PropertyGuru has challenged Singaporeans to look at columbariums from a different perspective.

“Instead of viewing them merely as sources of negative externalities like hygiene issues, traffic congestion, and noise pollution, we should consider their positive aspects,” said Dr Lee during a news chat with Mediacorp CAPITAL 958 City Channel.

Another expert pointed out that Singaporeans should see columbaria as amenities rather than as sources of disamenities.

The impact of columbaria on property prices is not fully understood mainly due to a lack of comprehensive studies on the matter.

Prices of properties facing such facilities are generally lower, although the overall effect varies based on how they are perceived – either as amenities or disamenities.

With this, prospective buyers and investors are advised to anticipate the “disamenity” effect of such facilities in real estate. Lee recommends strategic planning, including a review of the area’s Master Plan, even in regions where such facilities are not currently planned.

Analysing historical pricing and market trends with the help of big data tools can also help buyers make informed decisions.

 

7. More homeowners turn to renovation applications to save on costs

A growing number of homeowners are turning to web renovation applications to directly connect with suppliers and save on costs, which have increased around 20% in 2023, reported CNA.

Industry players noted that the rise in labour and material costs has contributed to the popularity of such apps.

Renovation app Homeez, which registered at least 200 new users every week, allows users to choose a pre-loaded floor plan, paints, and tiles, and communicate directly with suppliers or hire a project manager.

This means consumers spend less since there is no salesperson or interior designer involved, said Homeez CEO Tyson Lim.

Renovation platform Design Plus, on the other hand, monitors work progress while ensuring consistent communication between contractors and homeowners to save on costs incurred through delays as well as rectification work.

However, observers believe interior designers will remain relevant for their expertise in materials and trends as well as problem-solving.

Related article: Singapore’s HDB BTO Renovation Cost Guide (2023)

 

8. Newly-weds fought over HDB flat even before achieving MOP

A newly-wed couple’s dream of owning a home turned into a legal battle over their newly purchased flat, with both parties wanting a bigger share of the property, reported The Straits Times.

This comes after they decided to call it quits even before the flat achieved its five-year Minimum Occupation Period (MOP).

The couple bought the HDB resale flat for $370,000 and spent almost $80,000 on renovations.

In deciding the case, High Court Justice Choo Han Teck focused on the financial contributions of the parties.

Justice Choo noted that the parties’ direct financial contributions should not be limited to the funds used to acquire the property but also the expenses incurred to improve the matrimonial asset.

“It would not be just and equitable for the court to ignore sizeable sums of monies expended to improve matrimonial assets,” said the judge.

Since the woman contributed more money to the acquisition price and the renovation costs of the flat, the court ruled in her favour and granted her a 67% stake in the flat. The remaining 33% went to the ex-husband.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Fariza Salleh, Content Executive at PropertyGuru, edited this story. To contact her about this story, email: farizasalleh@propertyguru.com.sg.

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<![CDATA[The Arcady and Hillhaven Sell 51 and 59 of their Units Over Launch Weekend, Fewer HDB Resale Flat Buyers Paid COV in 2023, Respectively, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/1/210730/the-arcady-and-hillhaven-sell-51-and-59-of-their-units-over-launch-weekend-fewer-hdb-resale-flat-buyers-paid-cov-in-2023-respectively-and-more www.propertyguru.com.sg:news:210730 Tue, 23 Jan 2024 02:45:28 +0800 The Arcady and Hillhaven Sell 51 and 59 of their Units Over Launch Weekend, Fewer HDB Resale Flat Buyers Paid COV in 2023, Respectively, and More
The Arcady and Hillhaven Sell 51 and 59 of their Units Over Launch Weekend, Fewer HDB Resale Flat Buyers Paid COV in 2023, Respectively, and More

16 to 22 January 2024

Hillhaven and The Arcady at Boon Keng sold over 50 units during their launch over the weekend. Meanwhile, fewer buyers of resale HDB flats paid cash over valuation (COV) last year, at only 15% over the last three months of 2023.

 

1. Hillhaven sells 59 units over its weekend launch

Hillhaven, Far East Organization and Sekisui House’s joint residential development project in District 23 sold 33% or 59 of the 179 units released during its Phase 1 sales launch on 20 January 2024, reported The Business Times.

Prices for the units start from $1,903 per sq ft (PSF).

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group commented, “New sales tend to be slower in December and January, as property seekers usually only start their search after they return to work in the second week of January. Property seekers are also more cautious and discerning amid the uncertain economic environment.

“Due to seasonal and macroeconomic influences, the market activity is expected to experience some volatility. That said, given Hillhaven’s appealing attributes, being near to the nature reserve and MRT station, we expect the project will see steady demand over time.”

Meanwhile, Far East shared that Singapore Citizens and Singapore Permanent Residents (PRs) accounted for all 59 buyers, of which 70% are between 31 and 50 years old.

It added that 2-bedroom and 3-bedroom units comprised most of the units sold.

Occupying a 10,400 sq m site, Hillhaven features 341 units spread across two residential blocks of 27- and 28-storeys.

 

2. The Arcady sells 51 units over its weekend launch

The Arcady at Boon Keng, KSH Holdings, SLB Development and H10 Holdings joint development project in District 12, sold 51 of its 172 units, or just under 30%, as of 4pm of 20 January 2024, reported The Business Times.

The freehold condominium project saw all 11 1-bedroom-and-study units snapped up by buyers, while 25 of the 38 2-bedroom units were also sold.

Nestled on a 56,476 sq ft site, the development consists of one 24-storey tower and is just a six-minute walk to the Boon Keng MRT station on the North East Line (NEL). It is also within 1 km of various schools, including St Andrews Junior School, Bendemeer Primary School, and Hong Wen School.

 

3. Fewer resale HDB flat buyers paid COV in 2023

Fewer buyers of resale HDB flats paid COV last year, at only 15% over the last three months of 2023, reported The Straits Times.

Comparatively, almost 30% of such buyers forked out COV for their units over the same period in 2022, said National Development Minister Desmond Lee during his speech at the Built Environment and Property Prospects seminar.

COV, which can only be paid by the buyer in cash, is the difference between the flat’s sale price and its actual HDB valuation.

Flash data from HDB showed that 6,440 units of resale flats were transacted over the last three months of 2023, down from the 6,597 sold over the same period in 2022.

Lee pointed out that the median COV remained relatively stable at around $30,000, while overall property price hikes have moderated.

HDB resale prices rose 4.8% in 2023, slowing from the 10.4% jump registered in 2022. Private property prices, on the other hand, climbed 6.7% in 2023, down from the 8.6% growth seen in 2022.

With this, he urged buyers to be prudent, underscoring that home prices are “unlikely to sustain the momentum they have seen in the past three years”.

 

4. Former Kebun Baru Primary site to make way for high-rise housing

The former Kebun Baru Primary School site in Ang Mo Kio has been earmarked for high-rise housing development under a proposed amendment to the Urban Redevelopment Authority’s (URA) Master Plan.

The site, which spans 1.82ha, is 1km away from Mayflower MRT station on the Thomson-East Coast Line (TEL), reported The Straits Times.

The proposed changes – which include re-zoning the open space and educational institution site for road and residential use – are aimed at facilitating future “high-density residential developments” within the area.

Kebun Baru Primary, established in 1985, occupied the site until it was merged with Ang Mo Kio Primary in 2002. In May 2002, the merged school relocated to 20 Ang Mo Kio Avenue 3.

Property analysts expect residential developments on the site to be attractive to home buyers considering its proximity to the Mayflower MRT station and various schools.

Related article: Thomson-East Coast Line (TEL) in Singapore: When Does It Fully Complete? (2024)

 

5. New homes and a park to be built near Kembangan MRT station

URA seeks to re-zone a plot of land next to Kembangan MRT station from residential with shops on the first storey with a plot ratio of 2.5, to residential use only but with a higher plot ratio of 3.2, reported The Straits Times.

This means the new development can have over 36 storeys.

Spanning nearly 2ha, the site currently houses a football field with a basketball court and a running track.

An adjacent plot housing the Kampong Kembangan Community Club will also be re-zoned as a park.

The proposed changes are aimed at addressing housing demand and leveraging the site’s proximity to transport nodes and amenities.

Manpower Minister Tan See Leng said plans to rejuvenate the Kembangan area, which includes Kampong Kembangan Community Club’s redevelopment, are underway.

With some existing facilities expected to be affected, the MP for Marine Parade GRC assured that he and his team will work with relevant agencies to “ensure a smooth transition” as well as minimise inconvenience to residents.

 

6. Kranji Primary School to relocate to Tengah, Outram Secondary School to Sengkang

The Ministry of Education (MOE) has unveiled plans to relocate Kranji Primary School and MK@Kranji from their current location in Choa Chu Kang to Tengah in 2028 as well as Outram Secondary School from York Hill to Sengkang in 2026.

The move, which is in line with the ministry’s announcement in February 2023, is aimed at addressing the changing demands for schools and preschools in Singapore.

The ministry also revealed the opening of two MOE kindergartens – in Bukit Batok and Tampines North – and a new primary school in Tampines North as more families move to the area with the completion of BTO projects there.

To facilitate the relocation, Kranji Primary School and MK@Kranji will no longer accept Primary 1 and Kindergarten 1 students from 2025 and remain in operation until all existing students have graduated.

Since Kranji Primary School will stop accepting Primary 1 students in 2025, siblings of existing students will not be able to register for such primary school.

Outram Secondary School will also stop accepting new Secondary 1 students from 2025 but will start admitting new Secondary 1 students at its new campus in Sengkang from 2026.

It will “operate two campuses until 2027 when the last batch of Secondary 4 students at the York Hill campus graduates,” said MOE.

Related article: MOE P1 Registration 2023: Will Parents Move For Their Children’s Primary Schools?

 

7. EV fast chargers deployed at HDB Hub in Toa Payoh, Oasis Terraces in Punggol

Drivers of electric vehicles (EVs) can now top up their batteries faster with the launch of the first batch of fast charging points at Oasis Terraces in Punggol and the HDB Hub in Toah Payoh Central, reported CNA.

This is in line with the government’s plan to deploy fast chargers at more convenient locations, including HDB neighbourhoods, town centres as well as JTC industrial estates.

“Thirty minutes to an hour can provide their EVs with an extra 100km to 200km mileage,” said Senior Minister of State for Sustainability and Environment Amy Khor.

Dr Khor, who also serves as Senior Minister of State for Transport, shared that more than 2,400 EV charging points were installed at over 700 HDB car parks.

This means that the interim target of installing EV chargers at one in three HDB car parks by 2023 has been achieved.

However, these chargers are mainly slow chargers, ideal for private EVs parked overnight for around six to eight hours per day. This provides drivers with an average of around 300km.

“While slow charges will meet the needs of most drivers, we also recognise that fast chargers are needed as a supplement, particularly for high mileage vehicles like taxis, private hire cars and commercial fleets,” stated Dr Khor.

Related article: Budget 2023 Singapore: Increased BSD Rates, More CPF Housing Grants, and More

 

8. Media Circle site receives three bids, Marina Gardens Crescent site gets one

The tender for the residential development sites at Media Circle and Marina Gardens Crescent closed on 18 January 2024, with the Media Circle site getting three bids, revealed URA

Qingjian Realty and Forsea Residence submitted the highest bid of $395 million for the Media Circle site, followed by Intrepid Investments and Garden Estates with a bid of $385 million.

Zoned residential with commercial at first-storey, the 99-year leasehold site has a land area of 10,632.1 sq m and a maximum permissible gross floor area (GFA) of 30,834 sq m. It is expected to yield 355 residential units.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru commented, “This bid is 4.4% lower than the $1,246 PSF ppr that EL Development paid for a nearby site at Slim Barracks where Blossoms By The Park was launched in 2023. It is also 1.6% lower than the $1,210 PSF ppr that Kingsford Development paid for its upcoming The Hill @ One North.”

Meanwhile, the site at Marina Gardens Crescent drew just one bid at $770 million, submitted by a consortium comprising GuocoLand, Intrepid Investments, and TID Residential.

With an area of 17,319.2 sq m, the white site has a maximum permissible GFA of 72,741 sq m and is expected to yield 775 residential units.

On top of being the sole bidder, Dr Tan notes, “The land rate of $984 PSF ppr was about 30% lower than the $1,402 PSF ppr that Kingsford Group paid for Marina Gardens Lane in June 2023. There is a possibility that the government may not award the Marina Gardens Crescent site given there is only one bid received for the latest ‘white’ site and the reserve price of 85% of the estimated market value as assessed by the Chief Valuer might not have been met.

 

9. Pine Grove owners seeking to relaunch en bloc sale at lower price

Pine Grove condominium’s collective sale committee is seeking an 80% mandate from owners to relaunch the collective sale at a lowered reserve price of $1.78 billion, reported The Straits Times.

This comes after the tender for the former HUDC estate closed in November 2023 without any bids received. Pine Grove, which has 59 years left on its 99-year lease, made its fourth collective sales attempt in September 2023 carrying a price tag of $1.95 billion.

An extraordinary general meeting (EOGM) as well as a signing session was held on 21 January 2024 to gauge owners’ interest in the relaunch at the new reserve price.

“Several developers have informally indicated interest in the Pine Grove collective sale at the specified valuation price. This has prompted the ongoing effort to secure the necessary 80% consensus before the upcoming tender deadline… in mid to late March 2024,” said Pine Grove’s marketing agent ERA Realty.

ERA Key Executive Officer Eugene Lim noted that the $1.78 billion price works out to a land rate of $1,335 PSF ppr, after factoring in the 10% bonus gross floor area, the $974.4 million estimated land betterment charge (LBC) and lease upgrade to a fresh 99-year lease.

 

10. Marina Bay Sands to inject another $1,005,000,000 in the second phase of the reinvestment programme

Marina Bay Sands is set to invest another $1,005,000,000 in the second phase of its reinvestment programme, which is focused on enhancing its third hotel tower, the Sands Skypark rooftop and the hotel lobby, reported The Business Times.

This follows the initial commitment of $1.3 billion for the first phase, currently in its final stages and which saw the complete renovation of the other two hotel towers.

The second phase will see the third tower featuring 550 rooms, including 380 suites as well as a renewed focus on guests’ wellness experiences.

Completion of the works will be in phases, extending through 2025.

Paul Town, Chief Operating Officer of MBS, expects the next stage of the integrated resort’s development to strengthen the appeal of Singapore as a leading tourism destination.

“This second phase of reinvestment will be critical, as it propels the property to new heights and places us in a strong position to capture future growth opportunities,” said Town.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Lumina Grand EC and Hillhaven Preview Over the Weekend, RTS Link Singapore Achieves 65% Completion, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/1/210694/lumina-grand-ec-and-hillhaven-preview-over-the-weekend-rts-link-singapore-achieves-65-completion-and-more www.propertyguru.com.sg:news:210694 Mon, 15 Jan 2024 07:37:28 +0800 Lumina Grand EC and Hillhaven Preview Over the Weekend, RTS Link Singapore Achieves 65% Completion, and More
Lumina Grand EC and Hillhaven Preview Over the Weekend, RTS Link Singapore Achieves 65% Completion, and More

9 to 15 January 2024

Over the weekend, City Developments Limited (CDL) opened Lumina Grand for e-applications, with sales booking set to start on 27 January 2024. Meanwhile, Far East and Sekisui House are set to launch Hillhaven, a 99-year leasehold condominium project at Hillview Rise, on Saturday (20 January 2024).

 

1. Lumina Grand EC opens for e-application, prices start from $1,338,000

lumina-grand-ec-executive-condo-singapore

City Developments Limited (CDL) has opened Lumina Grand for e-applications on 12 January, with sales booking set to start on 27 January 2024.

The first executive condominium (EC) project of the year, the 512-unit Lumina Grand is situated at the junction of Bukit Batok Road and Bukit Batok West Avenue 5, featuring 10 residential blocks of 12- to 13-storeys.

Unit sizes at the development range between 936 sq ft for a 3-bedroom and 1,496 sq ft for a 5-bedroom unit.

Prices, on the other hand, start from $1.338 million for a 3-bedder, $1.388 million for a 3-bedroom premium, $1.628 million for a 4-bedder and $2.098 million for a 5-bedder.

“Eligible first-time buyers will be entitled to a Central Provident Fund (CPF) Housing Grant of up to $30,000,” said CDL in a release.

The project offers nearly 40 recreational facilities including a 50m lap pool, two clubhouses, a gymnasium, a tennis court, reading lounges and a kids’ play zone.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru commented, “Being the only EC launch in 2024, this development would be welcomed by property seekers who wish to live near Tengah Town which is the ‘new Bishan’ of the west and the first car-free town centre.

“Besides, nearby Copen Grand EC was fully sold in Oct 2022. Given the benefits of the housing grant, no upfront ABSD for current HDB flat lessees upgrading to EC and a deferred payment scheme, I expect Lumina Grand’s sales applications to reflect the demand for it.”

 

2. Far East, Sekisui House to launch Hillhaven condo on Saturday

hillhaven-condo-singapore (1)

Far East and Sekisui House are set to launch Hillhaven, a 99-year leasehold condominium project at Hillview Rise, on Saturday (20 January 2024), reported The Business Times. Unit prices will start from $1,907 per sq ft (PSF).

Nestled on a 10,400 sq m site, the development features 341 units spread across two residential blocks of 27- and 28-storeys.

A 678 sq ft two-bedroom unit is priced from $1.37 million ($2,020 PSF), while three-bedroom units, ranging between 947 sq ft and 1,195 sq ft, are offered from $1.835 million ($1,938 PSF). Prices for four-bedroom units, spanning between 1,259 sq ft and 1,636 sq ft, start from $2.44 million ($1,938 PSF).

The development saw more than 2,000 people visit its sales gallery during its first preview weekend, said Far East in a release.

Ismail Gafoor, Chief Executive Officer of PropNex, said Hillhaven is possibly the last new private residential site within the Hillview Avenue area that is close to the MRT station.

On the potential sales performance of Hillhaven, Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group said, “Our analysis of the 2023 sales data indicates a clear trend: projects situated close to MRT stations and nature reserves tend to perform exceptionally well in the market.

“Hillhaven, embodying both these attributes, is poised to attract discerning buyers who seek a blend of accessibility and exclusivity. Additionally, the area has experienced a noticeable uptick in asking prices, a positive trend likely influenced by the forthcoming developments in Tengah. This synergy of location, lifestyle appeal, and growth potential positions Hillhaven as an attractive option for both investors and homebuyers.”

 

3. Johor Bahru-Singapore RTS Link achieves 65% construction milestone

The Johor Bahru-Singapore Rapid Transit System (RTS) Link project has achieved another milestone, with about 65% of structural works completed on both the Singapore and Malaysia sides, reported CNA.

The “drop-in span”, which is a 17.1m reinforced concrete structure linking Singapore’s Pier 48 and Malaysia’s Pier 47 above sea level, has also been completed.

Singapore Prime Minister Lee Hsien Loong and Malaysia Prime Minister Anwar Ibrahim marked this milestone by signing commemorative plaques to symbolise their shared commitment to improve connectivity between the two countries.

Set to start passenger service by end-2026, the RTS Link aims to ease traffic congestion on the Causeway. The estimated cost of the project is RM10 billion ($2.87 billion), with Singapore covering 61% of the cost.

Meanwhile, the Land Transport Authority (LTA) revealed that all 12 pile caps within the Straits of Johor on the side of Singapore have been completed, forming a stable foundation for the piers supporting the rail viaduct structure.

 

4. Singaporeans buy residential units near Johor Bahru’s RTS station

Some Singaporeans are purchasing residential units near the Rapid Transit System (RTS) Link in Johor Bahru as they anticipate improved access upon completion of the project, reported CNA.

Analysts noted that home prices have been on the uptick in recent years, with those around the Bukit Chagar RTS station registering the highest demand.

The RTS is seen as the big draw factor, with increased demand pushing property prices near the terminus to rise by 18% over the last two years.

Dr Lee Nai Jia, expects property prices to grow by another 5% to 6% once the RTS is fully operational.

Rental prices of apartments near the border have also doubled, encouraging Singapore buyer James Lim to acquire a 2-bedroom condominium.

“When the RTS opens in two years, this property price will go up. The rental price will also definitely be quite attractive as compared to other places,” he said.

Related article: 7 Woodlands Condos Near RTS Johor: Stay Near the RTS Link Singapore (2024)

 

5. Passport-free travel between Singapore, Johor a ‘game-changer’

Industry leaders have described the possibility of having passport-free travel between Singapore and Johor as a “game-changer” that could accelerate the creation of a special economic zone, reported CNA.

This initiative includes the usage of a QR code system for border crossings and digitised processes for cargo clearance.

However, there is a need to define the geographical scope of the Johor-SIngapore Special Economic Zone (SEZ) – especially on the side of Malaysia. Notably, there have been conflicting reports on whether the scope of the SEZ in Malaysia will cover the entire Iskandar Malaysia region, just a part of it or the entire state of Johor.

Market watchers noted that defining the scope of the SEZ is a “foundational parameter” that will help investors decide on whether to deploy capital and capacity into the SEZ.

Singapore and Malaysia have signed a Memorandum of Understanding (MOU) which marks the first step towards a legally binding SEZ agreement.

If properly implemented with political will in both countries, the SEZ can provide a win-win solution as well as boost the economies of Malaysia and Singapore, said Tan Wee Tiam, KGV International’s Head of Research and Investment Services.

 

6. Firm action is to be taken against those who breach the new occupancy cap

With the temporary relaxation of the occupancy cap for bigger HDB flats and private homes, some Members of Parliament (MPs) had raised concerns over the potential breaches of such cap and nuisance caused by tenants, reported CNA.

Speaking in Parliament, Senior Minister of State for National Development Tan Kiat How assured that firm action will continue to be taken against those who breach the new occupancy cap.

He pointed out that HDB and URA conduct routine inspections at public and private housing, respectively, to ensure tenants and owners comply with the new rule and no “serious disamenities” are caused to the public.

On whether the government will limit the number of flats within an HDB block that could tap the relaxed occupancy cap so as not to overload existing infrastructure, Tan shared that there is currently no plan to impose such a cap, reported TODAY.

However, the existing non-citizen quota would help “limit the increase in occupants in each block, given that most of those renting at the occupancy caps are non-citizens”, he said.

Currently, around 90% of occupants in units that hit the unrelated occupancy cap are non-residents, said Tan.

 

7. Importers of sand must adhere to source countries’ laws, environmental regulations

Importers wanting to bring reclamation sand to Singapore must adhere to the source countries’ laws and regulations, said National Development Minister Desmond Lee.

This includes obtaining proper export documentation and permits as well as complying with local environmental regulations on extracting and transporting sand, he added.

He was responding to parliamentary questions regarding the “Long Island” reclamation project, which involves around 800ha of reclaimed land, reported CNA. Questions raised by MPs included concerns about the source of imported sand, potential ecological impact and mechanism to ensure ethical sand acquisition.

Lee explained that the import of reclamation sand to the city-state is done on a commercial basis, with the sand imported from various sources.

Where applicable, government agencies will check if the contractors have obtained the necessary environmental-related approvals before they can commence sand imports.

“But when we’re talking about Long Island, this is far into the future. Works are not going to proceed in the near term, so this will be something that will be developed as the technical studies and implementation plans get greater granularity,” he added.

 

8. Closure of HDB common spaces necessary to balance residents’ interests

Associate Professor Muhammad Faishal Ibrahim has defended the decision to close common spaces within HDB estates, saying that while it may seem harsh, it is necessary to balance residents’ interests, reported TODAY.

He explained that such interventions were not taken lightly, with town councils and relevant agencies expending significant efforts to communicate with affected parties to find win-win solutions.

“At times, despite the work done to bring parties together to resolve issues amicably, there are, sometimes, parties who may be unwilling to compromise,” he said in response to an adjournment motion on cultivating social cohesion via HDB common space.

“In such cases, town councils and relevant agencies may have no choice but to intervene directly to ensure a conducive living environment for all.”

It was previously reported that a void deck in Woodlands Ring Road had been cordoned off to prevent kids from playing football, while a basketball within a Bedok North estate was also closed following noise complaints.

 

9. Luxury non-landed home sales down in 2023

Sales for luxury non-landed homes declined to 198 units in 2023 from 298 units in 2022, revealed Knight Frank.

Total sales value also fell 33.4% to $1.7 billion in 2023 from $2.5 billion in the previous year.

Notably, 64 prime non-landed homes were transacted in 2H 2023, which amounted to $503.9 million.

Knight Frank attributed the drop in sales to the increase in Additional Buyer’s Stamp Duty (ABSD) rates.

Over at the landed market segment, a total of $2.1 billion changed hands in 2H 2023, down 26% from the $2.9 billion posted in 1H 2023. For the whole of 2023, overall sales value fell 18.3% to $5 billion from 2022’s $6.1 billion.

“Despite the fall in transaction activity, potential homebuyers remain on the lookout for landed homes due to lifestyle preferences for larger indoor and outdoor spaces,” said Knight Frank.

“As such, evergreen demand for freehold landed homes will be supported in 2024 by the aspirations of Singaporeans, with homebuyers willing to move out of locations that are familiar to them in search of such properties,” it added.

 

10. The private home market cooled in Q4 2023

Singapore saw new home sales volume contract 43.2% quarter-on-quarter to 1,086 units in Q4 2023, while sales in the secondary market fell 13.1% quarter-on-quarter to 2,536 units, revealed Knight Frank.

This comes as some homebuyers took a watch-and-wait stance as they expect interest rates to fall only from 2H 2024.

Knight Frank noted that prices of prime non-landed homes will likely remain stagnant, declining by 1% and 2% in 2024 as buyers are not showing the same urgency as seen in the past few years.

The Rest of Central Region (RCR) saw non-landed home prices increase 2.7% in 2023, supported by new launches including Grand Dunman, The Reserve Residences and The Continuum. However, the hike is lower compared to the 9.7% gain posted in 2022.

Over at the Outside Central Region (OCR), new sales declined 9% quarter-on-quarter to 639 units in Q4 2023, despite the launch of J’den and Hillock Green. Overall sales fell 12.8% quarter-on-quarter to 1,959 units in Q4 2023, with secondary sales falling 14.6% to 1,320 units.

Meanwhile, islandwide leasing for non-landed private homes stood at 11,358 in October and November 2023, down 26.7% compared to July and August 2023.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[HDB Reduces Four Yearly BTO Launches to Three, Government Says Housing Prices Will Not Rise Indefinitely, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/1/210670/hdb-reduces-four-yearly-bto-launches-to-three-government-says-housing-prices-will-not-rise-indefinitely-and-more www.propertyguru.com.sg:news:210670 Mon, 08 Jan 2024 09:53:36 +0800 HDB Reduces Four Yearly BTO Launches to Three, Government Says Housing Prices Will Not Rise Indefinitely, and More
HDB Reduces Four Yearly BTO Launches to Three, Government Says Housing Prices Will Not Rise Indefinitely, and More

3 to 8 January 2024

HDB will reduce the number of BTO sales exercises it conducts per year, from four to three. Meanwhile, National Development Minister Desmond Lee does not expect home prices to rise indefinitely given the signs of moderation in the public and private home markets.

 

1. HDB reduces BTO sales exercises from four to three

HDB will reduce the number of BTO sales exercises it conducts per year, from four to three, reported CNA.

In 2024, HDB will offer 19,600 BTO flats in three batches – in February, June and October.

“With three BTO launches instead of four, home buyers can look forward to a bigger housing supply at each launch. This will enable them to select from a wider range of flats and locations,” explained HDB.

It also attributed the reduction in BTO launches to the moderating application rates from first-time buyers.

HDB shared that over 2,800 flats, or around 14% of the new flats set for launch this year will be Shorter Waiting Time (SWT) flats, which come with a waiting time of less than three years.

Moreover, the HDB BTO Oct 2024 BTO sales exercise will see the launch of flats under the new classifications – Standard, Plus, and Prime. This will replace the current housing estate classification as mature or non-mature.

HDB also revealed that about 80% of the pandemic-delayed projects have been completed in 2023, with the rest still under construction and that it is closely working with industry partners and agencies to deliver such projects as soon as possible.

On how this may affect BTO application chances, Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru said, “Overall, BTO application rates for 2023 were lower than in recent years. For example, in 2023, the median number of applicants for each available BTO flat was 1.9, a huge dip from 3.7 in 2019. Also, given that approximately 14% of BTO flats will be in SWTs, prospective BTO flat applicants can decide which batch and/or location to apply for to improve their chances of securing a BTO flat based on the immediacy of their property.

Besides, the government has also put in place measures to dissuade applicants who did not proceed to select a flat when invited to do so, as they will lose their priority status. That said, the August 2023 BTO exercise introduced a new priority category, the First-Timer (Parents & Married Couples). As such, the chances of BTO applicants securing a flat are unlikely to be compromised with the change from four BTO exercises to three.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

2. Housing prices not to increase indefinitely, said

National Development Minister Desmond Lee does not expect home prices to rise indefinitely given the signs of moderation in the public and private home markets.

He underscored the impact of high mortgage rates as well as the cautious approach taken by Singaporeans amidst the uncertain global economic environment.

In an interview with Chinese daily Lianhe Zaobao and The Straits Times, the minister noted that housing demand surged during the pandemic, which led to construction delays. This forced some buyers to turn to the resale market, pushing up prices.

To address the supply-demand imbalance, the government pledged to introduce 100,000 BTO flats between 2021 and 2025. With around 63,000 flats rolled out in 2023, application rates had stabilised.

Lee shared that a range of measures have also been implemented to manage supply and demand. These include lower Loan-to-Value (LTV) limits for HDB loans and increased Additional Buyer’s Stamp Duty (ABSD) rates.

“We do not want a bubble to appear. A rising resale market is healthy only if the economic fundamentals and the rate of growth are in tandem, so it remains affordable,” said the minister.

 

3. New BTO flats are generally built to satisfactory standards, say defect-checkers

While receiving the keys to a BTO flat is an exciting milestone for a homeowner, a recent TikTok video showing a normal process in defect-checking reminds homeowners to manage their expectations.

The video, which was shot at a new Tengah BTO unit and garnered over 100,000 views, showed numerous blue stickers, indicating possible defects or imperfections, reported TODAY.

However, defect-checkers clarified that the scene in the video is the norm for defect-checking. They noted that the blue stickers most likely point to minor cosmetic issues rather than serious defects.

They also underscored that newly completed BTO flats generally meet satisfactory standards.

Meanwhile, a spokesperson for HDB said all HDB projects have achieved high Conquas scores.

“The average score increased from 92 over FY2017-2019 to 95 over FY2020-2022…This is comparable with, or higher than, the scores achieved by private residential developments over the same period,” said the spokesperson.

The highest Conquas score is 100 points, while the minimum passing score is 85.

 

4. Landlord shocked to find condo in disarray after tenants flee

Wang, a 47-year-old landlord in Ang Mo Kio, was happy that a Spanish expatriate family of three had rented her 4-bedroom condominium unit, knowing that the father and mother had stable jobs here and valid employment passes.

The father was working at a reputable multinational firm, the wife was a Spanish teacher at an international school, and the daughter was also enrolled in a school here in Singapore, reported Asia One citing Shin Min Daily News.

They signed a two-year lease contract in August 2023 and moved in the following month.

However, the family left the condominium less than four months after moving in, leaving behind three months of unpaid rent and a trail of destruction. Notably, large patches of mould were growing on the sofa, glitter was scattered on the floor and the washbasin had a large hole.

Wang was shocked to find her well-maintained unit in such a condition.

Meanwhile, Ma – the property agent – shared that she had verified the authenticity of the tenant’s documents before finalising the lease. However, she later discovered that the tenant’s work pass expired in September 2023 less than a month after they moved into the unit.

Wang has revealed plans to lodge a police report, hoping the incident will serve as a warning to other landlords.

 

5. Investment sales down 31.8% in 2023

Singapore saw real estate investment sales hit $5.4 billion in Q4 2023, bringing sales for 2023 to $21.2 billion, down 31.8% from the $30.9 billion registered in 2022.

Knight Frank attributed the tepid sales to “an inflationary environment where interest rates were constantly on the rise, the increase in ABSD rates from April 2023, as well as geopolitical tensions that erupted with the outbreak of the Israel-Gaza conflict”.

The residential sector dominated investment sales in 2023 as it accounted for 47.7% of overall deals, totalling $10.3 billion. This is 13.3% lower from the previous year’s $11.9 billion. Residential transactions dropped 1% quarter-on-quarter (QoQ) to $3.4 billion in Q4 2023.

Commercial property deals fell 61.4% to $6.1 billion in 2023 from $15.8 billion in 2022. The collective sales market only saw seven deals amounting to $2.1 billion. This is down 44% from the 16 en bloc sales posted in the previous year, which amounted to $3.8 billion.

Looking ahead, Knight Frank sees a more positive outlook for Singapore’s capital market space, with total investment sales for this year hovering between $23 billion and $25 billion.

 

6. Strata industrial unit at Amtech Building on sale for $15.4 million

A strata industrial unit spanning an entire floor within Amtech Building has been put up for sale via expression of interest (EOI) with a guide price of $15.4 million, revealed exclusive marketing agent Savills Singapore.

This works out to $1,150 per sq ft (PSF) given the property’s strata area of around 13,423 sq ft.

Located on the highest floor of Amtech Building, the property has direct cargo and passenger lift accesses and is entitled to two carpark lots. The unit also boasts a high ceiling height with a regular floor plate and a column-free layout.

Amtech Building is a seven-storey flatted factory with a two-storey ancillary building. It is zoned for “Business 1” use under the 2019 Master Plan and is highly sought-after due to its freehold tenure.

With this, ownership within the development “is tightly held and the opportunity to purchase an entire floor within the development hardly comes by”, said Dayna Ang, Investment Sales and Capital Markets at Savills Singapore.

The EOI exercise for the unit – which can be acquired by foreigners with no ABSD payable – closes on 8 February 2024.

 

7. Commercial building at 30 Prinsep Street on the market for $157 million

An 11-storey commercial building at 30 Prinsep Street has been put up for sale via an EOI exercise carrying a guide price of $157 million or about $2,332 PSF based on the gross floor area (GFA) of 67,335 sq ft.

Extensively refurbished in 2013, the building sits on a 999-year leasehold site of about 15,000 sq ft, said exclusive marketing agent CBRE. It is zoned for “Commercial” use under the 2019 Master Plan with a gross plot ratio of 4.2.

The building features an outdoor roof terrace on level six, F&B-approved shop spaces on the first level, an office lobby, and a private parking facility with 52 lots.

CBRE noted that foreigners and corporates can acquire the property with no ABSD and Seller’s Stamp Duty (SSD) payable.

The EOI exercise for 30 Prinsep Street closes on 7 February 2024.

 

8. Three adjoining shophouses at Stanley Street are up for sale

Three adjoining conserved shophouses situated at 4, 5 and 6 Stanley Street have been offered for sale for $61.6 million.

Zoned “Commercial” under the 2019 Master Plan, the three-storey shophouses occupy a 374.4 sq m or about 4,030 sq ft site and have a total built-up area of 10,735 sq ft, said exclusive market agent Knight Frank.

The property is located at the boundary of the Downtown Core, within the Telok Ayer Conservation Shophouse enclave. It features spaces for office use as well as a fitness and wellness studio, while the ground floor is tenanted to various F&B outlets.

Mary Sai, Knight Frank Singapore’s Executive Director for Capital Markets, expects the property to attract interest “from different segments purchasing for investment or own use”.

The tender for the shophouses closes on 28 March 2024.

 

9. Seven conservation shophouses in Chinatown are on sale for $88 million

A standalone block of seven three-storey conservation shophouses located at 20 Trengganu Street has been put up for sale via an EOI exercise, with an indicative price of $88 million.

This works out to about $2,806 PSF based on the property’s existing floor area of 31,364 sq ft, said exclusive marketing agent CBRE.

Occupying an island plot spanning 10,444 sq ft, the property boasts triple frontage of over 100m along Trengganu, Smith, and Temple Streets. In front of the property, seven shopfront units with a combined floor area of about 1,300 sq ft could be leased from the Chinatown Business Association (CBA).

Currently, the ground floor is occupied by multiple retail tenants, the second floor by a Chinese restaurant operator, and the third floor by a boutique hotel operator.

CBRE noted that foreign buyers can acquire the property with no ABSD or SSD payable.

The EOI exercise for the property closes on 7 February 2024.

 

10. 18 Genting Road sold for $12 million

18 Genting Road, a freehold five-storey industrial development, has been sold for $12 million, revealed Savills.

Centrally situated within the Macpherson industrial estate, the B1 industrial development occupies a 5,700 sq ft site with a GFA of 11,749 sq ft. The property, surrounded by various amenities and food options, enjoys easy access to all parts of Singapore.

“We value the appointment by the seller in representing them and are delighted with the fruitful outcome. The valued partnership has inspired us to achieve the sale of 18 Genting with a win-win outcome for both the seller and buyer. Savills looks forward to continuing to provide valuable services to our clients,” said Sally Tan, Savills’ Managing Director for Commercial, Industrial & Logistics.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Private Home Prices Up 2.7% in Q4 2023, HDB Resale Prices Climb at a Slower Pace in Same Time Period, and More]]> https://www.propertyguru.com.sg/property-management-news/2024/1/210663/private-home-prices-up-2-7-in-q4-2023-hdb-resale-prices-climb-at-a-slower-pace-in-same-time-period-and-more www.propertyguru.com.sg:news:210663 Tue, 02 Jan 2024 09:12:19 +0800

27 December 2023 to 2 January 2024

Singapore saw prices of private homes increase by 2.7% in Q4 2023, following a 0.8% growth and 0.2% decline in Q3 and Q2 2023, respectively – showed flash estimates from the Urban Redevelopment Authority (URA). Meanwhile, prices of HDB resale flats increased by 1.0% in Q4 2023, marking its fifteenth consecutive quarterly growth.

 

1. Private home prices were up 2.7% in Q4 2023, bringing the full-year increase to 6.7%

Singapore saw prices of private homes increase 2.7% in the fourth quarter of 2023, following a 0.8% growth and 0.2% decline in Q3 and Q2 2023, respectively, showing flash estimates from URA.

“Price fluctuations across 2023 suggest that residential private property prices have close to peak,” said Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru.

The hike in Q4 brings the price gain for 2023 to 6.7%, slowing from the 8.6% increase seen in 2022.

In Q4 2023, prices for landed properties climbed 4.5%, while non-landed property prices rose 2.2%.

The Outside Central Region (OCR) registered the highest increase in non-landed property prices at 4.6%, while the Core Central Region (CCR) saw prices grow at 4.2%. Prices in the Rest of Central Region (RCR) declined by 1.2%.

Meanwhile, transaction volume dropped by about 27% quarter-on-quarter in Q4 2023, with Dr Tan attributing the slower transaction activity to the year-end school holidays.

Transaction volume for 2023 fell by around 15% year-on-year (YoY), making it the lowest annual transaction volume since 2016.

Looking ahead, Dr Tan Tee Khoon expects property prices to remain high yet stable during the first six months of 2024, while demand is projected to maintain a consistent upward trend.

Related article: Singapore Property Market 2024: What Can You Expect? Watch Our Webinar

 

2. HDB resale prices climb at a slower pace compared to previous quarters in Q4 2023

Prices of HDB resale flats increased by 1% in Q4 2023, marking its fifteenth consecutive quarterly growth.

However, the hike is lower than the 1.3% growth registered in Q3 2023 and the 2.5% average quarterly growth posted in 2022.

HDB’s Q4 2023 flash estimates showed that resale flat prices rose by 4.8% in 2023, significantly lower than the 10.4% hike in 2022.

Resale transaction volume fell 2.3% to 6,440 in Q4 2023, making it the lowest Q4 volume since 2020. For the whole year period up to 28 December 2023, resale volume also declined 3.8% to 26,628.

Dr Tan Tee Khoon noted that HDB resale price continued to be buoyant despite the drop in transaction volume “mainly due to the number of HDB resale flat sales that fetched seven figures”.

Notably, 128 million-dollar flats were transacted in Q4 2023, bringing the total number for 2023 to 464 units. This is higher compared to the 369 million-dollar flats transacted in 2022.

“That said, there are signs the market is likely to stabilise next year as the pace of price increase has slowed,” said Dr Tan.

Related article: Singapore Property Market Outlook 2024 Overview

 

3. Temporary closure of street soccer court at Bedok North Road sparks debate online

The closure of a street soccer court located at Block 422, Bedok North Road has sparked online debate, with some supporting the move while others bemoan the loss of “kampung spirit”, reported TODAY.

The temporary closure was announced by Tan Kiat How, Member of Parliament (MP) for East Coast GRC and Vice-chairman of East Coast Town Council, citing late-night disturbances from soccer court users.

Some netizens felt that the move was extreme, while others thanked the MP for addressing the noise issue. Some people lament the loss of “kampung spirit” and consideration for neighbours.

Meanwhile, Tan shared that the town council is exploring alternative uses for the space.

“As the residents’ profiles change, I can imagine that their needs may be different now, for example, wanting inter-generational space for them and their grandkids, exercise equipment for seniors, community garden,” he said.

“As People’s Action Party MPs, we always try our best to meet the needs of different groups of residents, across different life stages,” he added.

 

4. Roselane Court in Tanjong Katong is on sale again for $23 million

Roseland Court, a freehold residential development in Tanjong Katong is up again for sale by tender, with a guide price of $23 million, revealed exclusive marketing agent Knight Frank Singapore.

The development occupies a 1,119.9 sq m (12,054 sq ft) site that is zoned for “Residential” use under the 2019 Master Plan, with a gross plot ratio of 1.4.

The site could be redeveloped into a new development with 18 units averaging 85 sq m, subject to the relevant authorities’ approval.

Meanwhile, an adjoining private remnant land lot spanning 50.6 sq m (545 sq ft) may also be amalgamated with the plot, subject to the approval of authorities.

Knight Frank noted that the guide price works out to a land rate of about $1,320 per sq ft per plot ratio (PSF ppr), after taking into account the adjoining private remnant land, the land betterment charge and the 7% bonus gross floor area for balconies.

The tender for Roseland Court closes on 12 January 2024.

 

5. Over 950,000 HDB households to get U-Save, S&CC rebates in January 2024

About 950,000 HDB households will get U-Save and Service and Conservancy Charges (S&CC) rebates this month to help defray the 2024 GST hike, carbon tax, and water price, revealed the Ministry of Finance (MOF).

Notably, lower- to middle-income households will receive twice their regular U-Save rebates as well as an additional $20 in January 2024 to cushion the impact of the hike in their utility bills.

These additional rebates will be given quarterly from January 2024 to December 2025 as part of the $1.1 billion support package announced by Deputy Prime Minister and Minister for Finance Lawrence Wong in September 2023.

On average, the U-Save rebates for 2023 amounted to around eight to 10 months of utility bills for those living in 1-room and 2-room HDB flats, and around four to six months of utility bills for those living in 3-room and 4-room HDB flats.

MOF shared that eligible households will also get an additional 0.5 months of S&CC rebate in January 2024.

 

6. Son loses in a suit for his ‘share’ in $4 million home

The life story of a local rag-and-bone man is a testament to the adage of turning trash into treasure as the wealth he amassed from recycling enabled him to acquire four properties while raising 11 children, reported The Straits Times.

He started investing in property in the 1980s, choosing the unconventional strategy of placing the properties under the name of his children to secure longer loan tenures from banks.

Despite his meticulous financial management and legal planning, a dispute still arose over his most valuable property – a $4 million home within the Bartley estate.

After his death, one of the sons sued for a share of such a home even as he has been living and holding it in his name. This comes as he was not named as one of the beneficiaries of the house in his father’s will.

With this, the High Court ruled in favour of the estate, underscoring the father’s continued ownership of the house, which means the son had to vacate the premises.

Despite the conflict, the Judge noted that goodwill and familial bonds continued to exist among the siblings – far more important than legal victory.

 

7. Road Safety Community Park to get a facelift

The Singapore Police Force has revealed plans to upgrade the Road Safety Community Park, reported CNA.

Located at East Coast Park, the iconic park will be redeveloped and modernised in the coming years to adapt to the changing road and traffic environment.

“We plan to host families so that the children can learn road safety education alongside their parents and their grandparents,” shared Superintendent Jimmy Law, who serves as the Commanding Officer, Road Safety branch of the Traffic Police.

Details and timeline on the modernisation plan will be announced once relevant studies are completed, he said.

The Ministry of Home Affairs recently called for a tender on project management and consultancy services for the park’s redevelopment works.

The move comes as road accidents resulting in fatalities or injuries increased to 3,542 in 1H 2023 from 3,169 over the same period in 2022.

Despite its dilapidated state, the park continued to host numerous school visits and the annual Traffic Games.

Parents like Eric Ngiow expressed interest in participating in future programmes along with their children at the revamped park.

 

8. Government launches Industrial GLS for 1H 2024

The Ministry of Trade and Industry (MTI) has launched nine industrial sites, with a combined area of 13.75 ha, for the 1H 2024 Industrial Government Land Sales (IGLS) programme.

Five sites are offered under the Confirmed List, with a total area of 8.29 ha. The other four sites are on the Reserved List, totalling 5.46 ha.

Conditions of sale and tender submissions for one of the Confirmed List sites – namely, Plot 8 Jalan Papan – are estimated to be available by January 2024.

MTI noted that two Reserve List sites – the 2.18ha site at Tuas Road and the 0.72ha site at Jalan Papan – are also on the 2H 2023 Reserve List of the IGLS programme.

Notably, JTC will serve as the sales agent for all sites.

“The Government will continue to release sufficient land through the IGLS programme to ensure an adequate supply of industrial space in Singapore,” said MTI.

Related article: Government Land Sales (GLS) Programme Guide (Updated With GLS Sites for 1H2024 Singapore)

 

9. Prime office rents up 0.7% in Q4 2023

Prime Grade office rents within the Raffles Place/Marina Bay precinct climbed 0.7% quarter-on-quarter in Q4 2023, to average $11.13 PSF per month.

On an annual basis, rents increased 4.1%, moderating from the 5.5% hike seen over the same period last year.

Knight Frank noted that office rents steadily increased during H1 2023, before easing in the second half as companies prioritised operational stability and business continuity.

Meanwhile, occupancy levels within the Raffles Place/Marina Bay precinct remained high at 95.6% in Q4 2023. CBD occupancy was 94.6%, on par with the 94.4% registered in the previous quarter.

Knight Frank attributed the sturdy occupancy levels mainly to renewals and modest expansions since most businesses took a conservative stance during the quarter, balancing costs and revenues amidst a sluggish economy.

Knight Frank said that while 2024 “is expected to be better, the cautious optimism hangs in the balance with continued geo-political tensions and the risk of an escalation of military conflict in the Middle East.”

With most office occupiers likely to remain cautious in expanding, office rents are forecasted to grow more moderately at 1% to 3% for 2024.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Rental Occupancy Limit Raised Bigger HDB Flats and Private Homes, Tuas Set for Reclamation Works From 2025, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/12/210655/rental-occupancy-limit-raised-for-bigger-hdb-flats-and-private-homes-tuas-set-for-reclamation-works-from-2025-and-more www.propertyguru.com.sg:news:210655 Tue, 26 Dec 2023 07:51:03 +0800 Rental Occupancy Limit Raised Bigger HDB Flats and Private Homes, Tuas Set for Reclamation Works From 2025, and More
Rental Occupancy Limit Raised Bigger HDB Flats and Private Homes, Tuas Set for Reclamation Works From 2025, and More

19 to 26 December 2023

The occupancy cap for bigger HDB flats and private homes will be temporarily raised from six to eight unrelated people who are not from the same family unit from 22 January 2024 to 31 December 2026. Meanwhile, PropertyGuru expects buyers to purchase houses for their use to drive private residential sales in 2024.

 

1. Occupancy cap for HDB flats and private homes raised to meet rental demand

The occupancy cap for bigger HDB flats and private homes will be temporarily raised from six to eight unrelated people who are not from the same family unit from 22 January 2024 to 31 December 2026, revealed HDB and Urban Redevelopment Authority (URA) in a joint release.

The temporary measure is aimed at meeting rental demand as well as supporting households that plan to rent.

The higher occupancy cap will apply to 4-room and larger HDB flats and living quarters of HDB commercial properties wherein the living quarters are similar to or bigger than a 4-room flat.

It will also apply to larger private homes spanning at least 90 sq m.

Residential property owners who presently house up to six unrelated persons need to apply to URA and HDB – for private homes and HDB flats, respectively – to include additional occupants.

Meanwhile, analysts believe the move will only offer a short-term fix to stabilise the rental market, reported CNA.

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group, believes the impact on the rental market is “indeterminate”.

“On one hand, we may find more demand due to the increased affordability. On the other hand, the supply of listings may rise correspondingly. Asking rents for the whole unit may rise in the short term, even though each renter pays less. That said, we expect the impact to be limited to some segments of the market,” he said.

 

2. Owner-occupiers to drive private home market in 2024

PropertyGuru expects buyers to purchase houses for their use to drive private residential sales in 2024, reported Singapore Business Review.

In its latest Singapore Property Market Outlook 2024, PropertyGuru noted that the high interest rate environment and slew of property cooling measures in 2023 have dampened sales activity within the private home market this year, leading to slower price increases.

With this, it expects sales activity within the private home market to dip further next year, while prices remain steady amid the challenging economic landscape.

PropertyGuru sees owner-occupiers dominating the private home market, with some rich investors continuing to beef up their portfolios.

“Singapore’s real estate is traditionally viewed as a resilient investment. Given this perspective, the prevailing uncertainty could inspire more individuals to engage in the property market, provided their financial positions permit,” said Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru.

“There is also a belief that even if property prices moderate in the short term, the pricing rebound could be much faster and higher when economic conditions improve,” he added.

PropertyGuru expects prices to remain high yet stable and demand subdued during the first six months of 2024. It pointed out that any downturn in demand and prices should be contained, barring unforeseen black swan events.

 

3. Government eyes to build new funeral and columbarium complex in Mandai

The government plans to build a new funeral and columbarium complex near the existing Mandai Columbarium to address the anticipated increase in demand for after-death facilities, reported CNA.

The project will be located at the intersection of Sembawang Road and Mandai Avenue.

The National Environment Agency (NEA) will conduct an environmental impact assessment and feasibility study before the development plans for the project are finalised.

“This Mandai Avenue site was selected following consultations with agencies, covering factors such as the required site area for such a multi-use facility with a columbarium and different types of funeral services, development plans for the surrounding area, traffic impact and impact on surrounding developments,” said NEA.

There are three government-operated columbaria in Singapore – in Yishun, Mandai, and Choa Chu Kang – and other private columbaria.

NEA noted that the Yishun facility is at full capacity, while the Mandai facility is nearing its capacity.

Meanwhile, residents along Sembawang Road are concerned that the proposed columbarium complex may lead to a decline in property prices as well as hamper the en bloc sale of Hong Heng Mansions, reported TODAY.

 

4. People’s Park Complex may be subject to conservation

People’s Park Complex, Southeast Asia’s first mixed-use development, may be considered for conservation given its high heritage significance, reported CNA citing the Urban Redevelopment Authority (URA).

With this, the collective sales effort for the 31-storey development should take into account the conservation study as well as its findings, said a spokesperson for URA.

Anna Tan, Business Development Director of Tag Realty, the sales agent, said it has been in talks with URA regarding the conservation plans.

“We firmly believe that a synergistic approach with URA not only safeguards the heritage of People’s Park Complex but also makes a positive contribution to the overarching development objectives for the central region, creating enhanced opportunities for potential buyers,” she said.

Non-profit group Docomomo Singapore lauded the move but said the plan could affect the development’s collective sales in terms of sales conditions since the building can no longer be demolished.

However, it pointed out that the successful collective sale of Golden Mile Complex – the conservation of which came with various incentives for buyers – showed that conservation and rejuvenation need not be exclusive of each other.

 

5. BTO projects near Pasir Ris Park may drive away wildlife

Nature lovers and photographers are concerned that an upcoming BTO project near the Pasir Ris Park will drive away wildlife, reported TODAY.

They fear construction noise and lights may disturb the wildlife and never return to the area.

The BTO project will take up Pasir Ris Park Car Park B’s present site and the forested area right beside it.

However, HDB assured that an environmental management plan will be implemented to minimise the impact on surrounding flora and fauna. Notably, a wooded corridor of up to 50m will be put up to serve as a buffer between the park and the BTO project.

A management plan will also be set in place to monitor the noise level in real-time, while suitable hoardings with lighting will be put up for security.

While some photographers feel that the situation is unfortunate, they note that developing the area is unavoidable since the people need houses.

“So, we have to do it, there is no choice, it’s a small country,” said 71-year-old Thomas Lee, who has been taking nature photos in the area for around seven years.

 

6. Residents at two condominiums are up in arms over the maintenance fee hike

Residents at two more condominiums are up in arms over the significantly higher maintenance fees than what was advertised, reported CNA.

It was previously reported that owners at Dairy Farm Residences complained that their maintenance fees were double what they had expected to pay. Thereafter, the developer cut the fees by around 40%.

Maintenance charges for a two-bedroom unit at Parc Komo were initially marketed at $392 per month, but residents ended up paying $646.

At the Essence condominium, the maintenance fee for a two-bedroom unit was marketed at $300 but was raised to over $500.

“For a 2-room (unit), to pay such a high maintenance is like buying a luxury condo,” said a Parc Komo resident, who declined to be named.

Residents at the Essence, on the other hand, described the higher charges as exorbitant and disproportionate to the facilities offered. They added that the fees are unsustainable.

Residents at both developments have formed groups to negotiate with developers. Parc Komo and Essence were developed by CEL Development and Chong Kuo Development, respectively.

However, the developers failed to provide a satisfactory explanation for the steep hike in charges.

 

7. The influx of international students fuels the housing demand

The rise in international students coming to Singapore has driven demand for housing, making it harder for such students to secure affordable accommodation, reported CNA.

Lester Jiang, Managing Partner at SagePaths Global Education, which serves as a bridge between these students and Singapore educational institutions, noted that the number of overseas students has increased by 20% to 30% from last year.

With this, landlords have been raising rental prices. Notably, renters are now paying 20% to 40% more compared to May 2023, said DS Homestay owner Dennis Nah. His company matches international students with homeowners who are renting out their units.

EVO House, which offers overseas student accommodation, has also increased its rent, resulting in a drop in client numbers. This comes as students have turned to cheaper alternatives such as HDB flats or student dormitories.

“We do feel the heat of the competition because the cost can be half of our costs because they don’t provide the common area like what we provide for our students,” said EVO House Group President Joice Yanto.

With the increased demand expected to continue for two more years, EVO House plans to acquire an entire building for a dormitory that could house 800 to 1,000 individuals, while DS Homestay targets to double its capacity.

 

8. Man sues condo management for denying a request to install zip blinds

A man has filed a case against the management corporation of Stevens Loft after it denied his request to install zip blinds on the balconies of his top-floor unit.

However, the district court ruled in favour of the condo management, reported CNA. The High Court also dismissed his application to appeal the district court’s decision.

Occupying the building’s fourth and fifth floors, Soo Hoo Khoon Peng wanted to install Renson Fixscreen, a brand of zip blinds.

However, his request was denied by the condo management citing uniformity issues and usage of common property.

Soo Hoo argued that while installing the blinds would amount to exclusive use of common property, he pointed out that a by-law entitles him to install a screen or any other device to prevent insects or animals from entering his lot or to prevent harm to children.

The district judge ruled that installing zip blinds at the balconies would amount to exclusive enjoyment of common property, which requires 90% resolution at a general meeting.

While District Judge Sim Mei Ling acknowledged the insect-repelling qualities of the zip blinds, she was not convinced that they would prevent children from falling over the balcony.

 

9. Sin Thai Hin Development acquires Sophia Road site for $33,588,000

A residential redevelopment site located at 132 Sophia Road has been sold for $33,588,000 to Sin Thai Hin Development, after the close of the tender for such site on 29 November, reported Singapore Business Review.

Including a nominal land better charge, the sale price works out to a land rate of about $1,172 per sq ft per plot ratio (PSF ppr), revealed exclusive marketing agent Knight Frank.

Zoned for “Residential” use under the 2019 Master Plan, the property spans 1,280.5 sq m or 13,783 sq ft, with a gross plot ratio of 2.1.

The buyer is a boutique developer and investment firm that has developed and invested in hospitality, healthcare, residential and commercial office properties.

 

10. Melrose Drive house on sale for $16.8 million

A detached house located on Melrose Drive in Serangoon has been put up for sale with a guide price of $16.8 million.

This translates to $1,185 PSF based on a land area of 14,175 sq ft, revealed marketing agent PropNex Realty.

With a 40m frontage to Melrose Drive, the freehold property is zoned for two-storey bungalows and residential use under the 2019 Master Plan.

PropNex noted that the District 13 site can be redeveloped into two detached homes, subject to the approval of relevant authorities.

“As the land area is less than 1,400 sq m, Singapore permanent residents with approval from the Land Dealings Approval Unit (LDAU) to acquire restricted residential property are eligible to purchase the said Melrose Drive property,” said Tracy Goh, Capital Markets Head at PropNex.

The tender for the detached house closes on 16 January 2024.

Related article: URA Space: Learn to Read Singapore’s URA Master Plan in 4 Easy Steps (2023)

 

11. Justin Quek named CEO of OrangeTee & Tie

orangetee-tie-justin-quek-ceo

Real estate veteran Justin Quek has been appointed as Chief Executive Officer of OrangeTee & Tie, succeeding Steven Tan, who will move on to lead the international business and remain as Key Executive Officer.

Currently serving as Deputy CEO, Quek will take on the CEO role on 1 January 2024.

As a Deputy CEO, Quek spearheaded multiple initiatives, including the Consumer Insider Series aimed at helping clients navigate the property landscape as well as the Luxe by OrangeTee to help agents become well-versed in serving the High-Net-Worth Individuals (HNWI) clientele.

“We are confident that his vibrant energy, fresh perspectives, real estate expertise and business acumen, coupled with OrangeTee’s longstanding ethos of trust and relationship-building, will bring the agency to greater heights,” said Tan.

 

12. Tuas set for reclamation works from 2025

JTC has revealed plans to reclaim 172ha of land in Tuas for industrial use, with the reclamation works set to start in 2025 and be completed by 2029, reported The Straits Times.

It explained that the project will meet land demand “for future industrial uses as part of ongoing plans to rejuvenate the older parts of Jurong and Tuas Industrial Estates, which were developed in the 1960s and 1970s”.

JTC said the reclamation project will also facilitate road network connections to Tuas South as well as Tuas Port, which is set to be fully completed by the 2040s.

Notably, the reclamation project will see the National Environment Agency (NEA) and JTC pilot the use of incineration bottom ash as a reclamation fill. The move is part of efforts to reduce incineration waste entering or removing such waste from Singapore’s only landfill – the Semakau Landfill.

Meanwhile, the tender for the industrial site located at 11 Tuas Avenue 18 has been awarded to Nishio Rent All Singapore, after it submitted a bid of $3.2 million, said JTC.

Zoned for Business 2 use, the site has an area of 3,999.9 sq m and a gross plot ratio of 1.4.

Related article: Government Land Sales (GLS) Programme Guide (Updated With GLS Sites for 1H2024 Singapore)

 

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[NTU, NUS Students Continue to Sublet Hostel Rooms on Social Media, Heightened Interest for JB Properties, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/12/210630/ntu-nus-students-continue-to-sublet-hostel-rooms-on-social-media-heightened-interest-for-jb-properties-and-more www.propertyguru.com.sg:news:210630 Mon, 18 Dec 2023 06:20:27 +0800 NTU, NUS Students Continue to Sublet Hostel Rooms on Social Media, Heightened Interest for JB Properties, and More
NTU, NUS Students Continue to Sublet Hostel Rooms on Social Media, Heightened Interest for JB Properties, and More

12 to 18 December 2023

Buyers of Singapore’s first assisted living flats in Bukit Batok will have to wait longer for their homes after the project’s main contractor has been terminated by HDB due to unsatisfactory site progress. Meanwhile, new private home sales surged in November 2023, with developers selling 784 units, up 286% from the 203 units shifted in October 2023.

 

1. Assisted living flats in Bukit Batok delayed after HDB fires contractor

Buyers of Singapore’s first assisted living flats in Bukit Batok will have to wait longer for their homes after the project’s main contractor has been terminated by HDB due to unsatisfactory site progress, reported CNA.

Known as Community Care Apartments, the flats in Harmony Village @ Bukit Batok will be delayed by around three to four months to September or October 2024.

HDB terminated JSN Construction Group, the project’s main contractor, on 9 January 2023 and appointed QingJian International (South Pacific) Group Development Co as the new contractor on 14 February 2023, leading to a delay of almost two months.

Despite efforts to speed up the process with the deployment of more machinery, additional subcontractors, and continuing quieter construction works after office hours and on weekends, challenges persisted.

“For example, as the work site is situated close to existing residential areas, the allowable working hours for noisy construction works (drilling and jackhammering) are limited, and some of these works will require more time,” explained HDB.

It noted that buyers of such flats have been informed of the delay on 8 November 2023.

 

2. New private home sales soared 286% in November 2023

New private home sales surged in November 2023, with developers selling 784 units, up 286% from the 203 units shifted in October 2023, reported CNA citing Urban Redevelopment Authority (URA) data.

On an annual basis, the figure was also 202% higher than the 260 units transacted in November 2022.

“November’s sales tally is the highest in four months since 1,413 new units (excluding executive condominiums) were sold in July,” said PropNex Realty.

Analysts attributed the hike in sales mainly to the launch of three major private home projects – Hillock Green, J’den, and Watten House.

November saw the launch of 970 private home units, way higher compared to October’s 54 units.

Accounting for 97% of the units launched, the three major projects also accounted for around 73% (570 units) of the total units sold in November 2023.

Looking ahead, PropNex expects December 2023’s new home sales to be lower than November’s volume, with sales for the full year 2023 coming in at about 6,500 to 7,000 units – the slowest annual developer sales since 2008 when only 4,264 units were sold.

 

3. Woodlands and Bishan projects most popular among first-timers in the December 2023 BTO sales exercise

Projects in Woodlands and Bishan emerged as the most popular among flat applicants during the December 2023 BTO sales exercise, reported CNA.

More than seven applicants were vying for each 5-room BTO flat at Urban Rise @ Woodlands.

Analysts attributed the high application rates for the Woodlands projects to their proximity to transport nodes and other amenities.

Aside from the projects in Woodlands and Bishan, demand for the other projects was muted. The 6,057 flats offered in the December 2023 BTO sales exercise attracted a total of 13,411 applicants, which works out to an application rate of 2.2.

HDB noted that 3-room or bigger flats registered a median first-timer application rate of 0.8 in December, which was significantly lower than the 2 to 6.8 median application rates seen during the pandemic.

The projects under the Prime Location Housing (PLH) model saw tepid interest for the 3-room flats, while 4-room flats received more demand, with application rates of 1.35 for those in Queenstown and 1.44 for Bukit Merah units.

In contrast, the project in Bishan received substantial interest due to its short waiting time of less than three years and central location.

Related article: HDB BTO Dec 2023 Woodlands Review: Two Sites Next to Woodlands MRT Station

 

4. Grocery trucks and vending machines to serve Tengah residents as part of interim measures

Residents in Tengah can now buy food and daily necessities at a mobile grocery truck as well as vending machines set up by the HDB within the estate as part of interim measures to improve convenience while facilities are being built, reported CNA.

Amenities such as food courts, shops, and a supermarket in Singapore’s newest town are expected to be ready by H2 2024.

Open from 3pm to 8pm, the mobile grocery truck offers staples and essential items such as rice, bread, fresh produce, milk, instant and canned foods, toiletries, and household goods.

It is situated at the Plantation Acres neighbourhood on Wednesdays and Fridays and at Plantation Grange on Thursdays.

Meanwhile, several vending machines at Block 111A in Plantation Acres sell beverages, cut fruit and snacks as well as halal food items such as nasi rending and nasi lemak.

Residents welcomed the interim measures, with some hoping that the grocery truck could have more variety and longer operating hours.

“We thank residents for their understanding and patience, as we continue rolling out amenities and infrastructure in and around Tengah to better serve their needs,” said HDB.

Related article: Jurong Lake District, Tengah: 4 Most Exciting Features Coming to the West Side of Singapore By 2033

 

5. Singapore closing in on Hong Kong in property deals

Singapore is catching up with Hong Kong on real estate deals, registering 96 entity-level property transactions across sectors such as residential, office, and hotels so far this year, while Hong Kong had 107, reported Bloomberg.

MSCI Real Estate Assets data showed that property deals in Hong Kong declined by 62% from 2021, while Singapore managed to sustain activity despite high borrowing costs.

The transactions mirror the trend which saw Singapore attract wealth and talent, resulting in robust demand for offices, rising home prices and surging rents. In contrast, Hong Kong has been plagued by a prolonged property slump, particularly in the office sector, due to pandemic restrictions, China’s economic challenges, and geopolitical tensions.

Benjamin Chow, Head of Asia Real Assets Research at MSCI, said a lot more Hong Kong assets were traded at losses this year, while a majority of Singaporean assets continue to register strong capital growth.

Notable deals include the distressed sale of Hong Kong’s Goldin Financial Global Center, which was sold at a significant discount versus the divestment of Changi City Point in Singapore, which saw an 11% premium to acquisition price and a 4.3% yield.

 

6. NTU and NUS students continue to sublet hostel rooms

The appearance of advertisements for university campus accommodation on social media platforms and online marketplaces like WeChat and Carousell has once again placed the practice of subletting rooms back into the limelight, reported The Straits Times.

Nanyang Technological University (NTU) hostel rooms were offered for long- and short-term rentals at a price almost double what the university charges.

The practice continues even as the universities have warned of serious consequences, including bans from on-campus housing or termination of scholarships.

Students said the practice persists due to the limited availability of rooms and a desire to experience life within halls of residence.

Other reasons cited by former students at the National University of Singapore (NUS) include wanting to stay on campus without being obliged to participate in hall activities. They explained that sublets usually occur among friends or acquaintances rather than with strangers.

Meanwhile, university officials warned students against subletting, noting that the disciplinary action applies to those who sublet as well as to those who stay in hostels without authorisation.

Aside from regular patrols and checks, NTU also stressed the need for students to report such activities, while encouraging residents who no longer require on-campus housing to withdraw to accommodate eligible students.

 

7. Heightened interest for JB properties amid visible progress at RTS Link

While Johor Bahru’s Princess Cove condominium sold 30% of its nearly 3,800 units in 2018, the sales momentum lost traction when the COVID-19 pandemic struck, reported The Straits Times.

However, a surge in interest was observed in 2023, particularly from April to September 2023, when transactions grew five times over the same period in 2022, said Xu Jie, Deputy General Manager at R&F.

He attributed the heightened interest to the visible progress of the Rapid Transit System (RTS) Link.

The 4km rail shuttle service, expected to be ready by end-2026, can accommodate 10,000 passengers per hour in each direction between Singapore’s Woodlands North MRT station and Johor Bahru’s Bukit Chagar.

Xu revealed that Singaporeans account for about 40% of Princess Cove buyers, with the next biggest groups of buyers coming from Malaysia, China and Taiwan.

Other projects near the RTS station such as MBW City as well as SKS Group’s TriTower and Twin Tower also registered increased interest and sales.

 

8. Fallen windows from buildings up in 2023, BCA urges homeowners to check and maintain windows

The number of fallen windows from buildings has increased to 35 cases in the first 11 months of 2023, up from 33 cases in 2022, reported TODAY.

Of the total cases this year, 19 cases involved casement windows, 15 were sliding windows and one involved louvre windows, said the Building and Construction Authority (BCA) and HDB in a joint release.

They noted that no injuries were reported during these incidents.

Investigations by BCA showed that fallen casement windows were mainly caused by the weakening and corrosion of aluminium rivets, while the fallen sliding windows were due to the lack of proper angle strips and safety stoppers.

BCA urged owners and occupiers to check and maintain their windows at least once every six months.

Owners who fail to replace aluminium rivets in their casement windows with stainless steel rivets, as mandated by BCA since 2004, could face fines of up to $5,000 or imprisonment of up to six months.

Meanwhile, owners of windows that fall from height due to lack of maintenance could be fined by up to $10,000 or be imprisoned for up to a year, or both.

 

9. Drop in EP holders impacts demand for private homes in 2H 2023

Huttons noted that the decline in the growth of employment pass (EP) holders within the city-state have led to slower demand for private homes in the second half of 2023, reported Singapore Business Review.

The number of EP holders in Singapore has grown only by 10,000 as of June 2023.

“With tepid growth for the rest of 2023, it is highly unlikely that the increase in the number of EP holders in 2023 will come close to 2022’s 25,600,” said Huttons.

Aside from the sluggish growth in EP holders, the lower tenant demand for private homes was also attributed to last year’s significant increase in rents at nearly 30%.

The hike displaced some tenants, with some EP holders turning to more affordable accommodations such as HDB flats and co-living spaces.

“Some EP holders who have the luxury of working anywhere have chosen to be digital nomads, moving to places such as Johor Bahru, Batam or even Bali,” said Huttons.

 

10. At least $1.8 million was lost in a rental scam involving fake property agents

Singapore police said at least 287 individuals have fallen victim to rental scams that involved fake property agents from July to November 2023, resulting in total losses of at least $1.8 million, reported CNA.

The scam sees fake property agents pressuring victims into making payments to view or rent properties.

Victims usually responded to sponsored rental listings on online platforms such as Carousell and Facebook and interacted with the scammers via WhatsApp.

Pretending to be registered with the Council for Estate Agencies (CEA), the scammers would convince the victims by sending photos of their business cards, and CEA registration numbers as well as virtual tours or pictures of the rental property.

The scammers would then tell victims of the high demand for the property, pressuring the victims to make deposits to secure the rent.

In some cases, the agents’ “personal assistants” would facilitate the property viewing, only to disappear once rental payment has been made via bank transfers or PayNow.

This scam variant has seen at least 77 victims between July and November 2023, resulting in $473,000 in total losses.

With this, the police warned against relying solely on Facebook or Carousell listings and urged the public to cross-check the advertised phone number on the CEA public register to verify the agent’s legitimacy.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[The HDB BTO Dec 2023 Sales Exercise Has Launched, West Coast MRT Station Construction to Start in Q1 2024, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/12/210604/the-hdb-bto-dec-2023-sales-exercise-has-launched-west-coast-mrt-station-construction-to-start-in-q1-2024-and-more www.propertyguru.com.sg:news:210604 Tue, 12 Dec 2023 01:49:59 +0800 The HDB BTO Dec 2023 Sales Exercise Has Launched, West Coast MRT Station Construction to Start in Q1 2024, and More
The HDB BTO Dec 2023 Sales Exercise Has Launched, West Coast MRT Station Construction to Start in Q1 2024, and More

5 to 11 December 2023

With the Singapore Interbank Offered Rate (SIBOR) set to be discontinued by end-2024, around 30,000 homeowners with mortgages tied to SIBOR have already switched to alternative loan packages. Meanwhile, HDB launched 6,057 HDB BTO Dec 2023 flats across seven estates: Bedok, Bishan, Bukit Merah, Bukit Panjang, Jurong West, Queenstown, and Woodlands.

 

1. Many homeowners with SIBOR mortgages have yet to transition to SORA

With SIBOR set to be discontinued by end-2024, around 30,000 homeowners with mortgages tied to Sibor have already switched to alternative loan packages, reported The Straits Times.

However, about 57,000 mortgages remain on SIBOR-based loans, according to the Association of Banks in Singapore (ABS).

Notably, the Singapore Overnight Rate Average (SORA) will replace SIBOR as the main reference rate for floating-rate mortgages.

Homeowners who are still on Sibor-based loans have until the end of April 2024 to switch loan packages. During this “active transition period”, they could opt for a SORA conversion package (SCP) or any prevailing floating, fixed or hybrid – which is a mix of floating and fixed rate home loan packages.

Those who refinance their loans with another bank will face a re-computation of their loan limits and potential fees.

Those who fail to convert their loan by the end of April 2024 will be automatically moved to SCP in June, with the SCP calculated based on their current SIBOR loan margin, the three-month compounded SORA rate as well as an adjustment spread based on a five-year historical median.

Related article: SIBOR to SORA Transition: Why You Should Act Now

 

2. HDB launches 6,057 flats for December 2023 BTO exercise

HDB launched 6,057 BTO flats for sale across eight projects in Bedok, Bukit Merah, Bishan, Bukit Panjang, Queenstown, Jurong West, and Woodlands.

Four projects, or around 50% of the flats offered, will have a wait time of four years or less.

Flats at Sin Ming Residences in Bishan, for instance, have a wait time of around two years and eight months.

Meanwhile, two projects – Ulu Pandan Vista in Queenstown and Alexandra Peaks in Bukit Merah – are under the Prime Location Public Housing (PLH) model.

HDB announced that the subsidies for such projects would be increased amid the rising prices in the resale market.

“Consequently, for fairness, the subsidy recovery rate for these two projects will be set at 8%, to be commensurate with the extent of the additional subsidies provided. Owners of these flats will have to return 8% of the resale price or valuation (whichever is higher), upon the sale of their flats,” said HDB.

It shared that 20% of the PLH flats will be set aside for first-timer family applicants, while 2% will be for second-timer family applicants under the Married Child Priority Scheme.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

3. Government bumps up private housing supply on Confirmed List of the Government Land Sales (GLS) Programme 1H2024

The government has ramped up the supply of private housing under the Confirmed List from 5,160 units in GLS programme 2H2023 to 5,450 units, including 710 executive condominiums (ECs) and 515 long-stay serviced apartments, for 1H2024.

It is the highest supply on the Confirmed List since 2H 2013’s 5,960 units, said the Ministry of National Development (MND).

Notably, there are 10 sites under the Confirmed List – nine private residential sites as well as commercial and residential sites. The residential sites include an EC site and a long-stay serviced apartment site.

The Reserve List, on the other hand, comprises six private residential sites, a commercial site, a White site and a hotel site. The residential sites include two EC sites and a site “with a mandatory long-stay serviced apartments component”.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru, expects the sites for serviced apartments to be popular among developers in areas with high rental demand given the business catchment.

“Besides anticipating a future pandemic that could curtail housing supply when completions are delayed, and runaway rents make a comeback, the government appears to be providing for foreign demand of rental accommodation into the future now that cross-border employment and talent mobility become active again,” he said.

He believes the sites also “allow developers to diversify property development risks and may even benefit from economies of scale when building common facilities”.

Overall, the GLS 1H024 sites can yield around 8,910 private homes, 530 hotel rooms, and 107,750 sq m GFA of commercial space.

 

4. Young renters to choose a new class of serviced apartments depending on the cost

While young potential renters are excited about the new class of serviced apartments, they noted that their decision to choose such spaces would depend on the cost.

Individuals aged 24 to 28 told TODAY their reasons for renting – seeking independence from parents but unable to afford their place, waiting to complete their BTO flat or needing short-term accommodation during home renovations.

Martin Layar hopes the prices for the new serviced apartments will be reasonable given that it is a pilot project. The 26-year-old management trainee added that he would only consider renting such space in “exceptional circumstances”.

Deena Anwar, on the other hand, would consider renting such space depending on the rental price and pet policies.

Some shared that they are open to paying more for the flexibility of a shorter lease, particularly if it is in a choice location.

Meanwhile, analysts expect the new category of service apartments to be more appealing to those in need of transitional housing.

Looking ahead, they expect the new long-stay serviced apartments to ease future demand within the rental market.

But with only two pilot locations now, ERA Singapore Key Executive Officer Eugene Lim said the impact would not be significant as yet.

 

5. URA releases four sites at Zion Road, Upper Thomson Road

Four residential sites at Zion Road (Parcels A and B) and Upper Thomson Road (Parcels A and B) have been released for sale under the 2H 2023 Government Land Sales (GLS) programme, announced by the Urban Redevelopment Authority (URA).

The sites at Upper Thomson Road (Parcels A and B) and Zion Road (Parcel A) were launched for sale under the Confirmed List, while the remaining site at Zion Road (Parcel B) was offered for application under the Reserve List.

Notably, the two Confirmed List sites at Zion Road (Parcel A) and Thomson Road (Parcel A) are expected to yield 1,275 residential units as well as 535 long-stay serviced apartments.

This new category of serviced apartments – with a minimum stay requirement of three months – will “expand the range of housing options available” and ensure serviced apartments can cater to the demand for longer stays.

The tenders for Zion Road (Parcel A) and Upper Thomson Road (Parcel B) sizes will close on 4 April 2024, while that for Upper Thomson Road (Parcel A) will close on 19 June 2024.

 

6. Developers to be more cautious in bidding amid ramped-up supply

Property analysts expect developers to take on a more cautious stance when bidding for the 10 GLS sites that are set for launch in 1H2024, reported Singapore Business Review.

Wong Xian Yang, Cushman & Wakefield’s Research Head for Singapore and Southeast Asia, does not expect the expanded pool of sites to have an immediate effect on private home prices given that the projects will only enter the market in 2026.

However, he believes it would help temper demand from homebuyers and builders, keeping the housing market stable.

The increased number of launches will make buyers more selective and sensitive to pricing amid the high interest rate environment. With this, developers might focus on small to medium-sized sites with less competition in the future.

 

7. Landlords to see lower rental income amidst property tax hike

Investors eyeing private residential properties for rental income may face challenges once the property tax hike kicks in next year reported Singapore Business Review.

The hike is expected to affect investment properties and bigger homes.

“For investment properties, the impact is expected to be greater for luxury condos and landed properties, as the tax increase tends to be higher for these categories of properties,” said OrangeTee.

It noted that the hike in property taxes along with high ABSD rates, increased interest rates and maintenance expenses could lead to heightened investment costs.

Passing such costs to tenants may prove difficult amid the tighter competition for tenants.

As such, the property tax hike will likely reduce landlords’ rental income.

However, investors looking for long-term capital appreciation “may look beyond the tax increases and factor these additional costs into their future sales price”, said OrangeTee.

Meanwhile, OrangeTee believes the tax hike will help prevent property prices from rising further.

This comes as buyers may opt for smaller homes to mitigate tax and costs. With buyers becoming more cost-conscious, developers may in turn become more cautious in bidding for land, preventing land bid prices from rising further.

Related article: Property Tax Singapore: Property Tax Calculator for HDB Flats and Private Properties (2023)

 

8. Construction works for West Coast MRT station to start in Q1 2024

Construction works for the West Coast MRT station on the Cross Island Line (CRL) will start in the first quarter of 2024, revealed the Land Transport Authority (LTA).

Notably, the $510 million contract to design and build the MRT station was awarded to Gamuda Berhad Singapore Branch.

LTA expects the works for the underground station along West Coast Road to be challenging, due to the mixed ground conditions at the site, which include hard sedimentary rocks and soft marine clay.

Given the stations’ proximity to existing infrastructure such as commercial and residential buildings, “necessary traffic and utilities diversion works will be implemented in phases to mitigate the impact to residents and other stakeholders,” said LTA.

West Coast MRT station is part of CRL Phase 2, which is expected to commence passenger service in 2032.

 

9. Condo maintenance fees to rise further amid higher costs

Maintenance fees in private condominiums have steadily increased over the last decade, with the upward trend likely to continue amid rising materials, labour and utilities costs and overall inflation, reported The Business Times.

Singapore homeowners have seen the fees increase by up to 30%, reaching as high as $2,000 per month at some older luxury condos.

These fees cover the upkeep of common areas and facilities such as swimming pools, landscape greenery, fitness facilities and security.

The hike in fees is attributed to various factors including increased labour and material costs, higher-priced contracts for cleaning, landscape and security services as well as higher water and electricity tariffs. The implementation of the progressive wage model (PWM), which raises wages in certain lower-wage sectors, also contributes to the expected increase in fees.

While bigger developments generally charge lower fees since more units are sharing the cost, inflationary pressures and the maintenance of specialised facilities continue to push fees upwards.

 

10. Three sisters took younger brother to court over property left by father

Three sisters took legal action against their younger brother after their father died, leaving the brother as the sole surviving joint tenant of a property used to operate the family’s hardware business, reported CNA.

The brother claimed that as his father’s favoured child, he had sole ownership of the property. The sisters, on the other hand, wanted the property’s net sale proceeds to be equally divided among the four siblings.

The court ruled in favour of the sisters, pointing out that the property was meant to be equally shared among the siblings.

The judge relied on circumstantial evidence, including the mother’s will in which she equally divided her state among the four children.

The judge accepted the arguments of the sisters that the father named the son as a joint tenant so that he could secure favourable terms for the loan. This comes as the son had a stable job with a high income at the time.

With this, the son was ordered to pay his sisters’ legal costs.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Up to 100% Property Tax Hike in 2024, Updates on the HDB BTO Dec 2023 Launch, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/12/210578/up-to-100-property-tax-hike-in-2024-updates-on-the-hdb-bto-dec-2023-launch-and-more www.propertyguru.com.sg:news:210578 Mon, 04 Dec 2023 10:03:53 +0800 Up to 100% Property Tax Hike in 2024, Updates on the HDB BTO Dec 2023 Launch, and More
Up to 100% Property Tax Hike in 2024, Updates on the HDB BTO Dec 2023 Launch, and More

28 November to 4 December 2023

The government will hand out a one-off property tax rebate of up to 100% for owner-occupied homes next year to cushion the expected hike in property taxes. Meanwhile, Singapore will embark on a decades-long project to integrate coastal protection with future reclamation along its east coast.

 

1. Government to give a one-off rebate to cushion the impact of the 2024 property tax hike

The government will hand out a one-off property tax rebate of up to 100% for owner-occupied homes next year to cushion the expected hike in property taxes, reported CNA.

Property taxes will increase as annual values and market rents for most residential properties have gone up, while property tax rates for higher-value private homes have also increased, said the Inland Revenue Authority of Singapore (IRAS) and the Ministry of Finance (MOF).

They noted that the rebate will be tiered “to ensure that our property tax regime remains progressive, and those with greater means pay their fair share of taxes”.

With this, there would still be no property tax payable for owner-occupiers of 1-room and 2-room HDB flats.

Owner-occupiers of other HDB flat types and private homes will see their rebate being automatically offset against their property tax payable

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group said, “Without the one-off rebate, HDB flat owners and owner-occupiers of (lower-value) private homes will likely see a steep increase in property tax”, reported The Straits Times.

The government will also adjust the eligibility limits for social support schemes to address the impact of rising rents and ensure continued support for Singaporeans with greater needs, reported TODAY.

This comes as these social support schemes, which include the Goods and Services Tax (GST) Vouchers and MediShield Life insurance premium subsidies, consider factors such as the annual value of residential properties and income.

Related article: Property Tax Singapore: Property Tax Calculator for HDB Flats and Private Properties (2023)

 

2. Singapore to reclaim land to create “Long Island” off East Coast

Singapore will embark on a decades-long project to integrate coastal protection with future reclamation along its east coast, reported CNA.

The proposed “Long Island” concept involves reclaiming 800ha of land, about twice the size of Marina Bay, creating an enclosed waterbody that would be transformed into a freshwater reservoir.

National Development Minister Desmond Lee said technical studies into the “Long Island” concept will be carried out over the next five years.

“The concept of Long Island is to project coastal protection seawards, by reclaiming three new tracts of land, at a higher level, away from the current coastline. This will allow us to retain the existing East Coast Park, largely as it is,” explained the minister.

The studies will involve extensive environmental and engineering studies that will assess the feasibility of the reclamation concept as well as explore cost-effective nature-based solutions.

Meanwhile, analysts expect a mix of private and public properties to be built on the Long Island reclaimed site, said CNA.

Dr Lee Nai Jia, however, expects the government to impose some height limit on the developments, taking into account the skyline and not adversely affecting the sea views, which makes the residential area there attractive, said TODAY.

Related article: Bayshore BTO 2024 Projects, Airport Terminal 5, and More: How the East of Singapore is Redeveloping

 

3. Singapore to roll out ‘long-stay’ serviced apartments

Minister for National Development Desmond Lee announced that a new category of serviced apartments, which require a longer minimum stay of three months, will be rolled out to better address rental demand, reported The Business Times.

Currently, tenants in serviced apartments are required to stay for a minimum of seven days.

The new category will be piloted at two state land sites – in Zion Road and Upper Thomson Road – featuring around 535 units. The sites are set to be offered for sale in December under the Confirmed List of the Government Land Sales (GLS) programme H2 2023.

“Should this testbed of two pilot serviced apartment GLS sites prove relevant for the domestic market and foreign professionals working in Singapore, then more sites will likely be released to cater for a more “build-to-rent” model moving forward, bringing equilibrium and stability to the leasing market,” said Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru.

Meanwhile, Dr Lee Nai Jia, said the pilot run is timely given the evolving work arrangements.

“The rise of digital nomads and the competition for global talents mean that a sustainable supply of rentable homes is needed.”

 

4. 250 assisted living flats in Bedok to be offered in December 2023 BTO exercise

About 250 assisted living flats or Community Care Apartments (CCA) in the Bedok December BTO 2023 exercise, reported CNA.

Aimed at supporting seniors to age independently within the community, the 32 sq m flats will be part of the Chai Chee Green development, boasting senior-friendly features such as wheelchair-friendly main doors and bathrooms, which also come with slip-resistant flooring and grab bars.

Residents at these apartments will subscribe to a Basic Service Package, that includes basic health checks as well as 24-hour emergency monitoring and response.

Notably, the Bedok flats are part of the third CCA project following the positive response seen at the first two projects at Harmony Village @ Bukit Batok and Queensway Canopy.

“If the model of care provision proves to be effective and scalable, we will ramp up the supply of CCAs, and launch up to 30 CCAs in different locations across Singapore by 2030,” said the Housing and Development Board (HDB), Ministry of National Development (MND) and Ministry of Health (MOH).

 

5. Dairy Farm Residences’ maintenance fees slashed by 40% following unit owners’ complaints

Dairy Farm Residences condominium has slashed its monthly maintenance fees by about 40% after property owners complained that the fees were more than doubled from the amount advertised, reported TODAY.

Project developer United Engineers Limited (UEL) said the fees now range from $427 to $513, down from the previously announced figures of $713 to over $800.

However, the fees are still way higher compared to the advertised monthly charges of $260 to $350.

Since some property owners have already made down payments, UEL’s representatives had offered to refund or offset their excess payments.

In a letter sent to property owners, they noted that UEL had sought ways to reduce the fees after realizing that they were higher than projected during launch.

Most of the residents were “happy” and “relieved”, saying that the revised fees are “more in line with the market rate”.

 

6. HDB launches two EC sites

An executive condominium (EC) site at Plantation Close has been launched for sale by HDB under the Confirmed List of the GLS H2 2023 programme.

Another EC site at Tampines Street 95 was also made available for application under the Reserve List.

Spanning 20,038.2 sq m, the Plantation Close site has a maximum gross floor area (GFA) of 56,107 sq m and is expected to yield 560 housing units.

The site at Tampines Street 95, on the other hand, has an area of 22,492 sq m and a maximum GFA of 56,230 sq m. It could also yield 560 housing units.

Both sites come with a leasehold tenure of 99 years.

The tender for the Plantation Close site will close on 1 February 2024. It will be batched with the site at Orchard Boulevard which was launched on 17 October 2023.

 

7. Government to lift ban on cat ownership in HDB flats

Cat ownership may soon be allowed in HDB flats as the government has proposed to lift the 34-year-old ban.

Under a proposed framework on cat management, two pet cats will be allowed per HDB flat and three per private residence reported The Straits Times.

Senior Minister of State for National Development Tan Kiat How revealed that pet cats would need to be licensed and microchipped to ensure that they are traceable, with cat owners held to greater account once their pets are found neglected, abandoned or abused.

The proposed changes are subject to further public input for two months, with the implementation set in the latter part of 2024.

A two-year transition period would enable cat owners to meet licensing requirements, which would be offered for free during such a period.

Those who fail to license their pet cats following the effectivity of the changes would be subject to penalties similar to dog owners’ fines.

 

8. 13 shophouses at Smith Street are up for tender to the single master tenant

A row of 13 shophouses located along Smith Street – from 11 to 37 Smith Street – has been put up for tender to a single master tenant as part of plans to rejuvenate the historic Chinatown conservation area.

The Singapore Land Authority (SLA) revealed that the rejuvenation project “aims to inject vibrancy and drive greater footfall to the area with community programmes and more diverse offerings such as creative lifestyle, retail and co-living/co-working concepts while preserving the area’s cultural and architectural heritage”.

It noted that the master tenancy will cover a total land area of about 3,166 sq m, with an estimated gross floor area of 3,073 sq m. The lease is for five-plus-four years.

Dr Lee Nai Jia told CNA that the longer lease period will provide the master tenant with some comfort level to invest more.

When asked about the advantage of having a master tenant, he explained that having a master tenant ensures that certain spaces are utilized well, the tenant mix is coherent and there is a certain level of maintenance of the area – helping bring up the area.

 

9. SRI appoints Thomas Tan as the new CEO

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SRI, one of Singapore’s top five real estate agencies, has named Thomas Tan as its new Chief Executive Officer (CEO), effective 1 December 2023.

Boasting an impressive career in real estate, Tan has evolved from a dedicated salesperson to a successful entrepreneur who established and managed his agency. He also held key roles in major listed real estate firms within the city-state, contributing to his wealth of industry-specific experience and expertise.

He is also recognised for his commitment to education. Since 2011, Tan has guided and imparted knowledge to more than 12,000 learners in Real Estate Salesperson and Continuing Professional Development courses.

He also served as president of the Singapore Estate Agents Association (SEAA) from 2017 to 2021, where he contributed to various committees including the Council for Estate Agencies, CEA Digital Property Transaction Workgroup and Alliance for Action.

“TeamSRI is excited to welcome Mr. Thomas Tan as our CEO. His extensive experience, passion and leadership track record will undoubtedly lead SRI to even greater success,” said SRI Co-founder Bruce Lye.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Siblings File Lawsuit Over Mother's Assets, Orchard Road Rents to Increase By Up to 6%, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/11/210546/siblings-file-lawsuit-over-mothers-assets-orchard-road-rents-to-increase-by-up-to-6-and-more www.propertyguru.com.sg:news:210546 Mon, 27 Nov 2023 09:07:23 +0800 Siblings File Lawsuit Over Mother's Assets, Orchard Road Rents to Increase By Up to 6%, and More
Siblings File Lawsuit Over Mother's Assets, Orchard Road Rents to Increase By Up to 6%, and More

21 to 27 November 2023

The lease on the land presently occupied by Raffles Town Club will not be renewed once it ends on 17 October 2026. Meanwhile, residents of Dairy Farm Residences were upset to find that their monthly maintenance fees would be way higher than what was advertised.

 

1. Raffles Town Club site to be returned to the state upon expiry of the lease in 2026

The lease on the land presently occupied by Raffles Town Club will not be renewed once it ends on 17 October 2026, revealed the Urban Redevelopment Authority (URA) and Singapore Land Authority (SLA).

This comes as the site will be redeveloped for residential use, supporting housing demand and enhancing the precinct’s residential character.

URA and SLA explained that the move is in line “with the focus of redeveloping brownfield sites as much as possible to meet future demand for land, including housing”.

Nonetheless, Raffles Town Club – which is located at 1 Plymouth Avenue, near Stevens MRT interchange – can continue operating at the site until the lease expires in 2026, upon which it must return the land to the State.

If Raffles Town Club wants to continue operations following the expiry of its lease, agencies will engage the club on the availability of suitable state properties via open tender. The club could also explore other options from the open market.

 

2. Owners of Dairy Farm Residences upset over significantly higher maintenance fees

Residents of Dairy Farm Residences were upset to find that their monthly maintenance fees would be way higher than what was advertised, reported TODAY.

Marketing materials for the newly completed condominium in Upper Bukit Timah showed that the estimated monthly maintenance fees would range between $260 and $350, depending on the type of unit purchased.

As such, residents were shocked when they received an email informing them that the maintenance fees would be $713 to more than $800, depending on the unit bought.

They also expressed frustration, noting that the low maintenance fees had been a major reason for their decision to buy a unit within the development.

Meanwhile, developer United Engineers Limited (UEL) attributed the hike in charges to inflationary increases in cleaning, security and other related costs. They explained that they are working with authorities to reduce the approved maintenance fees.

Although some owners do not expect to see a significant decrease in charges given that condominiums around Singapore have been increasing such fees annually, they remain hopeful for a resolution that aligns the fees closer to those charged by nearby condominiums, such as Hillion Residences and Verdale Residences, which are way lower.

 

3. Private home rents rise at a slower pace in Q3 2023

Rents of private residential properties in Singapore rose 0.2% in Q3 2023, a much slower pace compared to the quarterly growth rate of between 1.4% and 8.3% since Q1 2021, said Savills.

By region, rental growth of non-landed properties within the Rest of Central Region (RCR) and Outside Central Region (OCR) slowed to 1.9% and 1.3%, respectively, in Q3 2023.

The Core Central Region (CCR) saw rents drop 1.7% – its first decline since Q1 2021.

Savills noted that the average monthly rent of high-end non-landed homes tracked by Savills declined 0.6% quarter-on-quarter to $6.16 per sq ft (PSF) per month. This marked the first rental decline for such properties, which registered an accumulated increase of 51.9% over the past two and a half years.

“It reconfirmed the view that rents had reached a plateau, particularly in the high-end market segment,” said Savills.

It attributed the softening in rent to a “confluence of events ranging from the uncertain economic outlook, high inflation, weakening labour market as well as the increased number of completed homes”.

 

4. Good Class Bungalow on Third Avenue sold for $26.5 million

A two-storey Good Class Bungalow (GCB) located on Third Avenue has been sold for $26.5 million, reported Singapore Business Review citing Knight Frank.

Spanning 14,576 sq ft, the freehold property has a total gross floor area (GFA) of about 10,000 sq ft. It was launched for sale via public tender in September 2023.

Mary Sai, Knight Frank Singapore’s Executive Director for Capital Markets, said the property drew keen interest during its tender, thanks to its prime location within a GCB area.

Notably, Third Avenue is near transport nodes, lifestyle centres, schools, and a hospital.

She shared that a good selling price was secured during a fair and transparent tender process.

“We were able to tap into our proprietary database of Ultra High Net Worth clients to secure the buyer, and to cement our place as a market leader in private wealth,” she added.

 

5. Siblings file three lawsuits over mother’s assets

In a cautionary tale for parents on financial management, a recent case involving an elderly woman led to three lawsuits among her children who fought bitterly over her assets.

The mother relied on others to manage financial matters since she could not read or write. Her ability to manage her affairs was further affected when she suffered from dementia before her death in 2017, reported The Straits Times.

The first dispute began when her two daughters persuaded her to transfer her home to one of the sisters without paying the purchase price.

Suing on behalf of his mother, the eldest son recovered the money and used it to purchase an apartment under both their names. The youngest son later sued the eldest son after he became the legal representative of their mother following her dementia diagnosis.

In 2021, the youngest son gained control to manage the estate and pursued a case against his eldest brother to make him account for their mother’s assets.

With this, the judge ruled that the money deposited by the mother on the joint account was all hers and ordered the eldest son to return the remaining amount with interest.

He was also ordered to pay the mother’s share of rental income on the apartment, sales proceeds and legal costs.

 

6. Orchard Road retail rents to increase by up to 6%

Average rents on Orchard Road are expected to grow by up to 6% year-on-year (YoY) for 2023, while suburban malls will increase by 1% to 2%, amid the continuing recovery in tourist arrivals, revealed Savills.

Based on the basket of malls tracked by Savills, rents in Orchard Road rose 1.3% quarter-on-quarter to $22.40 PSF in Q3 2023, while the suburban area saw rent climb 0.7% quarter-on-quarter (QoQ) to $14.60 PSF.

Savills remains positive on the retail market’s overall outlook, on the back of sustained demand and limited new retail supply.

Moreover, it expects the completion of new retail projects such as Forum Mall, Marina Square, and Harbourfront Centre to lift the overall rental expectations within the Central Region.

It anticipates average rents on Orchard Road to rise by about 3% to 5% YoY in 2024, while suburban rents are forecasted to remain flat as inflation and outbound travels dampen discretionary spending.

 

7. E-commerce sales to fuel demand for prime logistics spaces

The steadily rising e-commerce sales in Singapore is expected to fuel demand for prime logistics facilities, revealed a CBRE report.

The city-state’s retail e-commerce market, which is valued at $5.8 billion in 2022, is forecasted to increase at 9.9% year-on-year, reaching $9.2 billion by 2027. Retailers’ adoption of omnichannel strategies and reliance on Third-Party Logistics (3PL) providers for deliveries drive this upward trend in warehouse demand.

CBRE attributed the growth in e-commerce to high online penetration rates as well as high disposable income.

However, limited warehouse supply in the next few years may see demand surpass supply. In Q3 2023, occupancy rates are already at 91.3%. New warehouse supply is projected to stand at an average of 2.3 million sq ft per year, which is 34% below the six-year historical supply.

Meanwhile, prime logistics rents rose 11.7% in Q3 2023 and are expected to rise by 14% for the whole of 2023, up from 2022’s 10.2% growth.

For 2024, prime logistics rents are anticipated to increase by 4% due to economic headwinds and occupiers’ focus on operational efficiency.

 

8. 50 Playfair Road sold for $81,180,000

The freehold property at 50 Playfair Road has been sold for $81.18 million, revealed sole marketing agent Edmund Tie.

Zoned for “Business 1 – White” use under the 2019 Master Plan, the property within the Tai Seng Business Hub has an area of about 2,489 sq m and a plot ratio of 3.5.

Swee Shou Fern, Edmund Tie’s Head of Investment Advisory, said the tender for the property was hotly contested as it attracted developers, end-users, and investors, both foreign and local.

“Some of these parties were looking to redevelop the site for food-factory use or a mixed industrial complex with a commercial component, while owner-occupiers were looking to develop the site for their corporate headquarters,” she said.

The buyer, on the other hand, intends to transform the site into a food factory.

She shared that owners are anticipated to receive gross sale proceeds of $1.65 million to $6.22 million per unit.

 

9. JTC awards Tampines North Drive site

The tender for the industrial site located at Tampines North Drive 4 (Plot 1) has been awarded to Soilbuild Group Holdings Ltd, after it submitted a bid of $85.8 million, revealed JTC.

With an area of 18,435.4 sq m, the site is zoned for Business 2 use and has a gross plot ratio of 2.5.

The 30-year leasehold site was launched for sale on 29 August 2023, attracting two bids during the close of its tender on 24 October 2023.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Watten House Sells 57% of Units During Launch Weekend, Rainwater Leak Costs Condo Owner $60,000, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/11/210521/watten-house-sells-57-of-units-during-launch-weekend-rainwater-leak-costs-condo-owner-60000-and-more www.propertyguru.com.sg:news:210521 Mon, 20 Nov 2023 09:00:43 +0800 Watten House Sells 57% of Units During Launch Weekend, Rainwater Leak Costs Condo Owner $60,000, and More
Watten House Sells 57% of Units During Launch Weekend, Rainwater Leak Costs Condo Owner $60,000, and More

15 to 20 November 2023

Watten House, UOL Group and Singapore Land Group’s (SingLand) freehold condominium project in District 10, sold 57% or 102 of its 180 units during its private preview on 18 November 2023. Meanwhile, the owner of a luxury 4-bedroom apartment in Farrer Road saw rainwater leaks extensively damage wooden floors, wardrobes, and door frames, costing the owner around $30,000 in repair and another $30,000 for temporary housing during the COVID-19 lockdown in 2020.

 

1. Watten House sells 57% of its units over its launch weekend

Watten House, UOL Group and Singapore Land Group’s (SingLand) freehold condominium project in District 10, sold 57% or 102 of its 180 units during its private preview on 18 November 2023.

The units were transacted at an average price of $3,230 per sq ft (PSF), reported The Business Times.

UOL shared that Singapore Citizens and Singapore Permanent Residents (PRs) accounted for 96% of the buyers.

Ismail Gafoor, Chief Executive at PropNex Realty, said the development’s sales were beyond expectations.

“Initially, there were some concerns as to whether buying demand would be severely affected due to the April 2023 cooling measures where the Additional Buyer’s Stamp Duty (ABSD) rates were hiked, and the developer had opted to build larger luxury homes which would mean higher overall price quantum,” explained Gafoor.

He noted that the positive response witnessed at J’den and Watten House indicates that the market continues to have ample liquidity to be deployed once highly attractive developments become available.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru said, “Watten House is a bespoke freehold development in the upscale prime District 11. There are only 180 units and all larger bedroom types appealing to families with school-going children as it is near choice schools.

As the preview was conducted by appointment, buyers were prequalified to ensure the higher sales conversion rate that it achieved on the day of sales launch. The remaining 78 units may just be snapped up in no time!”

Watten House’s show flat was closed following the private preview and will reopen for its public launch next year.

 

2. Rainwater leak costs condo owner $60,000

The owner of a luxury 4-bedroom apartment in Farrer Road saw rainwater leaks extensively damage wooden floors, wardrobes, and door frames, costing the owner around $30,000 in repair and another $30,000 for temporary housing during the COVID-19 lockdown in 2020, reported The Straits Times.

It was found that the leak came from a concealed rainwater downpipe, which was not visible in the construction plans. With this, the unit owner filed legal action against the condominium’s management.

While the Strata Titles Board found no delay in establishing the leak’s cause and repair of the pipe, it still ordered the management to pay the owner around $50,000, citing its strict duty to maintain common property.

However, the decision was overturned on appeal, with High Court Judge Andre Maniam ruling that the law does not mandate condominium management to cover all damages caused by common property issues. The management would only be liable if it failed to maintain the common property or was negligent in its work.

“If (it) has acted reasonably in the discharge of its duty to maintain common property, it has not breached its statutory duty,” said Justice Maniam.

 

3. New private home sales down 6.5% in October 2023

New private home sales, excluding executive condominiums (ECs), dropped 6.5% to 203 units in October 2023 from 217 units in September 2023– marking its third consecutive monthly decline, reported CNA citing Urban Redevelopment Authority (URA) data.

On an annual basis, new home sales fell 35.4%.

Analysts attributed the slowdown to the absence of major property launches, with buyers anticipating upcoming projects such as Hillock Green and J’den.

October’s sales were mainly concentrated within the city fringe as well as the suburbs, with the Rest of Central Region (RCR) making up 40.4% (82 units) of the total sales.

The Outside Central Region (OCR) accounted for 37.4% (76 units), while the Core Central Region (CCR) made up 22.2% (45 units), reported Singapore Business Review.

Looking ahead, analysts expect new private home sales in November to range between 700 and 800 units, before slowing to fewer than 200 units in December 2023.

Related article: Singapore District Map: Defining the CCR, RCR and OCR by the 28 Districts

 

4. More landlords add ‘no WFH’ policy in rental listings

More landlords are adding a “no work from home (WFH)” policy in their property rental listing, reported TODAY.

The policy is linked to concerns about increased utility bills, especially if the tenant is home all day and privacy invasion.

A property agent noted that some landlords feel stifled, with their privacy invaded if the tenant is home all day.

A landlord who wanted to be known only as Ms Tham explained that a “no WFH” policy safeguards them from forking out extra costs once the utility bills exceed the threshold for the month.

Another landlord cited the noise at her house – caused by her five grandchildren whom she takes care of during the day –  for her no-WFH policy.

Meanwhile, tenants find the requirement unreasonable, arguing that working from home should not be an issue if they also pay for utilities.

Tenants said they prefer listings that offer more freedom.

A property agent noted that the clear restriction could also help tenants make informed decisions. However, having many unreasonable demands could lead to longer vacancy periods for landlords.

 

5. Asking rents drop 2.5% in Q3 2023

PropertyGuru expects rents for residential properties to ease further, particularly in the private residential market, as asking rent already dropped 2.5% quarter-on-quarter (QoQ) in Q3 2023, reported The Business Times.

This comes as rental demand, which PropertyGuru monitors based on the number of enquiries for all rental listings on its portal, declined 10.4% QoQ in Q3 2023.

Moreover, overall rental supply – based on the number of rental listings on its portal – grew 11.3% in Q3 2023. It attributed the hike in rental supply to the completion of more homes and the reopening of borders, which reduced the need for temporary rentals.

Notably, about 9,000 private home units, excluding ECs, were completed in Q3 2023 – marking the highest quarterly completions since Q2 2016. This brings the number of completed units during the first three quarters of 2023 to 17,199 units or more than three times over the same period last year.

The landed private property segment registered the biggest decline in rent, falling 7.6% in Q3 2023. The non-landed property segment saw asking rents decline by 4%.

Over at the public housing segment, asking rent rose 3.5% in Q3, possibly due to tenants exploring more affordable options within the HDB rental market.

Related article: Singapore Property Market Report Q4 2023

 

6. Prime residential rents surge in Singapore

Major cities across the world saw luxury rents soar, amid limited supply, frustrated house hunters and returning residents post-pandemic, reported Bloomberg.

Prime residential rents, of the top 5% of the market, grew by an average of 7.9% year-on-year (YoY) in the 12 months till September, according to Knight Frank, which monitors 10 global cities.

Singapore saw a 14.5% hike in prime rents, while London registered an 11.2% gain. Sydney recorded the biggest increase, with prime rents jumping 18.3% due to constraints in housing construction.

However, there were signs of stabilisation following the pandemic real estate frenzy, which led to higher rent and home prices.

In fact, prime residential rents in Singapore and New York fell 1.7% and 1.3%, respectively, in the third quarter.

Looking ahead, Knight Frank expects the rate of increase to slow globally over the coming months as tenants reach their affordability limits.

 

7. URA launches Holland Drive, De Souza Avenue sites

Two residential sites at Holland Drive as well as De Souza Avenue have been released for sale under the H2 2023 Government Land Sales (GLS) Programme, said URA.

Available for application under the Reserve List, the sites can potentially yield around 680 housing units and 355 housing units, respectively.

The Holland Drive site has an area of 12,386.8 sq m and a maximum gross floor area (GFA) of 58,218 sq m.

The site at De Souza Avenue, on the other hand, spans 19,245.2 sq m and has a maximum GFA of 30,793 sq m. Both sites come with a 99-year leasehold tenure.

 

8. URA awards tenders for three sites

The tenders for the three sites at Clementi Avenue 1, Pine Grove and Lorong 1 Toa Payoh have been awarded to their highest bidders, revealed URA.

The 13,451.1 sq m site at Clementi Avenue 1 was awarded to CSC Land Group (Singapore) and Caspian Residential 3 after it submitted the top bid of $633.448 million.

The 25,039.2 sq m site at Pine Grove was awarded to Golden Ray Edge 3, while the 15,743.0 sq m site at Lorong 1 Toa Payoh was awarded to a consortium comprising CDL Constellation, Frasers Property Phoenix, and Sekisui House. They submitted the top bids of $692.388 million and $968 million, respectively.

URA noted that the Pine Grove (Parcel B) and Clementi Avenue 1 sites were launched for sale on 15 August, while the Lorong 1 Toa Payoh site was launched on 5 September 2023.

The tenders for the 99-year leasehold sites closed on 7 November 2023.

 

9. Residential property demand down 14.4% in Q3 2023

Singapore saw supply and demand for residential properties decline in the third quarter of 2023, reported Singapore Business Review, citing PropertyGuru data.

The Singapore Property Sale Demand Index witnessed a significant decline of 14.4% QoQ, while the overall Sale Supply Index registered a slight drop of 0.7% QoQ.

With this, the Singapore Property Sale Price Index contracted 1.8% QoQ, reversing the 1% increase posted in the previous quarter.

“The combination of rising home acquisition costs and economic uncertainties may have given would-be sellers some pause from putting their properties on the market,” said PropertyGuru.

It added that foreign property owners may have also held back in selling their property, as they face high replacement costs should they opt to purchase a new property due to the current ABSD framework.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[J'den Sells 88% of Units Over Launch Weekend, Most Expensive HDB Flat Emerges in Toa Payoh, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/11/210503/jden-sells-88-of-units-over-launch-weekend-most-expensive-hdb-flat-emerges-in-toa-payoh-and-more www.propertyguru.com.sg:news:210503 Tue, 14 Nov 2023 07:37:41 +0800 J'den Sells 88% of Units Over Launch Weekend, Most Expensive HDB Flat Emerges in Toa Payoh, and More
J'den Sells 88% of Units Over Launch Weekend, Most Expensive HDB Flat Emerges in Toa Payoh, and More

7 to 14 November 2023

J’den, CapitaLand Development’s (CLD) mixed-use project in Jurong East, sold 88% of its 368 residential units during its launch at an average price of $2,451 per sq ft (PSF). Meanwhile, a 5-room Design, Build and Sell Scheme (DBSS) flat in Toa Payoh has been sold for $1.56 million recently, making it the most expensive HDB resale flat in Singapore.

 

1. J’den sells 88% of units over its launch weekend

jden-condo-singapore-jurong

J’den, CLD’s mixed-use project in Jurong East, sold 88% of its 368 residential units during its launch at an average price of $2,451 PSF, reported The Business Times.

CLD revealed that 1-bedroom and 2-bedroom units emerged as the most popular, with all 148 1-bedroom, 1-bedroom with study, and 2-bedroom units sold out.

The development’s 3-bedders and 4-bedders also witnessed “strong” take-up, the developer added.

Sizes of the units ranged from 527 sq ft for the 1-bedders to 1,485 sq ft for the 4-bedders.

Singapore Citizens and Singapore Permanent Residents (PRs) accounted for more than 99% of the homebuyers, with about 60% aged 40 or below. CLD also noted that around 62% of the buyers presently live within Singapore’s western region.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru said, “J’den has all the attributes of a new launch that would perform well, namely, an integrated development. Coupled with the Jurong Lake District (JLD) narrative, the enthralling 88% sales achievement over one weekend is in tandem with market expectations.

However, apart from 1-bedders and 2-bedders, the larger units continue to take more time for property seekers as they could be pulling financial resources together through the sale of their existing properties and/or considering multi-generational family purchases.”

With a leasehold tenure of 99 years, J’den comprises a 38-storey residential tower sitting atop a two-storey commercial podium. It is nestled on JCube shopping mall’s former site, which was acquired by CLD in January 2022 for $340 million.

J’den drew over 7,000 visitors during its first weekend of public preview – making it one of the biggest preview crowds over the first weekend this year.

Related article: Jurong Region Line (JRL): What the Upcoming JRL Means for Singaporeans (2023)

 

2. A 5-room DBSS flat in Toa Payoh sold for a record $1.56 million

A 5-room HDB flat in Toa Payoh has been sold for $1.56 million recently, making it the most expensive HDB resale flat in Singapore, reported AsiaOne. The last time we reported on the most expensive HDB flat transacted was in June 2023, when a 1,894 sq ft 4-room jumbo HDB flat in Moh Guan Terrace, Tiong Bahru, sold for $1.5 million.

ERA revealed that the unit is situated at The Peak, a DBSS development at Lorong 1A Toa Payoh, with the sellers being a self-employed middle-aged couple who want to upgrade to a private home.

The buyers, on the other hand, are transitioning from a 4-room HDB flat.

Dr Tan Tee Khoon noted, “That this 5-room DBSS unit of more than 1200 sq ft on the top floor in Toa Payoh fetched $1.56m, is really not out of sync with expectations. Toa Payoh is a sought-after HDB precinct and DBSS flats are no longer built.

As these flats were designed by private developers, this would be the closest one can get to a private residential development whose equivalent size may cost close to $3m depending on the location.

Looking ahead, Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group, expects that “We should continue to witness such transactions over the next few years, barring any economic shock. Equity-constrained property seekers for private homes will likely be priced out of private homes amid the high-interest rate environment and pivot to premium units in the HDB resale market.

That said, such transactions remain a minority, and those first-time buyers will have more options when the Government rolls out the launches under the new classification.”

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

3. 27.6% of Hillock Green units sold over its launch weekend at an average price of $2,108 PSF

hillock-green-condo-singapore

Hillock Green, a 99-year leasehold private condominium at Lentor Central, sold 131 units or 27.6% of its 474 units during its launch over the weekend.

The units achieved an average selling price of $2,108 PSF.

Buyers comprised “a healthy balance” of first-time homebuyers, upgraders and investors from across Singapore. Notably, a significant number of buyers live within the Ang Mo Kio Planning area as well as the northeast region.

There was also a good balance of units sold across all unit types. Interestingly, more investors bought larger units instead of the usual one- and two-bedders.

The third project to be launched within the Lentor Hills estate, project is being developed by a joint venture comprising Soilbuild Group Holdings, Forsea Holdings and United Engineers Ltd.

Dr Lee Nai Jia said, “Lentor is fast becoming a real estate hotspot in the Outside Central Region, with Hillock Green at its core drawing attention from both upgraders and newcomers from the Ang Mo Kio locale. Offering an appealing average price of $2,108 PSF, Hillock Green stands out for its affordability amidst a market that often sees new launch prices hitting $2,400 and beyond.

The area is poised for further growth and transformation with the anticipated completion of the Johor Bahru-Singapore Rapid Transit System (RTS) Link, which is expected to inject dynamism into the North Coast Innovation Corridor. This strategic development could herald a new era of connectivity and urban development for Lentor.”

Hillock Green attracted over 1,600 visitors during the first weekend of its preview.

 

4. SP Group waives cooling system usage fees till end-2023, reduces rate from 1 January 2024

National grid operator SP Group announced that it will waive the centralised cooling system usage charges for Tengah residents until end-2023 as well as reduce the usage rate from 1 January, reported CNA.

The move comes after residents complained of excessive charges, misleading information, lack of transparency, poor communication, and cancellation policy issues.

In a “further gesture of goodwill”, SP Group said it will also reduce the cancellation fees by 50% for homeowners who opt to cancel the system’s installation.

Residents have raised issues with the centralised cooling system, which was touted as a sustainable alternative to air conditioning in the new Tengah housing estate, since before they started collecting their keys at the end of August 2023.

These include concerns about costs, leakages, aesthetics, and the temperatures not being cold enough.

Residents also expressed disappointment over the discrepancy between the promised savings and the actual costs.

SP Group acknowledged the concerns, laid out the reasons for the increase and committed to adjust the rates from 1 January 2024.

It also shared that it had rectified 88% of the reported defects, adding that it will rectify the remaining cases as soon as possible.

HDB said it will monitor the feedback and support SP Group in ensuring a smooth rollout of the centralised cooling system in Tengah.

 

5. Better aesthetics at HDB rental flats could help families achieve upward social mobility faster

Carrie Tan, Member of Parliament (MP) for Nee Soon GRC, has urged the government to improve the design of public housing rental flats by incorporating more pleasing aesthetics, lighting and colour to boost the mental well-being of families staying there as well as their potential for upward mobility, reported TODAY.

MP Tan also pointed to overcrowding as a key issue facing HDB rental flat families and rejected the notion that providing a comfortable and pleasing environment would only demotivate such families into working hard to have their own place.

She noted that overcrowding due to smaller flat sizes could lead to poor health, which could in turn lead to more frequent school absences as well as poor employment retention.

“Home becomes a place just to survive but not to thrive in. We underestimate the amount of energy it takes to overcome challenges inherent in the current rental housing premises, leaving less energy for constructive actions such as focusing on job performance, or school performance,” said Tan.

Minister of State for National Development Muhammad Faishal Ibrahim stated that his ministry empathises with the point raised by Tan while sharing the “progressive improvements” made to enhance the public rental flats’ design and living environment.

 

6. Urban Redevelopment Authority (URA) closes tender for Clementi, Pine Grove, Lorong 1 Toa Payoh sites

The tenders for three sites located at Clementi Avenue 1, Pine Grove and Lorong 1 Toa Payoh have closed, with one site receiving six bids, announced the URA.

With an area of 13,451.1 sq m, the site at Clementi Avenue 1 attracted six bids, with CSC Land Group (Singapore) and Caspian Residential 3 putting forth the top bid of $633.448 million.

Meanwhile, the Pine Grove (Parcel B) and Lorong 1 Toa Payoh sites both attracted three bids.

Golden Ray Edge 3 submitted the top bid of $692.388 million for the Pine Grove site, while a consortium comprising CDL Constellation, Frasers Property Phoenix, and Sekisui House submitted the highest bid of $968 million for the Lorong 1 Toa Payoh site.

“This is not an announcement of the tender award,” said URA, adding that a decision on the award of the tender will be made following an evaluation of bids.

 

7. More buyers looking for HDB flats without resale restrictions

With the implementation of the new housing categories just around the corner, more buyers are now seeking HDB resale flats without resale restrictions, especially in the Central region, reported Singapore Business Review.

This comes as only Prime and Plus BTO flats will be sold within the area from H2 2024, said Huttons.

It noted that buyers are also willing to fork out a little bit more for such flats.

Huttons said the preference for HDB flats without resale restrictions may have supported HDB resale prices as well as the number of million-dollar flats last month.

“This is the first time that no million dollar flat was sold in non-mature estates,” noted Huttons.

PropNex shared that October’s 41 million-dollar HDB flats were in mature towns, particularly in Bishan and Bukit Merah (seven units each), Queenstown (six units), Clementi and Kallang Whampoa (five units each), Ang Mo Kio (four units) as well as Central Area and Toa Payoh (two units each). Moreover, Serangoon, Geylang, and Bukit Timah each registered one transaction.

However, Huttons believe the effect of buyers’ preference for centrally located flats will likely be “one-off”.

 

8. Singapore may see a first rental slump in four years

After climbing by up to 15% this year, housing rents in Singapore are expected to drop by as much as 10% in 2024 amid the rising completion of homes, revealed a Bloomberg report.

Bloomberg Intelligence analyst Ken Foong believes the drop in rents may be even greater if a crisis emerges or the macro-economy worsens.

“Tenants are likely to push back on sky-high rents due to higher vacancy, with more units to choose from, macro uncertainties and the rising cost of living,” said Foong.

The Singapore government’s index for private housing rents inched up by only 0.8% in Q3 2023, its slowest growth since rents began climbing at end-2020.

Meanwhile, the number of vacant homes has increased to 34,341 units in Q3 2023, surpassing the 27,000 average set from 2014 to 2017, when rents dropped for four consecutive years.

Despite the expected decline in overall rents, some landlords may still raise prices on expiring leases which were entered into two or three years ago, albeit at a lower rate, said Foong.

 

9. First EV chargers at open-air HDB carpark now operational

The first charging points for electric vehicles (EVs) at a surface-level or open-air HDB carpark are now operational, reported The Straits Times.

Located at Block 209 Jurong East Street 21, the six chargers are the latest to be rolled out under a tender awarded in November 2022.

The carpark spaces for EV charging are situated in a row, right next to one another. There is also a motorcycle parking just around the corner, which means electric motorcycles can make use of the charging service since the area is still within the reach of charging cables.

“From our experience operating chargers in HDB carparks, the presence of EV chargers will provide confidence and peace of mind to HDB residents to make the switch to EVs,” said Goh Chee Kiong, CEO of Charge+, the EV charging operator at Jurong East Street 21.

EV-Electric (EVe) Charging, Land Transport Authority’s subsidiary overseeing the deployment of public EV chargers, shared that 30 surface-level HDB carparks will be equipped with EV chargers by end-2023.

 

10. Shophouse transaction volume, value down in Q3 2023

Singapore saw transaction volume for shophouses decline 21.3% quarter-on-quarter to 37 in the third quarter of 2023, following the money laundering probe in August, reported The Business Times citing Huttons Asia.

Transaction value also dropped 26.6% to $317.1 million in Q3 2023 from $432.3 million in Q2 2023.

Both the transaction volume and value for shophouse deals in Q3 2023 were a far cry from their recent peak in 2021 when 73 units were sold in Q2 2021 and $606 million worth of shophouse sales were registered in Q4 2021, showed a PropNex report.

In September 2023, only eight shophouse deals were posted, down from the 19 transactions in August 2023.

Market watchers believe the heightened customer due-diligence checks after 10 foreign nationals were investigated in August for money laundering cases, have affected demand from legitimate buyers.

Dr Lee Nai Jia, however, said there could be various factors that may have led to the drop in shophouse transactions.

“High property prices, in combination with an uncertain economic forecast and a climate of rising interest rates, may be making potential buyers hesitant to engage in such significant investments at this time,” he said.

 

11. The SEAA and Law of Society of Singapore sign two MOUs surrounding co-broking disputes

Two Memorandums of Understanding (MOUs) surrounding co-broking disputes were signed today (14 November 2023) between: 1) Singapore Estate Agents Association (SEAA) and the Law Society of Singapore, and 2) SEAA and selected Property Agencies. 

The first MOU between SEAA and the Law Society of Singapore promotes the use of the Law Society of Singapore’s alternative dispute resolution (ADR) schemes, including their Mediation and Arbitration Scheme by SEAA Members. The goal is to allow SEAA members to adopt these resolution schemes at affordable rates.

The second MOU between SEAA and selected property agencies promotes the “use of the mediation and arbitration schemes” offered by SEAA and Law Society of Singapore, in the event of co-broking disputes between agencies and agents. The Dispute Resolution Scheme will take effect from 1 January 2024. 

A best practices guide on co-broking commission will also take effect as of 1 July 2024. Currently, there is no uniform practice on how property agents are remunerated in both sales and rental transactions, which can sometimes create a conflict of interest.

Today’s event was also attended by Associate Professor Muhammad Faishal Ibrahim, Minister of State, Ministry of Home Affairs (MHA) & Ministry of National Development (MND).

SEAA’s President, Mr Adam Wang, expressed his excitement about these partnerships, highlighting how “these schemes can help our members save time and costs as well as achieve better outcomes for any disputes they may face between property agents or property agencies on co-broking matters.”

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

 

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<![CDATA[Pearl's Hill BTO Flats May Launch as Prime Flats, HDB HFE Letter Validity Extended From 6 to 9 Months, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/11/210488/pearls-hill-bto-flats-may-launch-as-prime-flats-hdb-hfe-letter-validity-extended-from-6-to-9-months-and-more www.propertyguru.com.sg:news:210488 Mon, 06 Nov 2023 06:39:22 +0800 Pearl's Hill BTO Flats May Launch as Prime Flats, HDB HFE Letter Validity Extended From 6 to 9 Months, and More
Pearl's Hill BTO Flats May Launch as Prime Flats, HDB HFE Letter Validity Extended From 6 to 9 Months, and More

31 October to 6 November 2023

Property analysts expect the public housing to be constructed at Pearl’s Hill and potentially at Bukit Timah Turf City to be categorised as Prime flats, the priciest of public housing categories. Meanwhile, Shenton House has finally been sold for $538 million to Shenton 101 Pte Ltd, which is owned by IOI Properties Group (IOIPG) CEO Lee Yeow Seng.

 

1. Around 6,000 new homes are to be built in Pearl’s Hill in the next 10 years

For the first time in over 40 years, new public housing will be built in the Pearl’s Hill area, with around 60,000 new homes to be progressively built over the next 10 years, revealed the Urban Redevelopment Authority (URA).

Offering unique hillside living in the city, the new homes are part of efforts to provide mixed-use spaces to transform the city centre into a vibrant and attractive place to work, live and play.

They will comprise a mix of BTO flats, rental flats and private housing units, such as serviced apartments and condominiums to cater to diverse needs as well as lifestyle preferences.

Property analysts expect the public housing to be constructed at Pearl’s Hill and potentially at Bukit Timah Turf City to be categorised as Prime flats, the priciest of public housing categories, reported TODAY.

They believe 4-room units will be offered at about $700,000, with the estimates based on current prices of similar properties, and the sites’ attributes, such as their central location and connectivity, among others.

On private property, Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group predicts the price of new condominiums at Pearl’s Hill to start at around $2,700 per sq ft (PSF), assuming market conditions remain stable.

“However, it is likely that prices for select premium units may exceed $3,000 PSF, taking a cue from recent property launches,” he said, adding that units at Turf City may be offered at a similar price range.

Analysts expect the housing units at Pearl’s Hill and Turf City to witness good demand, with each site attracting different buyer profiles.

Pearl’s Hill’s proximity to the city centre and potential for rental opportunities makes the housing units attractive to investors, while the presence of popular schools at Bukit Timah makes the homes there appealing to families.

The authorities are also looking at the possibility of building public and private housing in Bukit Timah Turf City. There are also plans to build homes in Mount Pleasant and the former Keppel golf course site. These plans are exhibited at The URA Centre, with members of the public encouraged to provide their feedback until 2 February 2024.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

2. HDB Flat Eligibility (HFE) letter validity extended to nine months

The validity of all existing as well as new HFE letters will be extended to nine months, up from six months currently, as revealed by the HDB.

To take effect from 7 November 2023, the extended validity period will provide both new and resale flat buyers more time to secure their home, reducing the number of subsequent applications once their existing HFE letters expire.

The HFE letter was implemented in May 2023, replacing the HDB Loan Eligibility (HLE) letter. It streamlines the flat buying process “by consolidating the different eligibility assessments for HDB flat purchases, housing grants, and HDB housing loans”.

HDB shared that it has processed over 65,000 applications from both new and resale flat buyers since its implementation in May. Of this, 60,600 had already been approved and issued HFE letters.

It added that the extension of the validity period is part of its efforts “to provide greater convenience for flat buyers in their home buying journey”.

Related article: Check Your HFE Status: 5 Steps to Apply for the HDB HFE Letter (2023)

 

3. HDB incurred $5.38 billion in net deficit in FY2022

HDB registered a net deficit of $5.38 billion, before government grant, during the financial year 2022, up from the $4.37 billion deficit posted in FY2021.

This comes as it spent “22% more on the Home Ownership Programme to develop BTO flats and provide housing subsidies and grants, from a total of $3.850 billion in FY2021 to $4.680 billion in FY2022”, said HDB.

HDB CEO Tan Meng Dui noted that Singapore’s property market remained buoyant in 2022 amidst the Russia-Ukraine war and the COVID-19 pandemic.

The resultant supply chain uncertainty, higher material cost and labour shortage caused construction costs to increase by around 40% since FY2019, he said.

He pointed out that HDB absorbed the increased costs by raising subsidies and grants to keep flat prices affordable.

HDB said the expected loss for flats currently under development also recorded a net increase of $2.7 billion in FY2022 compared to $2.3 billion in FY2021.

Gross loss on the sale of flats was also higher at $1.2 billion, almost doubling FY2021’s $659 million.

 

4. The first phase of the Singapore Rail Test Centre is up and running

The Land Transport Authority (LTA) has completed the Singapore Rail Test Centre’s (SRTC) first of three planned tracks, reported CNA.

Notably, it will be Southeast Asia’s first rail testing facility.

The straight 3km high-speed testing track can test MRT trains’ performance at various speeds, before being rolled out to serve passengers.

The two other tracks in the works comprise a 3km endurance looped track which comes with an uphill section for testing train performance and a 2.8km circuit for integrating new trains and systems into the rail network.

Also being built at the facility include an administrative building, an operational control centre as well as refurbishment and maintenance workshops.

The centre will also come with energy savings features such as solar panels, LED lighting, and a hybrid cooling system.

On track for completion in 2025, the SRTC will reduce Singapore’s reliance on overseas testing, while freeing up hours on the main rail lines to conduct maintenance.

 

5. New Jurong Town Hall bus interchange to open on 26 November 2023, offering more inclusive facilities

The new Jurong Town Hall bus interchange is set to open on 26 November 2023, offering more inclusive public transport facilities as well as a new bus service, reported CNA.

Located along Venture Drive, the interchange will complement the Jurong East bus interchange and Jurong East MRT station.

LTA said the interchange has been designed to be more accessible for seniors, families with young children and those with mobility challenges. It features barrier-free access at entrances, priority queue zones with seating at boarding berths, wheelchair-accessible toilets, a baby care room and a commuter care room for individuals needing a “quiet and calming space”.

To enhance connectivity, the new interchange will be linked to Jurong East bus interchange and Jurong East MRT station via a pedestrian overhead bridge, which will be fitted with lifts, and covered linkways.

There will also be a new bus service – 870 – which will connect Tengah residents to key amenities in Jurong East town centre.

LTA said the new bus service will ply along corridors like Jurong East Central as well as Bukit Batok West Avenues 3 and 6.

Related article: Jurong Lake District, Tengah: 4 Most Exciting Features Coming to the West Side of Singapore By 2033

 

6. Shenton House sold to IOI Properties boss for $538 million

Shenton House has finally been sold for $538 million to Shenton 101 Pte Ltd, which is owned by IOI Properties Group (IOIPG) CEO Lee Yeow Seng, reported The Business Times.

This is the property’s third attempt at a public tender since April 2023.

Lee explained that he went to bid for the property in his personal capacity rather than the Malaysia-listed IOIPG due to the subject acquisition’s size and the collective sales committee’s tight timeline.

“This purchase demonstrates my continued confidence in Singapore’s prime office sector and residential rental market,” he said.

With a gross floor area (GFA) of over half a million sq ft, Lee plans to develop the Shenton House site into a Grade A office and luxury branded serviced residences.

Zoned for commercial use, the site is eligible for a 25% bonus GFA under the CBD Incentive Scheme.

Tan Hong Boon, Executive Director for Capital Markets at JLL, described Shenton House as the last remaining redevelopment opportunity along the prime Shenton Way thoroughfare.

“Given the limited supply of new Grade A offices in the core of CBD, as occupiers look to locate to low-carbon modern office space as well as the limited availability of luxury rental housing in the area, the Shenton House site will fill these gaps timely and further contribute to the rejuvenation of Shenton Way,” said Tan.

 

7. Genting Singapore to develop 21,243 sq m of retail space, 700 hotel rooms at Resorts World Sentosa

Genting Singapore’s indirect wholly owned subsidiary has secured provisional permission (PP) from URA to develop 21,243 sq m GFA of retail space as well as 700 hotel rooms at Resorts World Sentosa (RWS).

The Business Times noted that the retail space translates to 228,658 sq ft.

The scheme is part of Genting Singapore’s pledge in 2019 to invest $4.5 billion for the expansion of its RWS integrated resort. Currently, RWS has five hotels with around 1,600 rooms.

Genting Singapore’s subsidiary was one of several parties granted PP by URA in Q3 2023.

Separately, Singapore United Estates, a wholly owned subsidiary of Bukit Sembawang Estates, has been granted PP by URA to develop a landed housing project within the Luxus Hill Heights-Seletar Green Walk area. The project will feature 136 terraced homes, 18 semi-detached homes and two bungalows.

URA has also granted provisional approval to another fully owned unit of Sembawang to develop a 155-unit condo project in Bukit Timah Link.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[HDB Resale Price Growth Slows, up 1.3% In Q3 2023, Private Home Prices Post Marginal Increase of 0.8% In Q3 2023 and More]]> https://www.propertyguru.com.sg/property-management-news/2023/10/210471/hdb-resale-price-growth-slows-up-1-3-in-q3-2023-private-home-prices-post-marginal-increase-of-0-8-in-q3-2023-and-more www.propertyguru.com.sg:news:210471 Mon, 30 Oct 2023 09:37:28 +0800

24 October to 30 October 2023

Resale prices of Housing and Development Board (HDB) flats increased 1.3% in the third quarter of 2023, slowing from the 1.5% growth registered in the previous quarter. Meanwhile, private home prices in Singapore climbed by 0.8% in Q3 2023, reversing the 0.2% decline in Q2 2023.

 

1. HDB resale price growth slows, up 1.3% in Q3 2023

Resale prices of Housing and Development Board (HDB) flats increased 1.3% in the third quarter of 2023, slowing from the 1.5% growth registered in the previous quarter, revealed HDB.

The figure is also lower compared to the 2.5% average quarterly growth seen in 2022.

“We are seeing some moderation in the rate of increase in resale prices since the government’s implementation of a strong pipeline of supply, as well as the cooling measures to promote a stable and sustainable property market,” noted HDB.

The cooling measures include a 15-month wait-out period for private property owners who wish to buy a non-subsidised HDB resale flat and the lowering of loan-to-value limit for HDB housing loans.

Meanwhile, resale transactions increased 2.8% to 6,695 cases in Q3 2023 from 6,514 cases in Q2 2023. On an annual basis, resale transactions fell 11.3% – marking the lowest third quarter volume since 2020.

Despite this, the number of million-dollar flat transactions for this year may exceed the record set in 2022, reported Singapore Business Review.

Notably, 369 million-dollar HDB flats have been transacted as of 27 October – which is similar to the number of flats sold for the whole of 2022, said PropertyGuru.

 

2. Private home prices post marginal increase of 0.8% in Q3 2023

Private home prices in Singapore climbed by 0.8% in Q3 2023, reversing the 0.2% decline in Q2 2023, revealed the Urban Redevelopment Authority (URA).

It noted that the average quarterly price hike of about 0.3% over the last two quarters was “significantly lower than the average quarterly increase of 2.1% in the whole of 2022”.

In Q3 2023, landed property prices fell 3.6%, following a 1.1% growth in the previous quarter.

Prices for non-landed properties, on the other hand, rose 2.2%, reversing the 0.6% decline posted in Q2 2023.

Non-landed property prices in the Core Central Region (CCR) fell 2.7%, while the Rest of Central Region (RCR) and Outside Central Region (OCR) saw prices grow 2.1% and 5.5%, respectively.

Meanwhile, rents for private homes rose 0.8% in Q3 2023, slowing from the 2.8% hike registered in Q2 2023.

This comes as rental growth for non-landed properties and landed properties both slowed to 0.2% and 4.4% during the period under review, from the previous increase of 2.3% and 6.7%, respectively.

For the whole of 2023, Savills expects overall rents for private non-landed homes to increase by up to 10% primarily due to the momentum built up during the first half of the year.

 

3. Luxury home market sees slower transactions following money-laundering crackdown

Singapore’s luxury residential market is facing challenges as foreign buyers contend with various factors including higher interest rates, an increase in Additional Buyer’s Stamp Duty (ABSD) and heightened scrutiny following a recent money-laundering crackdown, reported The Business Times.

Industry experts said transaction volumes for prime condominiums, landed homes and conservation shophouses are slowing down.

For instance, two mainland Chinese buyers, who were permanent residents in Singapore, encountered delays in obtaining housing loans from banks, which led to the lapse of their option to purchase.

With foreign buyers becoming more apprehensive amid the increased complexity and scrutiny in their property transactions, landlords of Good Class Bungalows (GCBs) have become more willing to negotiate rents.

They have also become more prudent, with agents expected to be more thorough with their due diligence on prospective tenants.

Data compiled by CBRE for The Business Times showed that median rents of detached homes in GCB areas dropped 2.5% in Q3 2023 to $4.60 psf by floor area.

It also takes a longer time to rent out a GCB now – at around two to three months from about a month in 2022, said Han Huan Mei, Research Director at List Sotheby’s International Realty.

 

4. Luxury condos now more appealing to buyers

OrangeTee believe that luxury condos may be more attractive to buyers now that the median price per sq ft (psf) gap between non-landed resale homes within the CCR and those in the RCR has narrowed from 24.1% in Q2 2023 to 17.5% in Q3 2023, reported Singapore Business Review.

The gap stood at 27.5% in Q1 2023.

OrangeTee noted that the price gap in Q3 2023 was the smallest since Q3 2001, when it was at 14.5%.

Overall resale home prices recorded a slight recovery, with average prices of resale private homes increasing 0.9% to $1,631 psf from $1,616 psf.

This comes as average resale prices of landed properties jumped 13.1%, while resale prices of non-landed properties fell 0.9% on a quarter-on-quarter basis.

Notably, median prices in the RCR increased at a faster pace than in the CCR. Over the course of 13 quarters during the pandemic, median prices in the CCR rose by 13.6% to $2,011 psf in Q3 2023 from $1,771 psf in Q3 2020. The RCR, on the other hand, saw median prices of resale condos jump 26.8% to $1,711 psf in Q3 2023 from $1,349 psf in Q3 2020.

Looking ahead, overall resale prices are expected to gradually increase by 4% to 6% in 2023, down from 2022’s 8.7%.

 

5. About 8,600 households to share feedback on public housing experience

About 8,600 households and single occupiers in HDB flats will be invited to participate in HDB’s latest Sample Household Survey (SHS) 2023/2024 between this October and April next year, said HDB.

The survey is conducted every five years since 1968, with the aim of gathering “residents’ feedback on their public housing experience and understanding their changing needs and expectations”.

For this year, the survey will cover three main areas – HDB population, residents’ social well-being and physical living environment.

Singles aged 21 to 54 years, who are listed as occupiers in HDB units and who do not own HDB flats will be invited to share their views on housing needs and aspirations, marriage as well as their outlook in life.

The survey will also examine the residents’ well-being on three levels – family, personal and the community. It will uncover insights on how to help communities be resilient via physical and social infrastructure.

Media Research Consultants has been commissioned by HDB to conduct the surveys, with the results expected to be ready in 2025.

 

6. Influx of Hong Kong expats to spur leasing demand for prime district homes

A potential influx of Hong Kong expats may reverse the declining trend in residential leases.

“We got feedback from agents from the ground, not only from Savills, but across agencies. The common theme in the second quarter was that there had been some inquiries and some signing of leases by expats that came from Hong Kong or were going to be relocated from Hong Kong to Singapore,” Savills Singapore Executive Director of Research and Consultancy Alan Cheong told Singapore Business Review.

While the interest may not be a “big wave”, it is expected to have a positive impact on the market.

This comes as most Hong Kong expats in Singapore hold C-suite positions and have monthly budgets of between $10,000 and $25,000 for renting apartments. They are expected to rent in prime districts such as Districts 9, 10 and 11.

Expats with budget constraints, on the other hand, will likely rent in Singapore’s east coast in District 15, where monthly rent for a three-bedder apartment range between $4,000 and $6,000, said Cheong.

 

7. Man who ran one of biggest rental scams in Singapore jailed

Zeng Xianfu Gibson – the man behind one of the biggest rental scams in Singapore – has been sentenced to three years and seven months’ imprisonment, after pleading guilty to 23 cheating charges, reported CNA.

The 29-year-old former sales executive at rental firm Singapore Housing Company misused the photos he took of rental units during his employment to scam 68 victims out of almost $383,000.

Between 2018 and 2020, Zheng used the photos on Airbnb even as he had no authority to rent out such units. To bolster his listings’ authenticity, he provided actual images of the units and prepared fake tenancy agreements to deceive victims.

His victims came from various countries and included locals and international students seeking short-term accommodation. The amounts scammed from the victims ranged from $7,000 to $16,635 as “deposits”.

Zeng delayed victims move-in dates with false excuses, such as the outgoing tenant having contracted COVID-19.

In seeking for 47 months’ jail for Zheng, the prosecutor pointed that the offences “were committed at a time where competition for rental units in the market was high due to limited supply and high demand”. This caused significant inconvenience and anxiety among his victims.

 

8. Malaysia to negotiate continuation of Shuttle Tebrau train service

Malaysia plans to negotiate with Singapore for the continuation of the Shuttle Tebrau train service between Woodlands and Johor Bahru Sentral even as the Johor Bahru-Singapore Rapid Transit System (RTS) Link has started operations, reported CNA.

Notably, the termination of the shuttle service is one of the conditions agreed upon by Malaysia and Singapore for implementing the RTS project.

“I personally feel that it is not wrong if we have more connectivity between the two countries … which gives choices to passengers,” said Malaysia’s Transport Minister Anthony Loke.

The JB-Singapore RTS Link is anticipated to start operations by end-2026, serving around 10,000 passengers per hour each way, easing traffic congestion on the Causeway.

Commenting on Shuttle Tebrau’s ridership, Loke shared that a 7% increase was registered this year, with the average passengers per day standing at 8,635.

He added that measures to enhance the train service’s capacity have been taken, which include increasing the number of coaches per operation to eight from four as well as the frequency of train operations to 36 from 31.

 

9. Shophouse market to underperform in 2023

The shophouse market is expected to register weaker transaction volume this year compared to 2021 and 2022, as investors bid their time amid the limited selection of choice shophouse units available for sale and firm prices due to previous growth, reported Singapore Business Review.

Moreover, the flight-to-safety mindset among investors following the pandemic has also waned, said PropNex.

In Q3 2023, shophouse sales dropped 19% quarter-on-quarter to 38 deals. This brings the total deals for the first nine months of 2023 to 117 worth almost $1.1 billion, down from 155 deals worth $1.3 billion over the same period last year.

PropNex stated that the shophouse market appears “on track to underperform the stellar sales achieved in 2022 and 2021”, when 191 and 253 deals were closed, respectively.

It also expects leasing activity to slightly ease this year amid the higher rentals and more cautious environment due to muted economic growth outlook.

Shophouse median rentals moderated by 3.98% quarter-on-quarter to $5.97 psf per month in Q3 2023.

Nonetheless, PropNex expects the shophouse investment sales market to remain “fairly resilient”, on the back of support from investors seeking to add a defensive asset in their portfolio and occupiers seeking space for business operations post-pandemic.

 

10. New industrial supply to outweigh demand

Landlords, particularly of new industrial projects, may have to lower rents to attract or retain tenants, reported Singapore Business Review.

This comes as new supply surpass demand.

“With weaker demand relative to new supply, there is likely to be lower leasing interest and activity,” said Colliers.

Huttons data showed that another 2.2 million sq m of industrial space may be completed in Q4 2023 and 2024. Between 2024 and 2026, Colliers also expect an average annual supply of 1 million sq m, exceeding the 0.7 million sq m average annual demand over the last three years.

CBRE said cautious sentiment has been evident among occupiers in Q3 2023, with most leasing activities driven by relocations and renewals.

However, some experts remain optimistic that leasing activities may pick up by end-2023, on the back of improving manufacturing economy.

“Even though manufacturing output and contribution to GDP contracted during the year, industrial real estate indicators of occupancy levels, prices and rents have been resilient for most industrial property types, weathering the challenges of falling exports, supply chain uncertainty and a gloomy global manufacturing outlook,” said Knight Frank.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Cheryl Chiew, Content Marketing Manager at PropertyGuru, edited this story. To contact her about this story, email: cheryl@propertyguru.com.sg.

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<![CDATA[Record $1.45 million Bukit Merah 5-room HDB Flat, Some HDB Sellers Raise Prices In View of Upcoming Plus BTO Flats, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/10/210449/record-1-45-million-bukit-merah-5-room-hdb-flat-some-hdb-sellers-raise-prices-in-view-of-upcoming-plus-bto-flats-and-more www.propertyguru.com.sg:news:210449 Mon, 23 Oct 2023 08:23:35 +0800 Record $1.45 million Bukit Merah 5-room HDB Flat, Some HDB Sellers Raise Prices In View of Upcoming Plus BTO Flats, and More
Record $1.45 million Bukit Merah 5-room HDB Flat, Some HDB Sellers Raise Prices In View of Upcoming Plus BTO Flats, and More

17 to 23 October 2023

A 5-room HDB resale flat in Bukit Merah was transacted for a record $1.45 million in October 2023, setting a new resale record for 5-room HDB resale flats within the area. Meanwhile, some sellers of HDB flats are using the new Standard, Plus, and Prime models to raise asking prices, with property agents pitching that it would be better to buy resale homes in these areas now.

 

1. A 5-room Bukit Merah flat sold for a record $1.45 million

A 5-room HDB resale flat in Bukit Merah was transacted for a record $1.45 million in October 2023, setting a new resale record for 5-room flats within the area.

It surpassed the previous record registered in September 2023 when a 5-room unit situated on the 34th to 36th levels of Block 95C was sold for $1.43 million.

Shin Min Daily News reported that the new record-breaking unit is not on a high floor of Block 96A.

HDB data showed that the unit has an area of 113 sq m (1,216 sq ft) and is situated on the 19th to 21st floor.

The deal was brokered by an ERA agent, who shared that the unit was in “move-in condition”.

The sellers had initially listed the flat for $1.68 million but eventually lowered the asking price to $1.48 million. It attracted around 10 enquiries and six viewings, before getting snapped up by the buyers, who are Singapore permanent residents from India.

The 48-storey Block 96A has seen seven million-dollar flats since 2021, said Shin Min Daily News.

 

2. Some HDB flat sellers capitalise on new public housing model to raise prices

Some sellers of HDB flats are using a new public housing model to raise asking prices, with property agents pitching that it would be better to buy resale homes in these areas now, reported CNA.

This comes as prices in potentially classified locations may increase once this new classification kicks in. Purchasing a resale flat in these areas now also means that they are free them the restrictions attached to Plus flat types to be launched in the H2 2024.

Real estate agent Tay Jooann said sellers of standard flats near upcoming BTO flats that could potentially be Plus classified housing find their flats a bit more valuable overnight.

“They are trying to perhaps take a bit longer for the right price to come along or perhaps take a step to increase their price a little more to include that value into the price,” she added.

Industry insiders noted that prices for flats near town centres and MRT stations have already increased by up to $10,000 compared to before.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

3. New private home sales fell for a second consecutive month in September 2023

Sales of new private homes, excluding executive condominiums (ECs), fell for the second consecutive month by 44.9% to 217 units in September 2023, from 394 units in August, reported CNA citing URA data.

This marked the lowest monthly sales since December 2022, when 170 units were sold.

On an annual basis, new home sales also declined 78% from the 987 units shifted over the same period in 2022.

Analysts attributed the second consecutive monthly decline in sales to the lack of major launches.

The month of September 2023 only saw 68 units launched, well below the 590 units launched in August 2023 and 2,156 units in July 2023.

 

4. Bayshore estate to offer 10,000 new homes, two BTO projects to be launched next year

The new Bayshore housing estate will offer around 10,000 new homes, of which 70% or around 70,000 units will be public housing.

The first Bayshore BTO 2024 projects are set to be launched in the second half of 2024, revealed HDB.

Comprising around 1,400 units of 2-room Flexi to 4-room flats, the two BTO projects will potentially be launched under the new Plus model. The flats at these projects will come with full-height windows, providing residents unobstructed waterfront views for those facing East Coast Park, or city views for those facing Bedok town.

Bayshore is situated on a 60ha site of reclaimed land which has been set aside for residential use since the 1998 Master Plan.

Located next to East Coast Park, the new Bayshore estate is planned as an extension of Bedok town.

Property analysts expect high demand for the Bayshore BTO units even as they come with a longer Minimum Occupation Period (MOP) of 10 years, reported TODAY.

Related article: Bayshore BTO Projects, New MRT Stations, and More: What to Expect of the Upcoming Bayshore Estate

 

5. Up to 5,500 new HDB flats are to be built in Tanglin Halt as part of the redevelopment

Tanglin Halt, one of Singapore’s oldest public housing estates, will have a new hawker centre, market and polyclinic as part of the estate’s redevelopment.

These facilities will be housed under one roof and will be integrated with the estate’s housing, revealed HDB.

Notably, the estate is expected to offer up to 5,500 new HDB flats when fully developed.

The new Tanglin Halt Integrated Development will also feature shops and social communal facilities, catering to the residents’ daily needs.

A linear park will also be built between the Rail Corridor and Common Wealth MRT station, allowing residents to walk and cycle amid lush greenery.

Special efforts will also be made to preserve as much of the estate’s history and heritage.

This includes retaining the 10-storey height of “new housing blocks near the Rail Corridor, in homage to the old “chap lau chu” (or 10-storey house in Hokkien)”.

Some of the blocks, such as Blocks 69 and 70 that were built by the former Singapore Improvement Trust, may also be repurposed for other social-communal uses.

 

6. URA launches Orchard Boulevard site for tender

A residential with commercial at first storey site at Orchard Boulevard has been launched for tender under the Confirmed List of the H2 2023 Government Land Sales (GLS) Programme, revealed the Urban Redevelopment Authority (URA).

Spanning 7,031.5 sq m, the 99-year leasehold site has a gross plot ratio of 3.5 and is expected to yield around 280 homes and 500 sq m of commercial space.

Located near the Orchard Road shopping belt, the site may attract developers who want to buy land within a prime location without going through a collective sale.

The tender for the Orchard Boulevard site closes on 1 February 2024. It will be batched with an EC site at Plantation Close that is set for launch in November 2023.

Related article: Jurong Lake District, Tengah: 4 Most Exciting Features Coming to the West Side of Singapore By 2033

 

7. Mixed-use property, adjoining land at River Valley Road up for Sale

A prime freehold mixed-use property, known as Crystal Court, and adjoining land at River Valley Road have been put up for sale, with a guide price of $115 million or $2,456 PSF ppr, revealed sole marketing agent Edmund Tie.

Completed in the 1980s, the five-storey Crystal Court occupies a 1,554.2 sq m site, featuring 16 apartment units, a ground floor commercial unit and a basement carpark.

The adjoining land, on the other hand, measures 377 sq m and serves as a private service road with car parking lots.

Edmund Tie said the properties can be amalgamated by the successful buyer and “redeveloped into a five-storey boutique mixed-use development with a total gross floor area of 5,407 sq m, reflecting a plot ratio of 2.8”.

The buyer can also explore reusing the existing building and space as co-living residences, serviced residences, hotels or postpartum care centres, subject to the approval of authorities.

Submission of separate tender bids for each property will close on 20 November 2023.

 

8. Two adjoining properties at Gentle Road are up for estate sale

Two adjoining freehold properties located at 43 and 45 Gentle Road have been put up for estate sale, with the vendors expecting offers over $30 million for both properties, revealed sole marketing agent Knight Frank Singapore.

This works out to about $1,884 PSF based on the total land area of 1,479.3 sq m or around 15,923 sq ft.

Nestled within the Chancery landed housing enclave in District 11, the properties are zoned for “Residential – two-storey mixed-landed” use under the 2019 Master Plan. Currently, the plots are occupied by a pair of single-storey semi-detached homes built in the 1950s.

Featuring regular site configurations, the properties have a combined frontage of about 36 m, a feature ideal for redevelopment.

Chia Mein Mein, Knight Frank Singapore’s Head of Capital Markets (Land and Collective Sale), expects the properties to attract keen interest, given the plots’ regular site configuration, boutique scale and palatable price quantum.

The tender for the properties will close on 16 November 2023.

 

9. Robot ‘butler’ delivers meals to homebound seniors at HDB rental block

An autonomous robot known as Aiden – short for Autonomous Intelligence for Delivery and Engagement – serves as a “butler” at a block of rental flats in Queenstown, delivering meals to frail seniors, reported The Straits Times.

The seniors are beneficiaries of the senior group home programme of Lions Befrienders (LB), aimed at helping homebound seniors who can no longer prepare or buy their meals and have no caregivers to do it for them.

The mobile robot, which features a small arm that it uses to press lift buttons, delivers two meals as well as other items like medication or laundry to seniors aged 67 to 82 daily. It can navigate the building’s small lifts and narrow corridors independently.

Social service agency LB is collaborating with Delta Electronics Singapore for this trial.

Launched on 13 October at Block 151 Mei Ling Street, the trial will run until February 2024.

LB Executive Director Karen Wee revealed that a second Aiden is set to be trialled in Tampines.

 

10. Clementi police headquarters to move to a new location

Clementi police headquarters as well as the neighbourhood police centre will move to a new location at 6 Lempeng Drive on 31 October to make way for the development of the Cross Island Line (CRL), reported CNA.

With this, it will cease operations at its present building at 20 Clementi Avenue 5.

The police, however, assured that the relocation will not affect police services as the Clementi Neighbourhood Police Centre “will continue to serve the needs of the residents and community partners from the new site”.

Construction of Clementi’s CRL interchange station, located at the junction of Clementi Avenue 4 and Commonwealth Avenue West, is set to start in Q1 2024.

The $514 million contract to design and construct the Clementi station was awarded to a joint venture between China Communications Construction Company (Singapore branch) and Sinohydro Corporation (Singapore branch).

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Tampines EC Site Awarded to Sim Lian, HDB Awards Ceremony 2023, Low October 2023 BTO Application Rates, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/10/210414/tampines-ec-site-awarded-to-sim-lian-hdb-awards-ceremony-2023-low-october-2023-bto-application-rates-and-more www.propertyguru.com.sg:news:210414 Mon, 16 Oct 2023 09:04:47 +0800

10 to 16 October 2023

The Council of Estate Agencies (CEA) revealed that 20 property agents have been fined and issued letters of censure for marketing empty HDB flats that had never been lived in, since January 2022. Meanwhile, some new residents at Tengah are contending with long walks through dusty construction sites due to limited transport options within the area.

 

1. First residential land returned to the state to be developed for public housing

The first residential plot of land that reached the end of its lease is being prepared for the development of public housing as part of efforts to rejuvenate Kallang, reported The Business Times.

The terrace homes occupying the area had 60-year leases that expired in December 2020. The homes have since been vacated, with the land returned to the state.

The Urban Redevelopment Authority (URA) stated that the proposed development will support housing demand and provide future residents easy access to amenities and transport hubs, such as Geylang Bahru and Kallang MRT station.

URA proposes to assign plot ratios of 2.4 or 2.8 for the land parcels along Upper Boon Keng Road.

Analysts expect the site to yield 200 to 400 housing units.

The site may be classified under the Prime Location Public Housing (PLH) model, given its proximity to the Kallang River and the location at the fringe of the Downtown area.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

2. 20 property agents found marketing empty, never lived in BTO flats

The CEA revealed that 20 property agents have been fined and issued letters of censure for marketing empty HDB flats which had never been lived in since January 2022, reported CNA.

The most recent involved two agents who marketed vacant HDB flats at Yishun Street 51 and Depot Road.

The agent who marketed the Yishun Street flat was fined $1,000, while the agent who marketed the flat at Depot Road was fined $500. Both agents were also censured.

While CEA did not divulge the name of the agents, a public register of property agents showed that Christina Au and Isabelle Loo – agents from ERA Realty Network – were fined $1,000 and $500, respectively, for marketing a flat even as the owners have not fulfilled the Minimum Occupation Period (MOP).

HDB said that it takes “violation of MOP rules seriously and will not hesitate to carry out enforcement actions”.

“Should investigations conclude that a flat was not owner-occupied during the MOP, HDB may compulsorily acquire the flat, impose a financial penalty of up to S$50,000, or issue written warnings,” it added.

 

3. Long dusty road ahead for some residents of Tengah

Some new residents at Tengah had to contend with long walks through dusty construction sites due to limited transport options within the area, reported CNA.

Notably, the sole bus stop in the estate, which is served by bus service 992 only, is situated along Plantation Crescent, right next to Plantation Acres’ Block 111.

This means a 10- to 15-minute walk for Plantation Grange residents. They would also have to walk 10 more minutes if they want to go to Bukit Batok Road, where there are more public transport options.

Aside from these, Tengah’s homeowners also had to face blocked footpaths and some are concerned about safety.

“There is only one bus and at night, this road is very dark and there is construction going around, it’s … not a safe place,” said a 51-year-old resident.

In another article, CNA reported that some Tengah homeowners who signed up for the centralised cooling system have complained of leaks and condensation.

Some residents also pointed out that the airflow coming from the cooling system was not cold enough.

“It’s cool. It’s definitely better than if you don’t turn it on, but it is not as cold as normal temperatures in air-conditioning,” said Manny, a flat owner at Plantation Grange.

Related article: Tengah: Singapore’s Upcoming ‘Forest Town

 

4. October 2023 BTO sales exercise posts underwhelming response amid new non-selection penalty

The HDB BTO Oct 2023 sales exercise saw 9,848 potential buyers applying for the 6,800 available flats as of 5pm on 10 October 2023, reported TODAY.

This works out to an overall application rate of around 1.4 times – which analysts describe as “underwhelming” and one of the lowest in recent years.

The last time overall BTO application rates dropped below two times was in November 2017, when it stood at 1.7 times for the 4,829 units offered.

Analysts attributed the lukewarm response mainly to the penalty for non-selection of flats, which kicked in during this month’s exercise. They believed that applicants decided to hold back due to fear of being penalised.

Aside from the new rules, potential buyers may also be waiting for the attractive projects set to be launched in the upcoming BTO exercise in December 2023, they said.

On the flipside, the lower application rate means almost all first-time buyers will have a chance to select their flats, noted analysts.

Related article: HDB BTO Dec 2023 Launch: Bedok, Bishan, Bukit Merah, Bukit Panjang, Jurong West, Queenstown, Woodlands

 

5. Tampines executive condominium (EC) site awarded to Sim Lian

The 99-year EC site at Tampines Street 62 (Parcel B) has been awarded to Sim Lian Land and Sim Lian Development after the consortium submitted the highest bid of $543.28 million, revealed HDB.

Launched for tender on 14 March 2023, the site has an area of 28,000.2 sq m and a maximum gross floor area (GFA) of 70,001 sq m. It is expected to yield 700 housing units and received seven bids during the close of its tender in July.

Huttons Asia said the EC market is drawing a lot of interest given the strong sales seen at past EC launches.

“The top bid of $721 per sq ft (PSF) ppr speaks of the confidence the developer has for ECs in Tampines,” it said, noting that EC sites in Tampines generally tend to have a slight premium compared to other locations.

Located near the upcoming Cross Island line and a future mixed-use development along Tampines Avenue 11, the area has more than 2,000 HDB flats, generating a pool of upgraders when they reach the five-year MOP in 2024 and 2025.

Related article: Executive Condos: Guide to Buying ECs in Singapore (2023)

 

6. Choa Chu Kang to get new mixed-use developments, recreational spaces

Choa Chu Kang will get new mixed-use developments, more recreational spaces and better connectivity as part of the Remaking Our Heartland (ROH) programme, revealed HDB.

Choa Chu Kang consists of several neighbourhoods, including Keat Hong, Yew Tee, and Teck Whye – where the first HDB flats of the town were completed in 1977.

Located right next to the Yew Tee and Choa Chu Kang MRT stations, the mixed-use developments will offer added dining, commercial and transport options.

The Heart of Yew Tee integrated development, for instance, will feature the town’s first hawker centre as well as a kidney dialysis centre, a polyclinic, retail shops, and a community plaza.

Choa Chu Kang Park, the town’s largest park, will be upgraded to offer improved landscaped and community spaces.

The authorities also plan to introduce various social and recreational spaces along certain sections of the North-South Line MRT viaduct, to encourage residents to take on a more active lifestyle.

Pedestrian and cycling connectivity across the town will also be improved, with the road along Choa Chu Kang Terrace set to be closed to traffic and pedestrianised.

 

7. 26 projects win HDB award for design, construction and engineering excellence

Despite major site constraints, construction firm Welltech Construction received a high CONQUAS Star score of 97.8 for its quality workmanship at Clementi Peaks, said HDB.

This comes as Welltech had identified key project challenges from the outset and implemented innovative solutions to manage them, including the use of Building Information Modelling (BIM) and Virtual Design & Construction (VDC), which allowed them to virtually simulate construction activities and make refinements before actual construction.

They also utilised mobile applications to track and tag defective items during construction, while computer vision enabled them to detect potential safety hazards at the construction site and take prompt corrective action.

Notably, Welltech is one of the eight winners of the HDB Construction Award. It will be among the 26 HDB Design, Construction, and Engineering Awards to be presented by National Development Minister Desmond Lee on 16 October 2023.

“Amidst challenging times for the construction industry, our building partners have worked hard to deliver quality projects, while demonstrating excellence in design and engineering,” said HDB CEO Tan Meng Dui.

He pointed out that it was encouraging to see many industry partners adopt greater use of technology to raise “productivity while maintaining high construction standards and safety”.

 

8. Growing gap in expectations hamper en bloc sales

Singapore’s collective sales market continued to struggle in Q3 2023, due to a tentative and uncertain market outlook.

Knight Frank noted that among the biggest challenges facing the collective sale market is the growing gap in expectations between property owners and developers, reported Singapore Business Review.

“[This has been] exacerbated by increasing costs, interest rates and the prohibitive increases in ABSD rates, all in a climate of economic pessimism,” said Knight Frank.

It added that the rising costs have prompted developers to look to the Government Land Sales (GLS) confirmed list.

Moreover, the withdrawal of Wing Tai subsidiary, Wincove Investment, from the $76.3 million sale of Holland Tower also dampened sentiment in the en bloc sales market.

Meanwhile, the sole en bloc sale of Far East Shopping Centre at the end of Q3 2023 provided a much-needed boost into the rather gloomy collective sale environment, which had been impacted by the recent hike in Additional Buyer’s Stamp Duty (ABSD) rate for foreign property buyers.

With this, Knight Frank believes foreigners residing in properties that are undergoing a collective sale process will unlikely sell due to significantly higher replacement costs for them.

 

9. Work on the Cross Island MRT line Punggol extension officially started

Construction works for the Cross Island Line (CRL) Punggol extension have officially begun, with passenger service anticipated to start by 2032, reported The Straits Times.

Spanning 7.3km, the Punggol extension comprises four stations – namely, Pais Ris, Elias, Riviera, and Punggol.

The Punggol MRT station will be connected to the North East MRT line, the Riviera station to the Punggol LRT line and the Pasir Ris station to the East-West MRT line.

Acting Transport Minister Chee Hong Tat said the extension will slash travel time between Punggol and Pasir Ris to just 15 minutes, from 40 minutes by bus ride.

Time spent on travelling from the east of Punggol to the Loyang industrial area, via the Riviera station, will also be cut from 45 minutes by bus to just 20 minutes by train.

To minimise disruptions and inconveniences to residents during construction, the LTA has taken steps to reduce noise, vibration, and dust. The measures include using electric excavators and battery power pack generators, which emit less noise compared to conventional diesel-powered ones.

 

10. HDB resale price growth slows amid buyer resistance

The slower price growth recorded for HDB resale prices indicates that more consumers are saying no to rising prices, said OrangeTee.

With this, it expects demand to be diverted to the BTO market as more flats are set for sale in the upcoming sales exercise, reported Singapore Business Review.

HDB flash estimates showed the resale prices climbed 1.2% in Q3 2023, down from the 1.5% increase posted in the previous quarter.

The price growth in Q3 2023 was primarily driven by four-room flats, which saw average prices increase by 1.8% quarter-on-quarter to $589,992 during the period under review from $579,740 in Q2 2023, showed HDB data. It was followed by executive flats, which increased by 1.2% to $837,138 from an average of $827,549.

The decline in prices was evident across 10 towns, with Geylang registering the biggest quarterly drop at 3.6%, followed by the Central Area at 3.4%. Comparatively, only six towns registered quarterly price drops in the Q2 2023.

11. Shophouse sales to hit $1.5 billion in 2023

Singapore shophouses have transformed from urban relics into a highly sought-after symbol of sophisticated living, reported Bloomberg.

Notably, Singapore has about 6,500 historic shophouses that were given conservation status. They were built during the colonial era between the 1840s and the 1960s, with the early ones serving merchants and their families.

Now shophouses are sought after for hipster restaurants, bars, and boutique hotels.

Demand for these properties is also driven by the city-state’s efforts to regulate housing prices.

This comes as measures rolled out by the government, such as additional levies on locals purchasing second homes and on foreign residential property buyers do not apply to commercial properties. Notably, most shophouses fall under this category.

With this, shophouse prices in Singapore soared to a record $5,500 PSF – doubling the prices on Manhattan’s Upper Fifth Avenue, dubbed the most expensive shopping street in the world in 2022.

Sales of shophouses also surged 44% quarter-on-quarter (QoQ) to $415 million in Q2 2023, said Knight Frank.

Looking ahead, Mary Sai, Knight Frank Singapore’s Executive Director of Capital Markets, expects shophouse sales to hit by up to $1.5 billion this year.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[October 2023 BTO Launch Details, Upcoming December 2023 BTO Launch Information, HFE Letter Delays, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/10/210384/october-2023-bto-launch-details-upcoming-december-2023-bto-launch-information-hfe-letter-delays-and-more www.propertyguru.com.sg:news:210384 Tue, 10 Oct 2023 01:30:59 +0800 October 2023 BTO Launch Details, Upcoming December 2023 BTO Launch Information, HFE Letter Delays, and More
October 2023 BTO Launch Details, Upcoming December 2023 BTO Launch Information, HFE Letter Delays, and More

3 to 9 October 2023

Singapore saw private home prices marginally increase by 0.5% in Q3 2023, following a 0.2% decline in Q2 2023. Meanwhile, HDB resale flat prices rose 1.2% in Q3 2023, marking its 14th consecutive quarterly increase.

 

1. Private home prices remained “broadly flat” in Q3 2023

Singapore saw private home prices marginally increase by 0.5% in Q3 2023, following a 0.2% decline in Q2 2023, according to Urban Redevelopment Authority (URA) flash estimates.

URA noted that the hike was significantly lower compared to 2022’s average quarterly increase of 2.1%.

Moreover, sales dropped by around 15% on a quarter-on-quarter (QoQ) basis and by around 26% on a year-on-year (YoY) basis in Q3 2023.

Prices of non-landed private homes specifically climbed 2.1% during Q3 2023, reversing the 0.6% decline in Q2 2023.

URA attributed the increase to higher prices in the Outside Central Region (OCR) and the Rest of Central Region (RCR), where it rose by 5.1% and 2.3%, respectively.

Prices in the Core Central Region (CCR) dropped 2.6% in Q3 2023, continuing the 0.1% decline seen in the previous quarter.

Meanwhile, landed home prices fell 4.9% in Q3 2023, a reversal from the 1.1% increase in Q2 2023.

 

2. HDB resale prices climbed at a slower pace QoQ in Q3 2023

Resale prices of HDB flats rose 1.2% in Q3 2023, marking its 14th consecutive quarterly increase, as per flash estimates by HDB.

However, the hike was slower compared to the 1.5% increase registered in Q2 2023.

OrangeTee attributed the slower pace of growth to “some price resistance” setting in amid inflationary and affordability concerns.

“Home buyers’ affordability has been hit by rate hikes as interest rates have stayed higher and longer than anticipated,” it said.

In fact, the price hike was also below the 2.5% average quarterly growth seen in 2022.

OrangeTee said the HDB resale market may not experience a repeat of the rapid price growth seen during the COVID-19 pandemic, when prices rose 12.7% in 2021 and 10.4% in 2022.

“Prices may climb slower for the rest of the year, with the full-year growth at around 4% to 5.5%,” it added.

Meanwhile, HDB registered 6,592 resale transactions in Q3 2023 (up to 28 September 2023), up 2.9% from the 6,409 posted in the previous quarter.

However, it was 9.7% lower compared to the 7,298 cases recorded in Q3 2022, making it the lowest third volume over the last three years.

 

3. Five BTO projects delayed by Greatearth liquidation finally completed

HDB revealed that all five BTO projects delayed by the withdrawal of their previous contractors, Greatearth Construction and Greatearth Corporation, have finally been completed, reported CNA.

These projects are West Coast Parkview, Marsiling Grove, Sky Vista @ Bukit Batok, Senja Heights, and Senja Ridges.

Around 3,000 HDB flats across these BTO projects were affected by the stoppage of construction work in August 2021, with delays ranging from two to 12 months beyond their original completion dates.

Notably, the projects were already behind schedule as the construction sector was hit hard by the COVID-19 pandemic.

HDB CEO Tan Meng Dui shared that almost 75% of BTO projects that were delayed by the pandemic have now been completed. The rest are set to be completed by early 2025, said National Development Minister Desmond Lee.

 

4. New homes in more central locations among proposals for the Draft Master Plan 2025

Homes in more central locations and a Recreation Master Plan are some of the proposals put forward by the URA for the Draft Master Plan 2025.

URA said it will engage Singaporeans and stakeholders in the next two years as part of the Master Plan’s latest review in 2025. It will seek ideas and feedback on various plans through different platforms such as exhibitions, competitions and focus group discussions.

Key proposals include siting a mix of housing in more central locations, like the city area, the former Keppel golf course site and Turf City in Bukit Timah.

A Recreation Master Plan will also be presented, supporting both indoor and outdoor recreational opportunities such as entertainment, sports and wellness to promote healthy and active lifestyles.

URA will also share ideas that could potentially mitigate the urban heat island effect and build up Singapore’s heat resilience later this year.

There are also plans to inject more flexible and mixed-use workspaces in areas such as Jurong Lake District (JLD) as well as plans to enhance Identity Corridors, like the Rail Corridor and Thomson-Kallang Identity Corridor.

Related article: Turf Club Closing, Kranji Redeveloping: 4 Biggest Changes to the North of Singapore By 2033

 

5. HDB BTO Oct 2023 Verandah @ Kallang and Queenstown Tanglin Halt Cascadia launched under the PLH model

The October 2023 BTO launch included two BTO projects in Kallang and Queenstown, namely Verandah @ Kallang and Tanglin Halt Cascadia, that were launched under the Prime Location Public Housing (PLH) model.

The two BTO projects account for 2,116 out of the 6,800 flats offered for the HDB BTO October 2023 launch, reported CNA.

HDB revealed that six of the eight BTO projects in the Oct 2023 BTO sales exercise have a waiting time of four years and below.

Other projects are in mature estates such as Tenteram Vantage and Rajah Residences in Kallang/Whampoa, and non-mature estates like Rail Green I and II @ CCK in Choa Chu Kang and Plantation Edge I and II in Tengah.

Under tighter rules for non-selection of flats, applicants of BTO and Sale of Balance Flats (SBF) who secured a queue position within the flat supply cannot apply for a flat in later exercises until after their booking appointment.

“This will ensure that we do not crowd out other BTO applicants who have not secured a queue position and improve their chances of securing a flat,” said HDB.

HDB announced that a new priority category of buyers, known as the First-Timer (Parents and Married Couples) category, will also take effect from this exercise.

 

6. HDB to launch first BTO Sin Ming flats in 35 years in the upcoming HDB BTO Dec 2023 launch

HDB will offer eight BTO projects, comprising about 6,010 BTO flats, in December 2023 – the final sales exercise of the year, reported CNA.

One of these projects will be situated in Bishan’s Sing Ming Road, marking the first HDB flats to be built within the area in 35 years.

The last of the BTO three projects in the eastern half of Ulu Pandan will also be included in the upcoming Dec 2023 BTO launch.

The other projects are in Woodlands, Bukit Merah, Bukit Panjang, Bedok, and Jurong West.

The development in Sing Ming Road will feature about 730 units of 3-room and 4-room BTO flats, while the project in Queenstown will offer about 890 3-room and 4-room BTO flats.

There will be two Dec 2023 BTO projects in Woodlands, which will feature a total of about 1,220 units, while the BTO project in Bukit Merah will have about 900 units.

The BTO project in Bedok, which will come with community care apartments, will offer about 1,230 flats, while the BTO projects in Jurong West and Bukit Panjang will offer about 710 and 330 flats, respectively.

 

7. About 69% of applications for HDB HFE letters took over 21 days to process

About 31% of applications for the HDB Flat Eligibility (HFE) letter until 25 September 2023 were processed within the 21-day service standard, according to Senior Minister of State for National Development Sim Ann.

She revealed that the process was expedited for the remaining 69% of applications, which took over 21 days to process, reported CNA.

Ms Sim added that applicants who wanted to participate in the May 2023 BTO launch did not miss out even if they received their eligibility outcomes after 21 days.

She was replying to a parliamentary query by Leader of the Opposition Pritam Singh, who asked how many applicants were affected by technical glitches related to the timely issuance of the HFE letters.

Ms Sim replied that it was hard to define the exact number of affected applicants.

However, she explained that HDB has made certain accommodations to ensure that applicants did not miss out on the May 2023 BTO launch even as they received their HFE eligibility outcomes after the 21-day service standard.

 

8. URA calls tender for longest elevated cycling bridge in Singapore

The URA has called a tender to build a 682m-long cycling bridge across the Pan-Island Expressway (PIE), making it the longest of its kind in Singapore, reported The Straits Times.

To be built by 2027, the bridge will form part of a 1.2km link that would allow cyclists and pedestrians to seamlessly travel between the park connector right next to St Andrew’s Junior College and the Jalan Taman neighbourhood park.

Street-level paths will also be built, along with a 40m underpass near Mar Thoma Road within Bendemeer as well as a 275m path from Mar Thoma Road to Jalan Taman, which will hang over the Kallang River.

The works are the final touch to URA’s bigger project to transform the Kallang Park Connector into a 10km commuting route, slashing cycling time from Bishan to the Central Business District (CBD) to just about 30 to 45 minutes, from around one to 1.5 hours.

 

9. Works for the first phase of the Bishan-to-City links project completed

The first phase of the Bishan-to-City Links project, aimed at establishing a seamless cycling and pedestrian route from Bishan to the city, has been completed and opened.

First presented in 2017, the project is part of plans to rejuvenate the areas along the Kallang River, reported CNA.

Under the first phase of the project, the existing underpass located at Central Expressway was enhanced to improve the safety and comfort of users, particularly cyclists. This involved increasing the headroom to 2.4m from 1.9m and widening the pathway.

Terrazo and timber seats were also introduced for users to seek shelter from rain, take a break, and rest. New lights were also installed to brighten the space and enhance safety, while the flooring was designed with copper inlays of fish found within the Kallang River.

The underpass also features a 110m mural depicting scenes along the Kallang River, adding colour and vibrancy to the space.

Enhanced signalised crossing and new underpasses, featuring 3D murals that were lit with LED lights, were also introduced at Upper Boon Keng and Kallang Bahru.

Other areas with improved signalised crossings include Bendemeer Road, Serangoon Road, Geylang Road, and Sims Avenue.

 

10. LTA awards construction contracts for Cross Island Line (CRL) Clementi and King Albert Park MRT stations

The Land Transport Authority (LTA) has awarded the contracts to design and build the CRL interchange stations at Clementi and King Albert Park, with the construction works for the stations expected to begin in the first quarter of 2024.

The $541 million contract for the Clementi station was awarded to a joint venture between China Communications Construction Company (Singapore branch) and Sinohydro Corporation (Singapore branch), reported CNA.

Meanwhile, the contract for the construction of the King Albert Park station, which is valued at about $447 million, was awarded to China Communications Construction Company.

The Clementi station is located adjacent to the junction of Clementi Avenue 4 and Commonwealth Avenue West, while the King Albert station is situated along Blackmore Drive.

LTA said traffic and utilities diversions will be implemented in phases to facilitate construction works and to mitigate the impact on residents, motorists and students.

 

11. Stamp duty for property-related investments depends on the structure of the product and transaction

Deputy Prime Minister and Minister of Finance Mr Lawrence Wong explained that stamp duty for property-related investments will depend on the specific structure of the product and transaction, reported Singapore Business Review.

According to DPM Wong, an investor will not be liable to pay stamp duty if no beneficial interest or ownership of the actual property was received, such as when the investor was only entitled to a portion of the income generated by the property.

“Investors should consider both tax and non-tax consequences when making their investment decisions,” said Wong.

In Singapore, persons directly purchasing residential properties are subject to up to 6% Buyer’s Stamp Duty (BSD) and up to 65% in Additional Buyer’s Stamp Duty (ABSD) for entities (companies or associations) buying any property and trustees of any residential property.

Those buying shares in a Property Holding Entity (PHE), on the other hand, are subject to Share Duty as well as Additional Conveyance Duties (ACD) if they meet the relevant thresholds.

He noted that ACD for acquisitions includes up to 6% in BSD and a flat rate ABSD of 65%.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Around 1,900 Choa Chu Kang October 2023 BTO Flats to be Launched, An Altura EC Unit Sets New Price Record of $1,585 PSF, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/10/210353/around-1900-choa-chu-kang-october-2023-bto-flats-to-be-launched-an-altura-ec-unit-sets-new-price-record-of-1585-psf-and-more www.propertyguru.com.sg:news:210353 Mon, 02 Oct 2023 09:19:21 +0800

26 September to 2 October 2023

Altura, an executive condominium (EC) at Bukit Batok West Avenue 8, has sold a 980 sq ft unit for $1.55 million, which works out to a record price for an EC: $1,585 per sq ft (PSF). Meanwhile, HDB will launch around 1,900 BTO flats across two projects in Choa Chu Kang in the upcoming October 2023 BTO launch.

 

1. Altura EC unit sets new record price of $1,585 PSF

Altura, an EC development project at Bukit Batok West Avenue 8, has sold a 980 sq ft unit for $1.55 million, reported Singapore Business Review.

This works out to $1,585 PSF, setting a new high for an EC unit. It surpassed the previous record set by a Copen Grand unit, which was sold for $1,499 PSF.

A joint project of Qingjian Realty and Santarli Construction, the EC development also “topped the best-selling project list in August 2023, with a total of 225 units sold at a median price of $1,480 PSF,” said Singapore Realtors Incorporated (SRI).

To date, the development has sold 315 out of its 360 available units.

“This translates to an impressive take-up rate of 87.5%, signifying the appeal and the popularity that Altura has garnered amongst prospective home buyers,” noted SRI.

 

2. Around 1,900 BTO flats will be offered in the Choa Chu Kang October 2023 BTO project

HDB will launch around 1,900 BTO flats across two projects in Choa Chu Kang in the upcoming sales exercise in early October 2023, reported CNA.

With waiting times of three years and three months to four years, Rail Green I and II @ CCK comprises 12 residential blocks of 13- to 31-storeys. They will offer a vast selection of flat sizes, including 5-room and 3Gen flats.

Rail Green I @ CCK, which has over 870 units, will have one of the shortest waiting times among the projects set to be launched in this month’s sales exercise. Other projects to be offered are in Kallang/Whampoa, Tengah, and Queenstown.

The units will be oriented to offer panoramic views of Pang Sua Canal as well as a linear green area, allowing residents to enjoy green living as much as possible.

To celebrate the area’s heritage, the Rail Green precinct’s courtyard will have a train-themed playground for children, while the precinct’s walkways will feature floor designs resembling railway tracks.

 

3. Queenstown to get new parks and cycling paths

Queenstown residents can look forward to various enhancements and upgrades in their town within the next five to 10 years as part of the Remaking Our Heartland (ROH) programme, said the HDB.

The rejuvenation plans for Queenstown are focused on introducing new facilities and green spaces, improving connectivity, creating more senior-friendly neighbourhoods, and preserving the town’s heritage.

HDB and SportSG, for instance, will set up an ActiveSG Gym at Queensway Canopy to encourage residents to get active. It will be the first gym within a housing development.

New parks with themed facilities, nature play elements and sheltered seating will be introduced across the town, while existing neighbourhood parks and green spaces will be upgraded.

New cycling paths linking to neighbouring towns such as Clement and Bukit Merah will also be implemented to promote a green and active lifestyle among residents.

Meanwhile, six existing Neighbourhood Centres will be given an upgrade, with enhancements including wider centre dividers and barrier-free ramps to cater to seniors.

 

4. Private non-landed home prices grow at a slower pace in August 2023

The Singapore Residential Price Index (SRPI) saw prices for private non-landed homes rise at a slower pace of 0.7% in August 2023, compared to the 1.1% growth registered in July 2023.

The sub-index for the Central region, excluding small units, showed that prices climbed 0.8% in August, while the Non-Central region posted a 0.7% growth. This is slower than the 1.2% and 1.1% increases registered, respectively, in the previous month.

Prices for small units rose 0.3% in August 2023, down from July 2023’s 0.4% hike.

Huttons Asia CEO Mark Yip said the resale condominium market “benefited from the robust HDB market and lack of new project launches” in August 2023, reported Singapore Business Review.

“A record high of 54 HDB flats were sold for a million dollars or more which provides HDB upgraders the cash to buy a resale condo,” he added.

Looking ahead, he expects the robust HDB market to continue to support the resale condominium market. However, he believes the uncertain economic environment and high interest rates will temper price gains.

 

5. Some damage was seen at Hazel Park condominium following the bomb disposal operation

Residents of the Hazel Park condominium have reported some damage to their units, following the controlled detonation of a World War II bomb at an Upper Bukit Timah construction site.

The Hazel Park condominium is within a 200m radius of the bomb detonation site, with the residents among those required to vacate their homes during the operation by the explosive ordnance disposal unit of the Singapore Armed Forces.

Although most of the residents who evacuated found no damage to their condominium upon their return, some spotted damage in the condominium’s common areas.

Photos shared in a residential chat group showed cracked windows cordoned off with tape and pieces of fallen plaster.

“I saw cracks in this side glass panel of the door in Block 21’s main lobby. Block 21 is one of the two blocks facing the blast site,” a Hazel Park resident told CNA.

The Building and Construction Authority (BCA) stated that Hazel Park condominium as well as other buildings within 200m of where the bomb was discovered were found to be structurally safe by its engineers.

This comes as buildings within the city-state are structurally designed to withstand tremors, which include “effects of a blast from a distance”, it added.

 

6. Lack of new launches pushed up condo resale prices

The lack of new launches has forced prospective buyers to turn to the resale market, leading to a 1% year-on-year hike in prices in August 2023, reported Singapore Business Review.

Despite the launch of five new projects in August 2023, OrangeTee noted that all of the projects were small or mid-sized with not more than 500 units. The biggest project was Altura, an EC, which means most buyers may be ineligible to buy.

Aside from the lack of new launches, Huttons Asia also attributed the resale price hike to the robust HDB market.

Moving forward, the resale volume is not expected to increase significantly “as many homeowners may keep their units for occupation or rental income”, given that prices for new homes have remained elevated, said OrangeTee.

 

7. Bedok, Woodlands sites earmarked for residential development

Land plots in Woodlands and Bedok have been earmarked for future residential development, with the sites expected to yield up to 2,000 new housing units, reported The Business Times.

Proposed amendments to the 2019 Master Plan gazetted by the Urban Redevelopment Authority (URA) showed that a site at Chai Chee Lane in Bedok will have a plot ratio of 3.0 to support future residential development near a transport node.

Analysts expect the site to yield 1,200 to 1,800 new homes. However, they do not expect the homes to be designated as Plus flats, which refer to HDB BTO flats in desirable locations near the town centre or transport nodes.

Over in Woodlands, the site along Kranji Expressway and Woodlands Road will have a plot ratio of 1.6, with the roads rezoned for an upcoming park. The changes aim to support housing demand and leverage the proximity of amenities.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

8. Far East Shopping Centre sold to Bright Ruby-linked unit for $910 million

The en bloc sale of Far East Shopping Centre has been awarded to a company connected to Chinese businessman Du Shuanghua and Bright Ruby Resources, reported The Business Times.

This comes after Glory Property Developments offered $910 million for the 999-year leasehold property, which is slightly lower than the $928 million guide price.

The tender award is subject to certain conditions, including URA’s approval for up to 20% more gross floor area (GFA) and Strata Titles Board approval since the en bloc sale had not secured the owners’ unanimous approval.

Zoned for commercial use, Far East Shopping Centre’s site measures 36,014 sq ft with an existing GFA of around 242,145 sq ft, which is equivalent to a plot ratio of 6.72.

Based on the Strategic Development Incentive (SDI) scheme, the GFA may be raised by up to 20% to around 290,574 sq ft or a plot ratio of 8.06.

A locally incorporated company, Bright Ruby Resources is controlled by Chinese billionaire Du Shuanghua. The company acquired 16 Collyer Quay for $1 billion in June 2022, and the former Grand Park Orchard Hotel for $1.15 billion in 2013.

 

9. Riverfront SoHo in Yishun is among the shortlisted proposals to reimagine Singapore’s industrial landscape

A proposal to transform a row of flatted factories along a river in Yishun into a riverfront small office/home office (SoHo) – or a place to work, live and play – is among the entries shortlisted by JTC Corporation in a competition to reimagine Singapore’s industrial landscape.

Planning and design firm Arup, which submitted the proposal, said this could be achieved by adding bridges, paths, boardwalks and a cycling track, reported The Straits Times.

Titled The Intersections, the proposal sees Yishun industrial estate being connected to its surrounding neighbourhoods via a network of greenery-lined paths.

Architectural firm Broadway Malyan, on the other hand, suggested introducing “transparent factories” at the Kallang-Kolam Ayer industrial estate.

Under this proposal, the ground-floor spaces of the factories will be made more open to the public. They will feature showrooms and product galleries, offering visitors an immersive experience in which they can interact with innovative production processes.

Architectural firm Woha also mooted the idea of having a network of rivers and canals within the Kallang-Kolam Ayer industrial estate. This would allow the use of water-based personal mobility devices as well as water ferries and taxis to navigate the entire estate.

Related article: Turf Club Closing, Kranji Redeveloping: 4 Biggest Changes to the North of Singapore By 2033

 

10. Far East Flora opens floral-themed mall in Clementi

Far East Flora has opened an 11-storey floral-themed shopping mall in Clementi, where it sells 1,000 types of flowers, over 500 plants, gardening products and home décor items, reported The Straits Times.

Far East Flora Centre also has a cold warehouse where it sells fresh flowers, vegetables and fruits at wholesale prices. It also features an 80-seater eatery, a gourmet grocery store, a studio for workshops and a rooftop garden for larger plants and edibles.

The building is specifically designed to be more energy- and water-efficient, using automated rainwater recycling and self-irrigation systems to water plants and flowers.

The centre will also serve as Far East Flora’s corporate headquarters, spanning three floors.

Far East Flora aims to transform the way people view the gardening sector by providing more than the usual selection of potted plants and offering guests a space to engage with nature.

Open daily between 8am and 9pm, the centre will offer special promotions and deals for flowers and plants until 31 October. 2023.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Bukit Panjang Sees First Million-dollar HDB Resale Flat, Many Singaporeans Support Longer MOP, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/9/210319/bukit-panjang-sees-first-million-dollar-hdb-resale-flat-mp-desmond-lee-comments-on-new-hdb-flat-classifications-and-more www.propertyguru.com.sg:news:210319 Mon, 25 Sep 2023 07:28:35 +0800 Bukit Panjang Sees First Million-dollar HDB Resale Flat, Many Singaporeans Support Longer MOP, and More
Bukit Panjang Sees First Million-dollar HDB Resale Flat, Many Singaporeans Support Longer MOP, and More

19 to 25 September 2023

A 1,367 sq ft HDB executive resale flat in Bukit Panjang changed hands for $1.02 million in September 2023, making it the first HDB resale flat within the estate to breach the million-dollar mark. Meanwhile, Minister for National Development Desmond Lee said many Singaporeans supported imposing a longer Minimum Occupation Period (MOP) during the Forward Singapore Housing conversations as they felt that HDB flats should be used primarily for owner-occupation.

 

1. Bukit Panjang sees first million-dollar HDB flat

A 1,367 sq ft HDB executive resale flat in Bukit Panjang changed hands for $1.02 million in September 2023, making it the first HDB resale flat within the estate to breach the million-dollar mark.

SRI noted that the price works out to $746 per sq ft (PSF).

Nestled between levels 28 and 30 of Block 181 at Jelebu Road, the executive apartment comes with a 99-year leasehold tenure which started in 2003.

Block 181 is near various amenities, including the Hillion Mall, the Bukit Panjang MRT station, and the Bukit Panjang Integrated Transport Hub.

“This enviable accessibility to public transportation and shopping centres makes this particular resale flat an attractive and practical option for those seeking a convenient and comfortable living experience in Bukit Panjang,” said SRI.

 

2. Most Singaporeans support longer MOP

Minister for National Development Desmond Lee shared in Parliament that many Singaporeans supported imposing a longer MOP during the Forward Singapore Housing conversations as they felt that HDB flats should be used primarily for owner occupation, reported CNA.

He noted that the decision to impose a 10-year MOP for new Plus HDB flats is aimed at striking a balance between strengthening Singaporeans’ intent for owner occupation and providing them with the flexibility to move home due to genuine reasons.

Mr Lee also pointed out that while the majority of HDB flats come with a shorter MOP of five years, most Singaporeans stay in their flat for 10 years or more before deciding to sell them.

He made the statement in response to MP Xie Yao Quan’s (PAP-Jurong) query on whether the government could lower the MOP for Plus flats.

Meanwhile, the Ministry of National Development (MND) said the new BTO flat classification can help keep public housing affordable, noting that without it – prices of flats in choice locations will “become more expensive and out of reach for many Singaporeans over time” due to their good location and attributes.

“By launching them as Prime or Plus flats, the additional subsidies and tighter restrictions, including the income ceiling upon resale, will help to moderate demand for such flats, and keep prices affordable to Singaporeans from a wider range of income levels,” said MND as quoted by Singapore Business Review.

Related article: National Day Rally 2023 Summary: Standard, Plus, Prime Flat Categories, More Single Housing Options, and More

 

3. OK Lim’s Good Class Bungalow (GCB) on Third Avenue is on sale for $30 million

A two-storey GCB located at 20 Third Avenue has been put up for sale with a guide price of $30 million or about $2,058 PSF.

Nestled on a 14,576 sq ft site, the freehold property has a total gross floor area (GFA) of about 100,000 sq ft.

Knight Frank revealed that it is Hin Leong group founder OK Lim’s second GCB to be sold within the area. The first was at 5 Second Avenue, which was transacted for $33.39 million in October 2021.

Both bungalows are among the Lim family’s assets that are under a court-ordered asset freeze.

Knight Frank noted that the last transaction in the area was Razer CEO Tan Min-Liang’s property, which was sold for $52.8 million in November 2021.

Mary Sai, Knight Frank Singapore’s Executive Director of Capital Markets, expects the GCB to attract strong interest “given the scarcity of prime landed homes and strong demand from foreign ultra-high-net-worth families”.

The tender for 20 Third Avenue closes on 16 October 2023.

 

4. Island View goes en bloc, reserve price at $575 million

Island View, a 72-unit freehold condominium in Pasir Panjang, has been put up for collective sale with a reserve price of $575 million, revealed PropNex Realty.

The price works out to a land rate of $1,623 PSF per plot ratio (PSF ppr), after factoring in the latest Land Betterment Charge (LBC) rate as well as the 7% bonus balcony space.

Completed in 1984, the District 5 development occupies a sprawling elevated site spanning 309,543 sq ft. The freehold site is zoned for residential use under the 2019 Master Plan with a gross plot ratio of 1.4.

A new development on the site could yield up to 402 new homes, based on an average unit size of 100 sq m.

The tender for Island View closes on 19 October 2023.

 

5. Adjoining Belmont Road GCBs are on sale for $2,100 PSF

Two adjoining GCBs at 52 and 54 Belmont Road have been put up for sale by expression of interest (EOI), with the vendors expecting offers of $2,100 PSF on the land areas, revealed exclusive marketing agent JLL.

Featuring a land area of 24,178 sq ft, 52 Belmont Road is a single-storey home with a pool. 54 Belmont Road, on the other hand, has a land area of 17,563 sq ft and is a single-storey home with a lower level and a pool.

This means the two freehold properties have a combined land area of about 41,741 sq ft.

“Potential buyers who are looking for large adjoining GCB plots in this highly desirable neighbourhood are well aware that such an offering is a rare find,” said JLL Executive Director Tan Hong Boon.

“The existing houses were built in the 1970s and potential buyers are likely to redevelop the sites to contemporary style with bespoke functionality and amenities to suit their individual lifestyles,” he added.

The EOI exercise for the GCBs will close on 27 October 2023.

 

6. In two cases, fathers try to evade Additional Buyer’s Stamp Duty (ABSD) but end up losing more

Two fathers learned the hard way that it does not pay to exploit a legal loophole to evade paying the Additional Buyer’s Stamp Duty (ABSD).

In two separate cases, the parents bought a property under a legal trust for their kids.

During their respective divorce, both fathers wanted to reclaim the properties under the trusts, claiming that the transactions were sham and that they had no intent of giving the properties to their sons, reported The Straits Times.

However, the court ruled that the trusts were genuinely set up for the sons, even allowing the property to be transferred to the child in one of the cases.

“The fact that the trust arrangement additionally allowed them to save on ABSD is an incidental benefit that does not detract from their overall intention to gift their elder child and only son a legacy property while the both of them were still living,” said High Court Judge Goh Yihan.

In the other case, the court allowed the son to sack his father as the trust’s manager since he acted against the interest of the son.

 

7. URA awards Champions Way and Lentor Central sites

The tenders for the 99-year leasehold sites at Champions Way and Lentor Central have been awarded to the highest bidders, as announced by Urban Redevelopment Authority (URA).

A joint venture between GuocoLand, Hong Leong Holdings’ Intrepid Investments and CSC Land Group submitted the highest bid of $435 million for the Lentor Central site, while CDL offered the top bid of $295 million for the Champions Way site.

Launched for tender on 12 April 2023, the 14,703.2 sq m site at Lentor Central has a maximum permissible GFA of 41,169 sq m. It received two bids during the close of its tender on 12 September 2023.

The 14,432.5 sq m site at Champions Way, on the other hand, was launched for tender on 25 May 2023 and has a maximum permissible GFA of 30,309 sq m. It received nine bids during the close of its tender on 12 September 2023.

 

8. Ang Mo Kio to get new recreational trail, revitalised town centre

Ang Mo Kio residents can look forward to a new recreational trail and a revitalised town centre under the Remaking Our Heartland (ROH) plan for the town.

Called the “Garden Loop”, the new trail will connect the two town gardens and the Bishan-Ang Mo Kio Park. It will also feature fitness corners and pocket parks, allowing residents to run, walk or cycle seamlessly, said HDB.

Meanwhile, the Ang Mo Kio Town Centre will undergo a facelift in two phases, with works for the first phase set to be completed progressively from Q2 2024, while the second phase is slated to be completed in 2027.

The four existing neighbourhood centres will also be refreshed, with improvements to landscaping, pathways, and new seating areas.

With four out of 10 residents in Ang Mo Kio aged 60 and above, the neighbourhood will be designed with therapeutic gardens, exercise equipment, and fitness trails to promote active lifestyles among senior residents. Mobility enhancements like barrier-free ramps will also be included in the design to improve accessibility and enhance safety for seniors.

 

9. Investment market sees growing interest in office buildings, malls

Singapore’s property investment market is witnessing a growing enthusiasm for office buildings, malls and even hospitality assets.

Despite the rising borrowing costs, investors are exploring opportunities, such as asset repositioning, strata sales or taking a longer-term view.

Cuscaden Peak Investments and United Engineers are looking to sell The Seletar Mall for about $500 million, while TE Capital Partners is conducting due diligence for a potential acquisition of VisionCrest Commercial, reported The Business Times.

Meanwhile, Hong Kong-based Gaw Capital Partners is evaluating a $240 million offer for its Hotel G Singapore in the Bras Basah/Bugis area.

Cushman & Wakefield and CBRE are also discreetly marketing AEW’s 27 levels of office space at 30 Raffles Place for $725 million.

Despite the high borrowing costs, some buyers are keen due to potential capital gains rather than immediate yield.

Retail properties appear to be more attractive than offices, as the gap between borrowing costs and net yield is narrower or even non-existent.

“There are investors prepared to take a longer-term view on the Singapore property market. Some are also able to buy with low or even no gearing; for them, high borrowing costs would not come into the equation,” said a senior executive at a private equity real estate group.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Altura EC Sold 88% of its Units After Second-timer Balloting, New Private Home Sales Plunge 72.1% in August 2023, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/9/210298/altura-ec-sold-88-of-its-units-after-second-timer-balloting-new-private-home-sales-plunge-72-1-in-august-2023-and-more www.propertyguru.com.sg:news:210298 Mon, 18 Sep 2023 08:57:11 +0800 Altura EC Sold 88% of its Units After Second-timer Balloting, New Private Home Sales Plunge 72.1% in August 2023, and More
Altura EC Sold 88% of its Units After Second-timer Balloting, New Private Home Sales Plunge 72.1% in August 2023, and More

12 to 18 September 2023

Altura, an executive condominium (EC), saw 95 units snapped up during its second-timer balloting event on 16 September 2023, bringing its overall take-up rate to 88%. Meanwhile, new private home sales, excluding ECs, fell 72.1% to 394 units month-on-month (MoM) in August 2023, following a “blistering month” of July 2023 when an almost two-year high of 1,412 units were shifted.

 

1. Altura executive condominium now 88% sold after second-timer balloting

Altura saw 95 units snapped up during its second-timer balloting event on 16 September 2023, bringing the overall take-up rate to 88%, revealed the project’s joint developers Qingjian Realty and Santarli Realty.

Featuring a total of 360 units, the development only has 45 remaining units, which are primarily four- and five-bedroom plus flexi configurations.

In fact, last month’s new private home sales were driven by Altura as 225 units were sold at its August 2023 launch, reported CNA.

The first EC to be launched in Bukit Batok since 2001, Altura also stands as the only EC launch for this year, making it highly sought-after.

On the appeal of ECs among Singaporeans, Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru commented that they “continue to be the darling asset class in this current market climate of increased Additional Buyer’s Stamp Duty (ABSD), rising interest rates, and economic headwinds.

Besides more affordable prices compared to private properties, buyers of ECs are likely to be least affected even by ABSD as they get remission upfront and can take their time to sell their existing residential property before the EC’s completion. Also, EC buyers can use CPF Housing Grants and Staggered Downpayment Scheme which are not available to private residential home buyers.”

Specifically on Altura’s performance in spite of the Hungry Ghost Festival 2023 period (it first launched in August 2023 to first-time homebuyers), Dr Tan said, “The less superstitious home buyers will not let the hungry ghosts deter them from buying their choice EC units as the demand is strong.”

 

2. New private home sales plunged 72.1% in August 2023

New private home sales, excluding ECs, fell 72.1% to 394 units MoM in August 2023, following a “blistering month” of July 2023 when an almost two-year high of 1,412 units were shifted.

On an annual basis, new home sales dropped 10% from the 438 units transacted over the same period in 2022.

Analysts attributed the drop in sales to buyer fatigue given the slew of project launches in recent months and to the start of the lunar seventh month in mid-August 2023.

Meanwhile, the EC market saw sales surge by over four times to 255 units in August 2023, driven mainly by the Altura’s launch. Located at Bukit Batok, the development accounted for the bulk of EC sales, selling 225 units last month.

Looking ahead, Wong Siew Ying, Head of Research and Content at PropNex Realty, expects new private home sales to remain muted in September 2023, before picking up in October 2023 and November 2023.

 

3. Hoi Hup-Sunway JV bags Tengah EC site for $348.5 million

A joint venture between Hoi Hup Realty and Sunway Development has clinched the EC site located at Tengah Plantation Close for $348.5 million.

The JV won the tender “using an alternative bid that utilises a hybrid of technologies assessed by BCA to be able to yield substantial productivity improvements”, said Hoi Hup and Sunway in a release.

Launched for tender on 23 December 2022, the 99-year leasehold site has an area of 16,441.2 sq m and a maximum permissible gross floor area (GFA) of 46,036 sq m. It is expected to yield 495 housing units, said the HDB.

The tender for the site closed in June 2023 with nine bids received. “This demonstrates the confidence of developers in ECs at the time of the tender, likely bolstered by the successes of Copen Grand which sold out within a month of launch and Tenet which sold 93% in January 2023. Also, EC buyers are given upfront ABSD remission unlike private condominium purchasers and the possibility of a Deferred Payment Scheme, on top of CPF Housing Grants,” said Dr Tan Tee Khoon.

“We are very pleased to be awarded this EC site that will allow us to demonstrate our capability to build a new generation of beautiful EC that is sustainable yet practical and liveable,” said Hoi Hup Realty Chairman Wong Swee Chun.

 

4. Champion Way site receives six bids, Lentor Central site gets two

The tender for two private residential sites closed on 12 September 2023, with the Champions Way site receiving six bids while the Lentor Central site gets two bids, revealed Urban Redevelopment Authority (URA).

CDL submitted the top bid of $295 million for the Champions Way site, which was 8.3% higher than the second-highest bid. 

 

Meanwhile, a joint venture between GuocoLand, Hong Leong Holdings’ Intrepid Investments and CSC Land Group submitted the top bid of $435 million for the Lentor Central site. The other bid was put forward by Frasers at $410 million.

 

5. Pine Grove makes another en bloc attempt, guide price at $1.95 billion

Pine Grove, a 660-unit condominium in Ulu Pandan, has once again been put up for en bloc sale with a guide price of $1.95 billion, reported CNA.

This works out to a land rate of $1,434 per sq ft per plot ratio (PSF ppr), after factoring in an estimated Land Betterment Charge (LBC) of more than $1 billion for land use intensification and lease upgrade to a fresh 99-year. It also takes into account the 10% bonus GFA area under various government incentive schemes.

ERA Realty Network said this is the development’s fourth collective sale attempt since 2008, and the third time it has achieved the requisite consensus.

Pine Grove had a reserve price of $1.86 billion and $1.7 billion during its two most recent collective sale attempts in 2019 and 2011, respectively.

Completed in 1984, the development occupies a massive 82,982.8 sq m site that is zoned for residential use with a gross plot ratio of 2.1. ERA shared that it could yield up to 2,050 new housing units, subject to the approval of authorities.

The tender for Pine Grove closes on 29 November 2023.

 

6. More than 3,500 new private homes to be launched in Q4 2023

Over 10 private home projects are set for launch in the Q4 2023, offering a total of more than 3,500 housing units, reported The Business Times.

Upcoming projects include 474-unit Hillock Green and freehold condo Watten House as well as mixed-use developments Marina View Residences, J’Den condo, and Skywaters Residences.

Despite declining homebuyer interest, analysts expect prices for these homes to remain stable due to high financing and land costs.

Notably, new launches for this year fetched PSF prices of above $2,100.

Eugene Lim, Key Executive Officer at ERA, anticipates prices for the Outside Central Region (OCR) projects such as Lentoria, J’Den, and Sora to range between $2,000 and $2,500 PSF.

Sing Tien Foo, provost’s chair professor of real estate at the National University of Singapore, said developers keep their launch prices high so that they would still have some room to lower prices in the future.

“With geopolitical uncertainties… costs could potentially climb, necessitating developers to account for such unpredictabilities,” said Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group.

“Given these dynamics, a significant increase in new launch prices seems unlikely. We foresee a more stable pricing landscape in the near future,” he added.

 

7. Singapore’s super-prime home sales down in Q2 2023

The number of super-prime homes, or those worth US$10 million ($13.6 million) above, sold in Singapore fell to only 30 units in the second quarter of 2023 from 37 units in the previous quarter, reported Singapore Business Review citing Knight Frank data.

The total sales value also dropped to US$477 million ($650 million) in Q2 2023 from US$603 million ($822 million) in Q1 2023.

Notably, average selling prices for Singapore super-prime homes dipped to US$15.9 million ($21.7 million) in Q2 2023 from US$16.3 million ($22.2 million) in Q1 2023.

According to Knight Frank, the figures indicate that Asian buyers are looking for alternatives to Singapore after the city-state rolled out higher stamp duty rates.

“Singapore’s super-prime market is experiencing a squeeze in sales volumes due to high purchase taxes, reaching up to 60% for foreign buyers in some cases,” it said.

“Although the city has been successful in attracting wealth management and family office investments, this interest has not translated into increased sales activity, as the market is adapting to rely more on domestic purchasers,” added the real estate expert.

Related article: Property Cooling Measures 2023: How are Singaporean Investors Handling the Latest ABSD Hikes?

 

8. Bukit Merah to get a facelift with refreshed town centre, enhanced connectivity to green nodes

Close to 130,500 residents of Bukit Merah can look forward to a revitalised town centre and community spaces as well as enhanced connectivity to green nodes like the Rail Corridor and Southern Ridges.

To be implemented in the next five to 10 years, these improvements are part of HDB’s Remaking Our Heartland (ROH) programme, which is aimed at bringing city living close to nature.

HDB shared that “a key focus of the renewal plans for Bukit Merah is to make the homes and neighbourhoods more senior-friendly”, given that over one-third of the town’s residents are aged 60 and above.

As such, the common spaces within the town centre, neighbourhood centres and housing estates will be fitted with sheltered walkways, non-slip flooring, ramps and more seating areas.

Notably, Bukit Merah comprises several estates – namely, Tiong Bahru, Redhill, Mount Faber, Telok Blangah and a portion of Tanjong Pagar.

 

9. New cycling paths to be built in Bukit Batok, Clementi, Queenstown, and Jurong West

New cycling paths will be built progressively from 2024 in Bukit Batok, Clementi, Queenstown and Jurong West under the Islandwide Cycling Network (ICN) programme of the Land Transport Authority (LTA), reported CNA.

“Construction of cycling paths will commence in phases, as soon as the relevant feasibility studies are completed, to allow residents to enjoy the benefits sooner,” said LTA.

Notably, it has called a tender to build the new cycling paths on 11 September 2023.

LTA noted that the new paths will improve cycling connectivity to key amenities like shopping malls, transport nodes and neighbourhood centres in areas including Nanyang, Boon Lay, West Coast, Dover and Pioneer.

 

10. A new 2.2km section of Pasir Panjang Park opened on 16 September 2023

A new 2.2km section of Pasir Panjang Park, which connects to Labrador Nature Park and West Coast Park, has opened on 16 September 2023, reported CNA.

Stretching from Pasir Panjang MRT station to the Jalan Pelepah housing estate, the new section allows the public to “enjoy a more pleasant 17km walking and cycling experience from Labrador Nature Park to West Coast Park through Pasir Panjang Park, all the way to Jurong Lake Gardens and Jurong Central Park”, stated the National Parks Board (NParks).

It noted that the new section pays tribute to the history of Pasir Panjang as one of the major port terminals in Singapore.

Three shipping containers, donated by PSA Singapore, have been repurposed as shelters. Of these, two feature maritime artefacts such as a ship anchor and a ship telegraph.

NParks also unveiled plans to enhance 13 parks within Singapore’s southern region and connect them up via curated theme trails.

It also plans to further enhance three of the parks – Labrador Nature Park, West Coast Park and HortPark – into destination parks.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Are Fewer HDB Owners Chasing Condo Dream, Record Monthly Number of Million-dollar HDB Transactions in August 2023, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/9/210226/are-fewer-hdb-owners-chasing-condo-dream-record-monthly-number-of-million-dollar-hdb-transactions-in-august-2023-and-more www.propertyguru.com.sg:news:210226 Mon, 11 Sep 2023 10:22:58 +0800 Are Fewer HDB Owners Chasing Condo Dream, Record Monthly Number of Million-dollar HDB Transactions in August 2023, and More
Are Fewer HDB Owners Chasing Condo Dream, Record Monthly Number of Million-dollar HDB Transactions in August 2023, and More

5 to 11 September 2023

Fewer HDB flat owners are pursuing their aspirations to upgrade to condominiums following a series of property cooling measures, rising mortgage rates, increasing private home prices and an uncertain economic environment. Meanwhile, transactions for million-dollar HDB flats have been on the uptrend over the past years, with 369 such flats changing hands in 2022, up from 259 in 2021 and 82 in 2020.

 

1. Fewer HDB owners chasing the condo dream?

Fewer HDB flat owners seem to be pursuing their aspirations to upgrade to condominiums following a series of property cooling measures, rising mortgage rates, increasing private home prices and an uncertain economic environment, reported The Straits Times.

In 1H 2023, the number of new and resale non-landed private homes bought by those with HDB addresses declined by 36% to 2,322 units from 3,628 units over the same period last year, said OrangeTee & Tie, citing Urban Redevelopment Authority (URA) Realis data.

This trend was also witnessed in 2022 when purchases by HDB residents dropped 36.2% year-on-year (YoY) to 6,287 units.

One factor is the tightening of the total debt servicing ratio (TDSR) threshold also restricted the financing options for non-first-time buyers, while the higher interest rates discouraged potential buyers.

However, Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru says, “The jury is not yet out on whether HDB owners are really less inclined to upgrade to a condo in 2023.

There were fewer condos launched in 2022 compared to 2021. This means there were fewer available units for HDB upgraders to buy. Naturally, this resulted in a dip in the number of non-landed private homes bought by people with HDB addresses.

In comparison, there are more major new condo launches in 2023 compared to 2022. Among them, launches such as Botany at Dairy Farm, Blossoms By The Park, and Grand Dunman have performed well, selling 50%, 82%, and 55% of their units over their launch weekends, respectively, and were well-received.

While performance has been uneven, with projects with better locational attributes performing better, there are still three and a half more months to the end of 2023. Only then can we confirm that this is not a one-off occurrence.”

 

2. Million-dollar HDB flat transactions on the rise

Transactions for million-dollar HDB flats have been on the uptrend over the past years, with 369 such flats changing hands in 2022, up from 259 in 2021 and 82 in 2020.

For 2023, a total of 301 million-dollar HDB flats have already been transacted as of 6 September 2023, reported The Business Times. This comes as a record high of 54 such flats changed hands in August.

Toa Payoh registered the highest million-dollar transactions, with 42 such flats sold. It is followed by the Central Area and Bukit Merah with 37 and 35 units shifted, respectively.

Kallang/Whampoa also saw 34 million-dollar flat transactions and 31 in Queenstown.

Of the 301 units sold, 127 or 42% were five-room flats, 95 or 32% were executive flats and 77 or 26% were four-room flats. The rest were multi-generational and three-room flats.

Notably, not all of these flats were on high floors. In fact, the bulk of the units (72) were between levels 7 and 12 and 58 such units were between levels 1 and 6.

 

3. Over 5,000 new homes to rise at three Tanjong Rhu plots

New high-rise housing developments, which could feature over 5,000 homes, are set to be constructed on three plots of land in Tanjong Rhu, reported The Straits Times.

This comes after a recent amendment to the URA 2019 Master Plan led to the re-parcelling of residential plots and an increase in their plot ratios.

Situated across the Geylang River, the three plots of land are within 1km of either Katong Park or Tanjung Rhu MRT stations on the Thomson East Coast Line.

The first plot, which spans about 2 hectares (ha), has a plot ratio of 3.6 and is located adjacent to Sampan Place.

The second plot measures about 3.9ha and comes with a plot ratio of 4.3. It is situated at the intersection of Kampong Arang and Tanjung Rhu roads.

The third plot, on the other hand, is sandwiched between East Coast Parkway and Tanjung Rhu. The 5.8ha site has a plot ratio of 3.5.

Analysts noted that while Tanjung Rhu is mainly a private residential enclave, the construction of new public flats could not be ruled out, given the recent efforts of the government to make flats within prime areas more accessible to buyers.

 

4. Property agents now paying more attention to compliance checks

Property agents in Singapore are now paying more attention to compliance checks after a $1.8 billion money laundering case garnered global attention, reported CNA.

With this, the Singapore Estate Agents Association’s (SEAA) anti-money laundering (AML) web service witnessed a significant increase in subscriptions, with nearly 100 new users added in the weeks since the case came to light in mid-August 2023.

Out of about 35,000 agents, over 20,000 salespeople are registered to the service.

The SEAA web service conducts identity checks on potential buyers by cross-referencing international watchlists, the Panama Papers, and other databases. The web service also includes a bankruptcy search and an examination of prior property transactions.

If a buyer raises suspicions, the agent is obliged to report it to the police as a suspicious transaction.

“Before this billion-dollar money laundering case, there could be quite a number of salespersons or agents who think that performing these checks is just adding on to (their) admin work, and doesn’t serve much of a purpose,” shared SEAA President Adam Wang.

In fact, many may have just “gone through the motions”, he added.

 

5. More homeowners turn to professionals for defect checks on BTO flats

More homeowners are engaging the services of home inspection firms to check their new homes for defects before they start renovation works or move in, reported CNA.

With this, demand for home inspection service providers surged this year, especially among Build-to-Order (BTO) flat owners.

SG DefectScan and Uncle Defect SG, for instance, saw enquiries for their services grow by 20% this year.

They attributed the hike in demand to a bigger number of flats being completed this year and homeowners wanting to check their new flats for defects before renovation.

“Due to the COVID-19 pandemic, a lot of things had to be halted. Afterwards, a lot of these projects were also pushed back due to interruptions midway. Hence, we have a lot more projects to focus on this year,” stated Marcus Liew, a defect specialist at Uncle Defect SG.

The spike in demand for inspections is also partly driven by social media, as homeowners share their experiences in dealing with defects.

Despite this, the Housing and Development Board (HDB) said the proportion of BTO flat owners who reported defects has remained at the same level pre-pandemic.

 

6. URA launches Lorong 1 Toa Payoh site

A 99-year leasehold residential site located at Lorong 1 Toa Payoh has been put up for sale under the Government Land Sales (GLS) programme.

Spanning 15,743 sq m, the site has a gross plot ratio of 4.2 and is expected to yield about 775 housing units, revealed the URA.

Analysts expect the site to receive healthy interest, given that it has been eight years since new private homes were launched within the area.

OrangeTee anticipates the site to attract five to eight bidders with the highest bid hovering at around $1,100 to S$1,250 per sq ft per plot ratio (PSFppr).

Located near the Braddel MRT station on the North-South Line, the upcoming project at the site is expected to be popular among families due to its proximity to various schools such as Raffles Girls School (Secondary), Raffles Institution, Beatty Secondary School, Pei Chun Public School, and Kheng Cheng School.

The tender for the site will close on 7 November. It will be batched with two other residential sites at Pine Grove (Parcel B) and Clementi Avenue 1, which were launched for sale last month.

 

7. A detached house at Berrima Road is on sale for $15.88 million

A three-storey detached house located at Berrima Road in District 11 has been put up for sale via an expression of interest (EOI) carrying a guide price of $15.88 million.

This works out to $3,463 PSF based on the property’s land area of around 4,585 sq ft, revealed Huttons Asia.

With a built-up area of about 6,663 sq ft, the freehold bungalow has five bedrooms, an entertainment room, living and dining areas, a helper’s room and a car porch, which can house three cars. It also comes with a private lift and a swimming pool.

“This detached house on Berrima Road presents an exceptional opportunity for those seeking a modern and luxurious living experience,” said Huttons Asia’s Associate District Director Aric Lim.

The EOI exercise for 31A Berrima Road closes on 30 September 2023.

 

8. Luxury apartment sales down amid ABSD hike

The increase in ABSD rate in April has taken a toll on the luxury apartment market which saw sales drop in May and June, reported Singapore Business Review.

CBRE data showed that only 92 units of luxury apartments were transacted for a total value of $964.67 million in 1H 2023, down from the 106 units worth $1.085 billion sold in 2H 2022 and $1.097 billion in 1H 2022.

Despite the drop in transaction volumes, luxury apartment prices remained stable.

Based on CBRE’s basket of freehold luxury projects, average prices of luxury apartments climbed 1.1% from $3,425 PSFin 2H 2022 to $3,463 PSF in 1H 2023.

Looking ahead, CBRE expects the elevated interest rates, cooling measures and uncertain macroeconomic environment to affect the luxury residential market in 2H 2023.

“In the near term, transaction volumes could dwindle further as investors and foreign buyers are deterred by the increased ABSD rates in Apr 2023’s cooling measures. Prices are, however, unlikely to decline as rental yields have increased and there is limited new luxury supply pipeline,” said CBRE.

 

9. Prime rental growth eases to 24.5% in Q2 2023

Singapore saw prime rental growth ease from 31.5% in Q2 2022 to 24.5% in Q2 2023, reported Singapore Business Review citing Knight Frank’s Prime Global Rental Index (PGRI).

Notably, the 10 cities covered by PGRI posted an increase in rental values, rising 7.5% in the year to June 2023.

The rental growth was attributed to strong demand as residents return to cities after lockdowns, affordability challenges as potential buyers are priced out of the market following rate hikes as well as limited new supply due to pandemic-induced disruptions.

While the growth rate was lower than the 8.2% hike registered in the previous quarter and the 12.2% peak in Q1 2022, it remained above the pre-pandemic trend.

Of the 10 cities, Singapore registered the highest rental value in the PGRI, followed by London, Sydney, Toronto and Auckland.

 

10. Canninghill Piers condo units served with the prohibition of disposal orders

Turkish national Vang Shuiming, one of the accused in a billion-dollar money laundering case, allegedly financed the acquisition of 10 luxury condominium units at Canninghill Piers and one unit at Park Nova, reported CNA.

The affidavit of the lead investigating officer showed that the 11 condominium units, which are still under construction, have already been issued with prohibition of disposal orders.

Aside from the condominium units, Vang’s assets also include four properties and three vehicles which are valued at about $29 million.

Vang faces five charges, which include using a forged document and possession of criminal benefits worth $2.4 million from unlicensed moneylending in China.

During the raid last month, the police found over $962,000 in cash at the Good Class Bungalow (GCB) where Vang was residing.

Based on police investigations, Vang’s total assets in Singapore amount to over $200 million.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Land Betterment Charge for Non-landed Residential Use Slashed, Orchard Retail Rent to Rise 6% in 2023, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/9/210143/land-betterment-charge-for-non-landed-residential-use-slashed-orchard-retail-rent-to-rise-6-in-2023-and-more www.propertyguru.com.sg:news:210143 Mon, 04 Sep 2023 07:16:11 +0800 Land Betterment Charge for Non-landed Residential Use Slashed, Orchard Retail Rent to Rise 6% in 2023, and More
Land Betterment Charge for Non-landed Residential Use Slashed, Orchard Retail Rent to Rise 6% in 2023, and More

29 August to 4 September 2023 

SLA has released the revised Land Betterment Charge (LBC) for the next six months starting 1 September 2023, with the rates cut for non-landed residential use and increased for commercial and hotel use. Meanwhile, retail rents at Orchard Road are forecasted to increase by up to 6% year-on-year (YoY) in 2023.

 

1. LBC for non-landed residential use reduced

The SLA has released the revised LBC for the next six months starting 1 September 2023, with the rates cut for non-landed residential use and increased for commercial and hotel uses.

The LBC rates for non-landed residential use reduced by an average of 3.2%, with 111 out of 118 sectors witnessing declines of between 3% and 11%.

Edmund Tie’s Head of Research and Consulting Lam Chern Woon is cautiously optimistic that the reduction in LBC rates could “provide a shot in the arm for the collective sale market, which has seen only one transaction (Kew Lodge) since the April cooling measures”.

On the other hand, the LBC rates for commercial use increased by an average of 0.4%, with 12 out of 118 sectors posting increases of 3% to 4%.

Use group C (Hotel/Hospital) also witnessed an average increase of 3% as LBC rates were raised at 116 out of 118 sectors.

The LBC rates for the other use groups remain unchanged.

Related article: Guide to Buying Commercial Property in Singapore (2023)

 

 

2. Singaporeans seek properties promoting “live, work, and play”

With the rise of hybrid working, homebuyers in Singapore are no longer looking for just a place to rest, they also seek residences that could serve as “hubs of productivity and recreation”, reported Singapore Business Review.

“Buyers are increasingly drawn to properties that embody the ‘live, work, play’ ethos, where spaces seamlessly transform from workstations by day to leisure zones by night,” said Wu Chin Whee, Savills’ Senior Manager for Livethere Residential.

Developments with green spaces have also become well sought-after among Singaporean homebuyers, amid their increased awareness of overall well-being as well as the tangible benefits of having green spaces.

Homebuyers also prefer developments that are near urban amenities, such as MRT stations, shopping malls, F&B, bus interchanges, and parks. Proximity to good schools is another significant consideration for homebuyers, especially for young families.

Singaporean homebuyers also value privacy, preferring developments with spacious layouts such as LIV@MB, whose two residential blocks are quite far apart from each other.

 

3. Orchard retail rents to rise 6% YoY in 2023

Retail rents at Orchard Road are forecasted to increase by up to 6% YoY in 2023, revealed Savills.

The suburban area, on the other hand, is expected to see rental growth remain stable at 1% to 2% YoY.

Based on Savills’ basket of prime malls, average rents have been on an upward trend in Q2 2023, with Orchard Road rents rising 1.4% quarter-on-quarter (QoQ) to $22.10 per sq ft (PSF). Average rent in the suburban area also increased by 0.7% QoQ to $14.50 PSF during the quarter.

Savills expects demand for retail space, particularly prime units with healthy footfall and good accessibility, to remain strong amid limited new supply in the future.

It also anticipates retail spaces located at tourist spots and major shopping belts, like Marina Bay Sands and Orchard Road, to benefit from the rebound in tourism.

However, Alan Cheong, Savills Research & Consultancy’s Executive Director, noted that recovery may face challenges, and overall growth may ease in 2024 due to the weak global economy.

“Challenges such as rising operating costs and labour crunch will also put further pressure on retailers, hence reigning in their ability to accede to higher asking rents,” he added.

 

4. Duxton Road shophouse on sale for $9.8 million

A two-storey conservation shophouse located at 45 Duxton Road has been put up for sale via Expression of Interest (EOI) carrying a guide price of $9.8 million, revealed Huttons Asia.

Nestled on a 980 sq ft site within the Tanjong Pagar conservation area, the property has a built-up area of about 1,636 sq ft and URA approval for nightclub use on the first and second levels.

This gives the owner “the ability to ask for higher rents and potentially achieve better returns”, said Jennifer Tan, Huttons Asia’s Associate District Director.

The shophouse has a 99-year lease that started in 1988, with a balance lease of 64 years. It is zoned for commercial use under the URA Master Plan and is within walking distance of Maxwell MRT and Tanjong Pagar MRT stations.

Given its commercial zoning, the property can be acquired by companies and foreigners with no Additional Buyer’s Stamp Duty (ABSD) payable.

The EOI exercise for the shophouse closes on 4 October 2023.

 

5. Portfolio of strata retail and office units at New World Centre up for sale

A portfolio of 20 strata-titled office and retail units at New World Centre has been put up for sale with an indicative price of $55 million, reported Singapore Business Review citing Delasa.

The price translates to an average of $1,392 PSF based on the portfolio’s total strata area of 39,504 sq ft.

Notably, the office units on the second and third levels carry an average price of $1,265 PSF, while the prices for ground floor shops stood at an average of $2,380 PSF.

The strata-titled units can be sold as a whole portfolio to a single buyer or on an individual basis. They are offered for sale on a private treaty and first-come basis.

Built in the late 1990s, New World Centre is a three-storey development comprising around 35 strata-titled shops and offices. The development is located at the corner of Jalan Berseh and Besar and has around 70 years left on its lease.

 

6. JTC launches two sites in Tampines North Drive 4, 11 Tuas Avenue 18

JTC has launched two industrial sites at Plot 1 Tampines North Drive 4 and 11 Tuas Avenue 18 under the 2023 Industrial Government Land Sales (IGLS) Programme.

With an area of 1.84ha, the site at Tampines North Drive 4 has a gross plot ratio of 2.5 and a 30-year leasehold tenure. It is zoned for B2 use and is the second of the five Confirmed List sites under the 2H 2023 IGLS Programme.

The tender for the site closes on 24 October 2023.

Meanwhile, the site at 11 Tuas Avenue 18 spans 0.40ha and has a gross plot ratio of 1.4. It comes with a 20-year leasehold tenure and is zoned for B2 use. The property was made available for application via the Reserve List System under H1 2023 IGLS Programme.

The tender for the site closes on 10 October 2023.

Related article: Government Land Sales (GLS) Programme Guide (Updated With GLS Sites for 2H2023 Singapore)

 

7. HPL gets provisional approval to redevelop HPL house, Forum, and voco Orchard

Hotel Properties Limited (HPL) has secured provisional permission from URA to redevelop HPL House, the Forum, and voco Orchard Singapore into a mixed-use project, reported Singapore Business Review.

Located along Cuscaden and Orchard Road, the properties have a combined land area of 14,027.12 sq m or 150,986.66 sq ft.

“The approval is for a comprehensive mixed redevelopment comprising hotel, retail, office, and residential components in two tower buildings of 64 storeys and 43 storeys on a six-storey podium with a rooftop garden, a performance theatre and a basement carpark,” said HPL.

It added that a separate 29-storey building will also be constructed over the contiguous basement carpark.

The proposed mixed development has a total approved gross floor area of about 114,153.38 sq m (1,228.736.71 sq ft).

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[HDB Plus Flat Owner Rental Restrictions, First-timer Families Will Enjoy Priority for Standard BTO Flats, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/8/210122/hdb-plus-flat-owner-rental-restrictions-first-timer-families-will-enjoy-priority-for-standard-bto-flats-and-more www.propertyguru.com.sg:news:210122 Mon, 28 Aug 2023 08:39:43 +0800 HDB Plus Flat Owner Rental Restrictions, First-timer Families Will Enjoy Priority for Standard BTO Flats, and More
HDB Plus Flat Owner Rental Restrictions, First-timer Families Will Enjoy Priority for Standard BTO Flats, and More

22 to 28 August 2023

The new Plus flat model will come with several conditions such as an income ceiling of $14,000 for resale buyers and a ban to rent out the entire flat at any time. Meanwhile, the Singapore Land Authority (SLA) and Urban Redevelopment Authority (URA) have launched a new tender to transform the former Bukit Timah Fire Station into a community hub.

 

1. HDB Plus flat owners will not be allowed to rent their whole homes

Following the National Day Rally 2023 announcements, the new Plus flat model will come with several conditions such as an income ceiling of $14,000 for resale buyers and a ban to rent out the entire flat at any time.

Minister of National Development Desmond Lee said the rental restriction will apply to first-time buyers and resale buyers of HDB Plus flats, reported TODAY.

“This is to ensure owner occupation for such flats and deter those who intend to ‘flip’ the flats for quick gains or rent them out for long-term yields,” he said.

On the $14,000 income ceiling, which applies to both families and singles, Lee noted that it is also the prevailing salary cap for married couples buying a BTO flat.

Meanwhile, private property owners looking to buy Plus flats will also have to deal with a 30-month wait-out period.

Notably, Plus flats will be built in choicer locations such as near town centres and transport nodes or in more central locations like Bishan, Ang Mo Kio, Clementi, Toa Payoh, Queenstown, Bedok, Bukit Merah, and Kallang-Whampoa.

Related article: Singles BTO and Resale Options: 3 Single Singaporeans React to NDR 2023

 

2. SLA and URA seek new proposals to transform the former Bukit Timah Fire Station into a community hub

SLA and URA launched a new tender to transform the former Bukit Timah Fire Station into a community hub, reported The Straits Times.

This comes after Homestead Holland, the consortium that was previously awarded the project, pulled out in 2022. Homestead Holland was supposed to convert the 0.86ha site into a lifestyle hub with a food street and allotment garden plots.

In calling for the new tender, SLA and URA said they are searching for “a compelling proposal to repurpose the state property to promote healthy living, community interaction and integration with nature while featuring environmentally sustainable urban solutions”.

They noted that the relaunched tender will use revised evaluation criteria, underscoring sustainability goals and outcomes that are in line with the Singapore Green Plan 2030.

Located at the junction of Upper Bukit Timah Road and Old Jurong Road, the site consists of seven three-storey accommodation blocks, a single-storey residence and a main fire station building.

 

3. Influx of Hong Kong expats may boost Singapore residential rents

Singapore saw private residential leases drop 1.9% quarter-on-quarter (QoQ) and 6.5% year-on-year (YoY) to 19,699 in Q2 2023, revealed Savills Research.

Leasing volume for landed homes declined 8.1% QoQ to 1,089 transactions during the quarter under review.

For non-landed homes, the Rest of Central Region (RCR) posted the biggest decline in rental transactions, which dropped 2.8% QoQ to 6,485. It is followed by the Outside Central Region (OCR) which registered a 2.4% quarterly decline to 6,583.

The Core Central Region (CCR) bucked the trend as leasing volume increased 1.1% QoQ to 5,542.

Savills attributed the contraction in leasing volume to global economic headwinds and high rents.

Nonetheless, it expects the influx of expats from Hong Kong to boost Singapore’s leasing volume.

“We are sensing that another wave of Hong Kong-based expatriates, albeit small are either relocating or starting to relocate to Singapore,” said Alan Cheong, Executive Director of Savills Research and Consultancy.

“This may impact the leasing volume in the coming quarters,” he added.

 

4. Some first-timer families will enjoy priority for Standard HDB flats

The NDR 2023 new HDB flat classification system will bring significant changes, with first-timer families receiving priority in applying for four-room or smaller Standard BTO flats across the country, expanding from only non-mature estates, reported The Straits Times.

This means eligible families, including those with children 18 years old and below and married couples under 40, will have better chances of securing homes in good locations.

This comes after Prime Minister Lee Hsien Loong announced that all BTO flats will be categorised as Standard, Plus and Prime flats from the H2 2024, eliminating the mature and non-mature estate classification.

Under the First-Timer (Parents and Married Couples) priority category, eligible families will enjoy three ballot chances when they apply for BTO and Sale of Balance Flats.

This privilege will continue to apply across the country. Notably, the three ballot chances apply to mature estates, non-mature estates and Prime Location Public Housing (PLH) flats under the current estate classification.

From H2 2024, this privilege will apply to all Standard, Plus and Prime projects, said Minister Desmond Lee.

 

5. Housing policy changes to benefit singles who want to be near parents

Market experts expect the changes in public housing policy to benefit singles who want to live near their parents while enjoying their personal space.

“I’m quite relieved. At least I can apply for a flat nearer to my mother,” said Carolyn Tan, who had applied for a flat as a single, but was told by HDB to buy one in Tengah, reported CNA. It left her disappointed as the development was far from Aljunied, where her elderly mother lives.

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group noted that a significant portion of singles are the main caregivers of their elderly parents. As such, they should ideally be living near each other.

However, the lower subsidies for singles to buy resale flats, means they may have been priced out of securing homes near their parents, particularly if their parents reside in central areas, said Dr Lee.

“In light of these challenges, the newly introduced policy is poised to alleviate demand pressures for BTO flats among singles,” he said.

Notably, singles will be allowed to buy two-room BTO flats across all locations from 2H 2024. They will also be allowed to buy two-room Prime flexi flats as well as Plus and Standard flats of any size in the resale market.

 

6. Home buyers adopt wait-and-see stance amid changes to public housing classification

Some homebuyers are taking a wait-and-see stance and observing developments in the property market, following the introduction of a new public housing framework to maintain affordability and accessibility.

Newlyweds Marcus Lim and Tris Marlis are holding off their acquisition plans to see how the changes will affect property prices. They are working closely with their property agent to understand the changes and monitor unit prices before making a purchase, reported CNA.

Analysts’ opinions on the market impact are mixed, with some suggesting buyers wait for the introduction of Plus flats, while sellers may face pressures on pricing.

Although some sellers may leverage the Plus flats to demand higher prices, OrangeTee & Tie’s Senior Vice President of Research and Analytics Christine Sun expect the overall effect on the resale market to be moderate.

This comes as flats near amenities and transport hubs already command a premium.

With the new classification, Dr Lee Nai Jia anticipates prices of flats in prime locations, particularly those near MRT stations, to gradually increase.

“And so we see that with this new classification, the growth will not be so fast and I think future generations will also benefit from it,” he said.

 

7. At least 232 properties were bought by nationals from higher-risk countries from 2016 to 2023

At least 232 residential property deals have been made by individuals holding passports from the same countries as those arrested in a recent billion-dollar money-laundering operation, according to a data analysis by The Business Times.

The figure is way higher than the 105 properties, worth around $831 million, seized by the police during an anti-money laundering raid.

The analysis – which is based on URA’s property transaction data from 1995 to August 2023 – showed a notable increase in property transactions by buyers from Cambodia, Dominica, Cyprus, Saint Kitts and Nevis, Vanuatu, and Turkey in 2016.

The individuals arrested during the anti-money laundering operation were all of Chinese origin but held passports from such countries.

Most of these countries are on OECD’s list of counties with citizenship-by-investment schemes which potentially pose money laundering risks.

Between 2016 and 2023, buyers from these countries purchased 232 residential properties, out of 339 transactions registered since 1995.

William Lai, CEO of property data analytics firm Amicus, noted that while there are genuine buyers from these higher-risk counties, there may be some who are using a golden passport to invest in property here in Singapore and potentially launder money.

 

8. Real estate agents should conduct due diligence checks or face penalties

Real estate agents are mandated to conduct thorough due diligence checks on their clients to curb money laundering and terrorism financing, reported CNA citing the Council for Estate Agencies (CEA) and industry sources.

Notably, 10 foreign nationals were recently arrested on suspicion of forgery and money laundering, with around $1 billion in assets – which include 105 properties – seized.

In conducting due diligence checks, real estate agents are required to verify the identity of their clients and assess the risk of money laundering involvement. They are required to keep the due diligence check records for five years.

Agents are also mandated to report any suspicious transactions or activities to the Commercial Affairs Department.

With this, CEA had issued a “suspicious indicators” list, which included behavioural indicators, such as hesitating or declining to place his name on any document connecting him to the property.

Failure to conduct diligence checks can result in penalties and suspension or revocation of the agent’s registration.

 

9. About 300 HDB carparks are now fitted with Electric Vehicle (EV) chargers

About 300 HDB carparks, or about 15% of all HDB carparks, now have EV charging points installed, reported The Straits Times.

“We are on track to achieve our target for one-third of HDB carparks to have charging points by the end of this year,” Senior Minister of State for Transport Amy Khor said.

A large-scale tender was awarded to five firms to install and operate these charging points, with the goal of having at least 12,000 charging points in almost 2,000 carparks by end-2025.

Singapore aims to have over 60,000 EV charging points by 2030, with 40,000 installed in public carparks and 20,000 on private premises as part of the Singapore Green Plan 2030.

Dr Khor, who also serves as Senior Minister of State for Sustainability and the Environment, provided the update at an event by EVCo, a joint venture between SMRT’s Strides Mobility and DST Electric Vehicle Rental.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[HDB Launches Plus, Prime, and Standard BTO Flats, Singles Can Soon Buy 2-room Flexi Flats Across Singapore, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/8/210072/hdb-launches-plus-prime-and-standard-bto-flats-singles-can-soon-may-2-room-flexi-flats-across-singapore-and-more www.propertyguru.com.sg:news:210072 Mon, 21 Aug 2023 08:18:48 +0800 HDB Launches Plus, Prime, and Standard BTO Flats, Singles Can Soon Buy 2-room Flexi Flats Across Singapore, and More
HDB Launches Plus, Prime, and Standard BTO Flats, Singles Can Soon Buy 2-room Flexi Flats Across Singapore, and More

15 to 21 August 2023

HDB has introduced a new BTO classification system, replacing the long-standing mature and non-mature estate labels. Meanwhile, singles aged 35 and above will be allowed to apply for new 2-room Flexi BTO flats across all locations from H2 2024.

 

1. HDB to launch new public housing classification, new Plus flats to have stricter conditions

build-to-order-bto-flats-singapore-cover

HDB has introduced a new classification system, replacing the long-standing mature and non-mature estate labels.

This comes as the distinction between mature and non-mature estates have become blurred, with some projects within non-mature estate being more popular than those in mature estates.

Under the new system, BTO flats will be categorised as Standard, Plus, and Prime flats from the H2 2024, reported CNA.

Flats in “choicer locations”, such as near town centres and MRT stations, will be placed under the Plus category. They will come with a longer Minimum Occupation Period (MOP) of 10 years, a clawback of subsidies and stricter resale conditions

Speaking at the National Day Rally 2023, Prime Minister Lee Hsien Loong explained that tighter HDB resale conditions will help moderate resale prices and maintain a better social mix.

Prime BTO projects will be located in the central region, with the flats carrying the same conditions as those under the Prime Location Housing (PLH) model.

Standard flats, on the other hand, will have the same restrictions and subsidies presently applied to non-PLH BTO flats. These flats will continue to account for the bulk of the housing supply, said the Ministry of National Development (MND) and HDB.

On this change, Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group commented, “The restrictions that come with the Prime and Plus BTO flats may not be popular among buyers. However, these restrictions would help slow down future price appreciation of the flats, which are much desired due to the location attributes. It also helps reduce the lottery effect.

Beyond affordability, these stipulations also facilitate community growth and deepen social ties within the district. A swift turnover of residents may inadvertently disrupt the community’s fabric, necessitating inhabitants to continually rebuild social connections.

Furthermore, these measures reinforce the core ethos of public housing, emphasising their role as primary residences and curbing tendencies to view them as mid-term investment avenues.”

 

2. Singles can buy 2-room flexi flats across all locations from H2 2024

Starting from H2 2024, singles aged 35 and above will be allowed to apply for new 2-room Flexi BTO flats across all locations: Standard, Plus, and Prime flats.

In the HDB resale market, singles will be allowed to purchase 2-room Prime Flexi flats and Plus or Standard resale flats of any size, reported TODAY.

The change comes as more Singaporeans choose to be single and the government acknowledges their desire to own homes and be given more housing options.

Currently, singles can only acquire BTO flats in non-mature estates and are not allowed to purchase any flats launched under the PLH model.

“As the housing market continues to evolve, we project a discernible uptick in application rates for residences within the Prime and Plus category. This surge can be attributed to the distinct preferences of single applicants, who largely favour the 2-room Flexi flats in locations that are accessible to public transport nodes.

Given the intrinsic attributes of the Prime and Plus categories, combined with the evolving needs of modern urban dwellers, it’s plausible to anticipate a dominant trend of owner-occupation among these applicants,” said Dr Lee Nai Jia.

Related article: HDB Single Scheme and Joint Singles Scheme: Guide to Buying HDB Flat As a Single in Singapore

 

3. HDB flats to be more senior-friendly, with new features including foldable shower seats, wider toilet entrances

With nearly one in four Singaporeans expected to be aged 65 and above by 2030, efforts will be made to enable seniors to enjoy their golden years in familiar environments, said PM Lee.

HDB flats will become more senior-friendly, with the Enhancement for Active Seniors (EASE) programme upgraded to offer a wider array of options such as foldable shower seats and widened toilet entrances for wheelchair-bound seniors, reported CNA.

To create a safer and more comfortable environment for seniors, streets and linkways will be revamped while rest points and shelters will be built.

PM Lee shared that more therapeutic gardens, exercise machines, fitness trails, and pedestrian-friendly roads will also be developed.

More assisted living facilities will also be built to cater to those “who need a little more help”, he said.

With loneliness being one of the biggest threats facing seniors, the government will set up active ageing centres across the country to help seniors stay engaged and socially active.

“So we are taking major steps to prepare for a super-aged society,” said PM Lee.

“Together, we will make Singapore an endearing home for all ages, where seniors can age with dignity and grace, connected with friends and family,” he added.

Related article: HDB Flats for Seniors: Community Care Apartments Vs 2-room Vs 3-room Flats

 

4. New BTO framework to have a smaller impact on the HDB resale market

Analysts believe HDB’s new BTO framework could divert demand to existing flats and shrink the pool of upgraders to private housing, reported The Business Times.

Under the new framework, Plus flats will be introduced in desirable locations near town centres and transport nodes. These flats will come with more subsidies and tighter resale conditions, such as a 10-year MOP.

Dr Lee Nai Jia explained, “In the near term, macroeconomic factors will continue to be the primary drivers of the resale market. Despite recent announcements, it’s anticipated that there will be minimal impact on demand. This is because a significant proportion of property seekers are propelled by immediate requirements.

He said, however, that “Fast forwarding two decades, potential supply constraints in Prime and Plus locales within the resale market might emerge as a point of concern. Additionally, the owners of Prime and Plus flats may pass the burden of the clawback to the subsequent buyers.”

Nevertheless, “It’s logical to assume that the majority of flats will fall under the Standard category. Given that only a limited number of locations can qualify as Prime or Plus, buyers should still have access to affordable options in the resale sector.”

Related article: Why I Bought an HDB Resale Flat When Prices Are at a Record-High in 2022

 

5. More state-owned buildings to be converted into co-living spaces

More state-owned buildings will be used as co-living spaces, with the awarding of a tender for a heritage shophouse at Hindoo Road being the first of many such buildings to be launched in the next few months.

The move is aimed at meeting the rising demand for such housing as well as addressing the evolving lifestyle trends and consumer demand.

The Singapore Land Authority (SLA) revealed that it has awarded the tender for the two-storey building at 79 to 95 Hindoo Road to construction firm Eco Energy.

The firm’s winning proposal, which was jointly developed with co-living operator Cove Living, will see the building rebranded into “1925 Quarters” – a nod to the property’s history “as the quarters for the junior Asian staff of the Municipality of Singapore”.

Meanwhile, a state-owned building at 26 Evans Road, near the Botanic Gardens, was also put up for tender. Much like the Hindoo Road property, the tender offers an upfront tenure of five years, which can be renewed for another four years.

Related article: 3 Best Co-living Spaces in Singapore to Consider

 

 

6. 105 properties linked to suspects in money laundering investigation

Singapore police have arrested 10 foreign nationals during a $1 billion (US$736 million) money laundering investigation, which saw 105 properties issued with the prohibition of disposal orders, up from 94 initially, reported CNA.

With a total value of about $831 million, the properties included 79 condominium units, 19 commercial spaces, and seven detached bungalows in Sentosa Cove.

Of the 79 condominium units, 19 were still under construction.

“These properties are owned by the persons under investigation (who either had been arrested or are wanted by the Police), their spouses, or companies that are linked to these persons under investigation or their spouses,” said the police.

Notably, the Good Class Bungalows (GCB) where the suspects were caught were not part of the prohibition of disposal orders since such properties did not belong to them.

Assets worth $1 billion (US$736 million), including properties, cars, bank accounts, goods and cash were seized or frozen in connection to the probe.

The suspects – comprising nine men and one woman aged 31 to 44 – were citizens of Turkiye, China, Cyprus, and Ni-Vanuatu. All of them held Employment and Dependant Passes.

Related article: 7 Sentosa Cove Houses For Sale: How Much to Buy These Luxury Homes for ‘Crazy Rich Asians’?

 

7. HDB to relocate 170 rental households at Spooner Road

HDB will relocate about 170 rental households at Blocks 1 and 2 Spooner Road by end-September 2024 as part of estate renewal plans.

Featuring a mix of 1-room to 3-room flats, the two eight-storey blocks were built in 1983 and were previously owned by the Malayan Railway Administration, which is now known as KTM, reported The Straits Times.

They were converted to HDB rental flats in 2012.

Retired carpenter Francis Finian De Souza, one of the tenants, is saddened by the prospect of moving out given that he and his three housemates are living harmoniously.

“But this is a rental flat so if we’re asked to move, we don’t complain. As long as we have a next place to live in, it’s okay,” said De Souza.

HDB said tenants affected by the relocation will be offered options like moving to another flat or buying a new flat if they are able to. They will also receive rehousing benefits covering moving costs, regardless of their choice.

In fact, a care team has been formed comprising social service agencies, grassroots leaders, and community partners to help tenants during the transition.

 

8. Urban Redevelopment Authority (URA) launches Clementi Avenue 1, Pine Grove sites

Two government land sites in Clementi Avenue 1 and Pine Grove, which could potentially yield a total of 1,065 housing units, have been put up for sale via public tender.

With a leasehold tenure of 99 years, the two sites are part of the 5,160 housing units to be made available through the Confirmed List of the H2 2023 Government Land Sales (GLS) programme, said the URA.

The Clementi Avenue 1 site spans 13,451 sq m and has a maximum gross floor area (GFA) of 47,079 sq m. The site in Pine Grove (Parcel B), on the other hand, has an area of 25,039 sq m and a GFA of 52,583 sq m.

The tender for the sites will close on 7 November 2023.

OrangeTee expects the site in Clementi Avenue 1 to attract four to seven bidders, with the highest bid at about $1,100 to $1,200 per sq ft per plot ratio (PSF ppr).

For the Pine Grove site, it sees three to five bidders, with the top bid ranging between $1,150 and $1,250 PSF ppr.

 

9. Works at the new Pasir Panjang bus depot to start next year

Construction works for a new bus depot in Pasir Panjang are expected to commence in 2024, with completion set in 2029, reported The Straits Times citing the Land Transport Authority (LTA).

Located on the former site of Pasir Panjang Distripark in Harbour Drive, the new depot – which can accommodate 550 buses – will comprise a seven-storey main building, ancillary buildings and multi-storey quarters for transport workers.

The main building will house facilities for daily bus operations, maintenance, repair, parking and chargers for electric buses. Its roof will also be fitted with a solar photovoltaic panel system.

LTA said the depot is expected to support buses that are operating within Singapore’s southern region.

The authority recently called a tender for the construction of a depot on the Pasir Panjang site, which had been left vacant since 2017.

The area was identified in 2021 as a possible temporary distribution site for the food supply chain.

Once completed, the new depot will be turned over to the relevant public transport operator for outfitting and preparatory work, said LTA.

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[TMW Maxwell, The Arden, and Orchard Sophia Launch Over the Weekend, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/8/210008/tmw-maxwell-the-arden-and-orchard-sophia-launch-over-the-weekend-and-more www.propertyguru.com.sg:news:210008 Mon, 14 Aug 2023 09:56:44 +0800

8 to 14 August 2023

Three Q3 2023 major new condos – TMW Maxwell, The Arden, and Orchard Sophia – launched over the weekend. Meanwhile, ahead of Prime Minister Lee Hsien Loong’s National Day Rally 2023 speech, property experts predict the announcements he could make.

 

1. TMW Maxwell sells seven units across its launch weekend

TMW-maxwell-condo-singapore

Buyers snapped up 9%, or seven of the 80 units released for sale during phase one of the launch of TMW Maxwell over the weekend. This reflects a 2.2% take-up rate based on the project’s total 324 units.

These units transacted at between $1.5 million and $2.47 million, at $3,143 to $3,739 per sq ft (PSF). They comprised four studio units, two 1-bedroom units, and one 2-bedroom unit.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru said that “TMW Maxwell is an avant-garde live, work, and play concept. It will naturally take time for it to gel with the palette of its targeted band of buyers who want to live in the Core Central Region (CCR).”

As for TMW Maxwell’s launch weekend performance, “Its sales so far have been likely impacted by property seekers deferring their buying decisions. They’re in a very narrow window to browse the market and finalise their purchases before the start of the Lunar Seventh Month,” Dr Tan added.

Related article: Blossoms By The Park, Tembusu Grand, and More: How Did Major New Condo Launches in Q2 2023 Perform?

 

2. The Arden sells 26% of its units over the weekend

the-arden-condo-singapore

Another Q3 2023 major new condo launch, The Arden, Qingjian Realty’s residential project at Phoenix Road, sold 26% or 27 out of its 105 units during its launch over the weekend.

The units were sold at an average price of $1,750 PSF. In comparison, other new project launches within the Outside Central Region (OCR) this year had average prices of between $2,057 and $2,121 PSF.

“The Arden stands out as an exceptionally competitively priced private residential project in Singapore, poised to captivate upgraders residing in the Bukit Panjang locale,” said Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group.

He added, “The recent slower-than-anticipated sales of The Arden can be attributed to a convergence of factors: prospective buyers being occupied with extended weekends, the observance of the Ghost Month Period, and a multitude of other property launches transpiring simultaneously within the same timeframe.”

 

3. 24% of Orchard Sophia sold, at an average price of $2,800 PSF

orchard-sophia-condo-singapore

Orchard Sophia sold 24.4%, or 19 of its 78 units during its launch over the weekend. The units achieved an average price of $2,800 PSF.

Situated at the top of Sophia Road within prime District 9, freehold Orchard Sophia is a redevelopment of two condos (i.e. Sophia Ville and Fairhaven) which developer DB2 acquired for $62 million in 2020.

The project is located near various schools including St Margaret’s Primary School, LASALLE College of the Arts, Singapore Management University (SMU), School of the Arts (SOTA), and Nanyang Academy of Fine Arts (NAFA).

Dr Tan Tee Khoon commented, “Orchard Sophia’s appeal is in its relatively sweet spot pricing of about $2,800 PSF for new launches in prime districts and the fact that it is within 1km of St. Margaret’s Primary and the current Anglo-Chinese School (Junior).

Its exclusive location on the top of Sophia Road and proximity to Dhoby Ghaut MRT station also bodes well for well-heeled property seekers who wish to live centrally and at a healthy distance from the hustle and bustle of Orchard Road. Given that the total size of the development is 78 units and muted interest from foreign buyers, 23% sales is a commendable start!”

 

4. The government to adjust public housing schemes and provide extra help to older workers with inadequate CPF savings

PM Lee has highlighted the need to adjust the country’s HDB schemes to maintain their inclusivity while ensuring that public housing continues to be affordable and accessible, reported CNA.

In delivering his annual National Day message, PM Lee also acknowledged the need to provide “extra help” to older workers who lack adequate CPF savings for retirement.

He pointed out that the development of more public housing has led to fewer undeveloped sites for new HDB estates.

Existing non-mature estates are also maturing with improved amenities and transport links, resulting in a shift in housing development towards mature estates.

With these, property analysts expect the changes in the public housing policies to include a higher income ceiling and higher subsidies for first-time homebuyers, reported TODAY.

Dr Lee Nai Jia pointed out that similar to how Health District @ Queenstown was piloted in 2021, health districts in other estates across Singapore may be expected. This may be announced alongside the launch of more community care apartments, targeting the elderly community.

In tandem, Dr Lee suggested that there may be additional HDB schemes to allow the elderly to cash out a portion of their property equity and supplement their CPF funds.

 

5. Woodlands jumbo HDB flat sold for $1.15 million, the most expensive flat in the estate

A jumbo HDB resale flat in Woodlands has been sold for $1.15 million, making it the most expensive HDB flat to be sold within the non-mature estate in July 2023. Spanning 1,905 sq ft, the unit is located at Block 816 Woodlands St 82.

Shin Min Daily News reported that a similar-sized flat three floors down was sold for $930,000 also in July, which translates to a whopping difference of around $220,000.

Analysts attributed the wide price gap to the flat’s interior decoration as well as to the fact that the flat was well maintained.

They explained that an appreciative buyer would be more than willing to pay a good price for flats that are better decorated to save on renovation costs. Moreover, good-quality electrical appliances and furniture may have also pushed up the selling price.

Overall, Woodlands has recorded 17 million-dollar HDB flats, with the first being sold in May 2022. A common feature among these flats is that they were all jumbo units measuring between 1,894 and 2,067 sq ft.

 

6. Choa Chu Kang HDB flat breaks record with $6,600 monthly rent

An HDB flat in Choa Chu Kang set a new record when it was rented for $6,600 per month in May 2023, surpassing the previous high set by an Ang Mo Kio flat which was rented for $6,500 per month in February 2023.

The $6,600 monthly rent was $2,000 to $4,000 higher than the rents achieved for similar flats this year.

HDB data showed that the flat is located at Block 641 Choa Chu Kang Street 64. The 2,314 sq ft executive flat has a remaining lease of 74 years since Block 641 was completed in 1998.

Analysts attributed the unit’s record rental price to the flat’s rarity, reported Shin Min Daily News. Notably, it is an executive maisonette unit, which means it is two-storey home that typically comes with four bedrooms, a balcony, and three toilets.

 

7. Upcoming completion of the Singapore Rail Linkway boosts demand for Johor Bahru properties

Johor Hopes High-Speed Rail Project Will Continue

With the Johor Bahru-Singapore rapid transit system (RTS) expected to be completed by end-2026, Johor Bahru has been witnessing a rise in property transactions.

The 4km cross-border service is expected to move up to 10,000 commuters in both directions per hour.

In Q1 2023, Johor saw 7,497 residential property transactions with a total value of RM3.2 billion (S$947 million) – marking the second-highest transaction volume just behind Selangor.

The Business Times reported that the figure was 12% higher than the same period in 2020 before the COVID-19 pandemic struck.

Of the 7,497 transactions, almost 60% (4,307) were for residential properties in Johor Bahru.

Chia Zi Jin, Principal of CRA Valuers and Realty Consultants, pointed to the RTS as the biggest catalyst now.

“Property developers are tapping into the positive news of the RTS and are rolling out new projects,” said Chia, adding that the selling price at several new launches within Johor Bahru city centre is now pegged at above RM1,000 (S$294) PSF.

Singapore’s higher rents and sale prices also helped drive demand for residential properties across the Causeway, said Jonathan Lee, Group Chief Executive of Keller Williams in Malaysia.

 

8. Agent-free property platforms are on the rise

Several online property dealing platforms are emerging, touting themselves as direct connectors between buyers and sellers, eliminating real estate agents from the picture.

One such platform is Kucing, which uses a peer-to-peer model to facilitate residential property sales, reported The Business Times.

The platform boasts features such as interactive augmented heat maps, market trends, and tools to track sales and negotiate deals.

However, there are benefits to engaging agents. Dr Tan Tee Khoon shares that agents have the requisite and relevant knowledge to help clients transact their properties at the best possible price at the right time.

“Commissions with the agents are negotiable and can also be performance-based, so that the sale, lease or purchase can be a win-win,” he explains.

 

9. PropertyGuru Singapore Property Market Report Q3 2023

hero-image-singapore-property-market-report-q3-2023 (2)

The HDB resale market may have reached its peak in Q2 2023, amid a slowdown in price growth and decreasing demand, according to the Singapore Property Market Report Q2 2023, as reported by CNA.

The report, based on over 600,000 listings on PropertyGuru’s website, indicates a decelerating residential property market.

The Singapore property sale demand index for HDB resale flats, for instance, fell 6.4% quarter-on-quarter (QoQ) in Q2 2023, signalling a peak in buyer interest.

At the same time, HDB resale flats’ asking prices grew 0.6% in Q2 2023, down from the 1.6% increase seen in the Q1 2023.

While the gap between buyers’ and sellers’ expectations persists, the increased options due to the completion of more BTO flats and flats reaching Minimum Occupation Period (MOP) may ease the pressure on buyers to meet high prices.

Over at the non-landed private home market, the median asking price growth slowed to 0.3% in Q2 2023 from 0.9% in Q1 2023.

PropertyGuru’s data also show that the non-landed private home’s sale demand index fell 2.3%, suggesting that the market may be reaching its peak and that prices may stabilise in the next quarters.

 

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[Altura EC and The LakeGarden Residences Sell 61% and 23% of Units Over Launch Weekend, Respectively, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/8/209947/altura-ec-and-the-lakegarden-residences-sell-61-and-63-of-units-over-launch-respectively-and-more www.propertyguru.com.sg:news:209947 Mon, 07 Aug 2023 09:45:20 +0800 Altura EC and The LakeGarden Residences Sell 61% and 23% of Units Over Launch Weekend, Respectively, and More
Altura EC and The LakeGarden Residences Sell 61% and 23% of Units Over Launch Weekend, Respectively, and More

1 to 7 August 2023

The LakeGarden Residences sold 23% or 71 of its 306 units at an average price of $2,120 per sq ft (PSF) during its launch over the weekend. Meanwhile, the Altura executive condominium (EC) sold 61.1% or 220 out of its 360 units at an average price of $1,433 PSF – setting a new record price for ECs in Singapore.

 

1. The LakeGarden Residences sells 23% of units over its launch weekend

lake-garden-residences-condo-singapore

The LakeGarden Residences sold 23% or 71 of its 306 units at an average price of $2,120 PSF during its launch over the weekend.

The 71 units sold also account for 34% of the 209 units released for sale.

Singaporeans made up 73% of the buyers, 25% were Singapore Permanent (PRs) and the remaining 2% were foreigners.

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group commented that “amid the burgeoning options in the market and prevailing uncertain economic challenges, The LakeGarden Residences marked a 23.2% take-up rate as of 6 August 2023.

Given the influx of launches this August 2023, it’s understandable that buyers would adopt a discerning stance, keenly evaluating the market and available options. Yet, The LakeGarden Residences is likely to continue to appeal to buyers over a longer time as the potential of Jurong Lake District (JLD) continues to unfold.”

 

2. 61% of Altura sold on its launch weekend

altura-executive-condo-singapore

The Altura EC, which is jointly developed by Qingjian Realty and Santarli Realty, sold 61.1% or 220 out of its 360 units at an average price of $1,433 PSF – setting a new record price for ECs in Singapore.

In comparison, the 639-unit Copen Grand and 616-unit Tenet, which were launched last year, achieved average prices of $1,334 and $1,382 PSF, respectively.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru said, “Altura’s 61% sales performance is expected given the pent-up demand in Bukit Batok which has not seen an EC launch in two decades.

Despite its benchmark average pricing of $1,433 PSF, the buyer-following for ECs has been driven by CPF Housing Grants, availability of deferred payment schemes, upfront remission of Additional Buyer’s Stamp Duty (ABSD) if applicable, and to top it up, the strong likelihood of capital appreciation as it would be as competitively priced like a private condominium in 10 years.

Another noteworthy point is that Anglo-Chinese School (ACS) Primary will be moving to Tengah in 2030, which is 1km from Altura. This is an attractive location attribute for soon-to-wed couples with plans to start a family after marriage.”

All 108 units set aside for second-timers were snapped up within three hours of launch.

E-application for second-timers will start on 2 September 2023, with sales booking set on 16 September 2023.

 

 

3. Golden Mile Complex to get a contemporary update while conserving its heritage

The new owners of the Golden Mile Complex – a consortium comprising Far East Organization, Perennial Holdings and Sino Land – plan to polish the iconic building while paying homage to its history, reported CNA.

They have engaged a heritage consulting firm, Studio Lapis, which will give the building a contemporary update while conserving its heritage.

Although it will keep the exterior and structure mostly intact, the firm intends to retrofit the interior, including the plumbing, rainwater discharge pipes and electrical wiring.

The firm employs 3D scanning, aerial drone scans and infrared cameras to examine the building’s condition, including the hidden areas.

Environmental and sustainable practices are among the key concerns for the building’s makeover. The consultancy recommended conserving features that allow for natural elements such as wind and sunlight.

With this, the stepped profile and monsoon windows, designed to allow for ventilation even during rainy days, will likely be retained.

Features such as the retail atrium, staircases, and ceramic mosaics are also deemed important aesthetic and functional parts of the iconic building that should be conserved.

Studio Lapis Founding Partner Ho Weng Hin hopes the project will set a benchmark for revitalising and conserving other buildings from the same era in Singapore.

 

4. HDB approval is no longer necessary for corridor-facing CCTVs within flats

HDB no longer requires flat owners to seek approval for the installation of corridor-facing closed-circuit television (CCTV) cameras within their homes, reported The Straits Times.

However, permission is still needed for external installations.

Demand for surveillance devices such as CCTV cameras and doorbell cameras, has been increasing among HDB flat owners in Singapore.

The trend is driven by incidents of theft and harassment as the recorded footage is useful in identifying wrongdoers.

I-Secure Solution Sales Manager Derek Peh said demand for CCTV cameras increased by 20% to 25%, while demand for installation of CCTVs outside homes rose by 5% to 10% last year.

“CCTV cameras are very useful as they can capture evidence of wrongdoing which can lead to the apprehension of offenders and can serve as deterrence against loan sharks or other offenders,” said Lionel Tan, a partner at law firm Rajah & Tann.

 

5. Homeowners frustrated over defects in brand-new condos

Some homeowners are getting frustrated with the defects emerging in their brand-new condominium units, with issues including cracks, clogged pipes and leaks, reported The Business Times.

Experts said it is not uncommon to find defects in new developments, noting that there may be a mismatch in expectations between buyers and developers.

In fact, new condominium units tend to have more defects than BTO flats since they have more fittings – which range from wardrobes, dishwashers, and bathroom fixtures to air-conditioners.

Experts, however, explained that not all alleged defects are genuine.

“Not everything is considered a defect,” said Jay Ng from Uncle Defect. “It’s hard to quantify – some are bad workmanship, some are unsightly and design flaws, or sometimes it’s just a personal preference.”

While some homeowners believe that defects have increased post-pandemic, experts said it may be due to rushed work instead of a decline in overall construction quality.

With this, defect inspection services registered an uptick in demand, mainly due to an increase in project completions and heightened awareness among homeowners of flaws and construction quality.

 

6. A 2-room HDB resale flat at Tiong Bahru sold for $585,000

A two-room HDB resale flat located at Tiong Bahru has been sold for $585,000 this month – making it the most expensive 2-room HDB resale flat in Singapore.

The sale comes after a 4-room HDB resale flat at the neighbouring block was transacted for a whopping $1.5 million in July 2023.

Located within the first to third level of Blk 43 Moh Guan Terrace, the 2-room flat has a relatively short remaining lease of 48 years and six months.

The flat is not your typical two-room HDB flat as it measures 67 sq m (around 721 sq ft) – or just about 20 sq ft smaller than a 3-room BTO flat, which comes with a floor area of 69 sq m (743 sq ft).

Notably, sizes of new 2-room Flexi flats range between 38 sq m (409 sq ft) and 48 sq m (517 sq ft).

Related article: Is the Natura Loft 5-room DBSS Flat Worth $1.43 Million? A Look at Expensive HDB Flats in Singapore

 

7. More foreigners turn to rent amid cooling measures

Foreigners waiting for the approval of their permanent residency or citizenship applications are believed to have pushed up condo rental volume in June, said Huttons CEO Mark Yip.

Yio noted that the implementation of cooling measures in April 2023 prompted more foreigners to rent, driving up rents within the Core Central Region (CCR), reported Singapore Business Review.

Meanwhile, many locals have started vacating their rental units to move to new flats and condos.

 

8. ABSD hike for residential properties boost shophouse sales in Q2 2023

Demand for commercial shophouses increased in Q2 2023, following a hike in ABSD rates for residential properties.

In Q2 2023, 43 shophouses were transacted for a total amount of $414 million, marking a 40% increase in transaction values compared to the previous quarter, said reported The Straits Times citing PropNex.

The growth in sales followed a subdued interest in Q1 2023, due to the hike in stamp duty for commercial properties.

However, the ABSD rate hike for residential properties diverted investment interest back to commercial shophouses, leading to a rebound in sales.

Savills noted that the conservation shophouse market was dominated by ultra-high-net-worth individuals as well as family office buyers in Q2 2023.

Shophouses within the Little India and Jalan Besar area continued to be popular among buyers, with 18 deals totalling $140 million lodged in Q2 2023.

Looking ahead, Knight Frank predicts shophouse sales for the whole of 2023 to hit $1.3 billion to $1.5 billion.

Related article: Commercial Property Singapore: How to Get a Commercial Loan (2023)

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[TMW Maxwell, Orchard Sophia, and The Arden Preview Over the Weekend, August BTO 2023 Launch Postponed to September 2023, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/7/209882/tmw-maxwell-orchard-sophia-and-the-arden-preview-over-the-weekend-august-bto-2023-launch-postponed-to-september-2023-and-more www.propertyguru.com.sg:news:209882 Mon, 31 Jul 2023 09:42:50 +0800 TMW Maxwell, Orchard Sophia, and The Arden Preview Over the Weekend, August BTO 2023 Launch Postponed to September 2023, and More
TMW Maxwell, Orchard Sophia, and The Arden Preview Over the Weekend, August BTO 2023 Launch Postponed to September 2023, and More

25 to 31 July 2023

TMW Maxwell, Orchard Sophia, and The Arden previewed over the weekend. Meanwhile, HDB has pushed back the August BTO 2023 launch to end-September 2023.

 

1. TMW Maxwell previews units from $3,188 per sq ft (PSF), attracts over 1,000 visitors

TMW-maxwell-condo-singapore

TMW Maxwell saw more than 1,000 people visit its sales gallery during its opening over the weekend. Sales booking will start on 12 August 2023.

Located on Maxwell Road, the 99-year leasehold development comprises 324 residential units spread across a single 20-storey block as well as a four-storey commercial podium and three-storey basement car park.

About 62% of the residential units are “flip/switch” studio units, spanning 474 to 484 sq ft. These units feature flexible furniture, such as a movable walk-in wardrobe and a queen-size Murphy bed that is integrated with a sofa.

The development also offers 73 1-bedroom units, measuring 517 to 882 sq ft, and 50 2-bedroom units, ranging from 786 to 872 sq ft.

With prices starting from $3,188 PSF, around 85% of the units are priced between $1.5 million and $2 million.

Nestled on a 41,799.5 sq ft site, TMW Maxwell is jointly developed by CEL Development, Chip Eng Seng’s holding group for its property development business, SingHaiyi Investments and Chuan Investments, a Hong Kong-listed company.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru commented on the uniqueness of this development, “TMW Maxwell is an avant-garde, bold and targeted concept of a residential development for those who appreciate live, work and play given its locational attributes in CBD. As 62% of the residential units are less than 500 sq ft, the financial outlay of $1.5m to $2m is lighter on the wallet for the professional millennial buyers looking for a home to call their own.”

 

2. Orchard Sophia previews units from $2,750 PSF

orchard-sophia-condo-singapore

Another Q2 2023 major new condo to preview on 29 July 2023 was Orchard Sophia, a five-storey condo with 78 units sitting on a 23,881.5 sq ft plot located in prime District 9.

  • About 15% of the units will be 1-bedroom units, ranging between 441 and 484 sq ft
  • About 71% of the units will be 2-bedroom units, ranging between 581 and 710 sq ft
  • There will be three 3-bedroom units of 764 sqft
  • The remaining units will comprise 3-bedroom dual-key units ranging from 829 to 840 sq ft

Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group says that as pricing disparity between properties in the Core Central Region (CCR) and those in the Outside Central Region (OCR) diminishes in the current market landscape, “Orchard Sophia emerges as a golden opportunity for both investors and owner-occupiers.

Situated on Sophia Road in the coveted District 9, this freehold gem offers the majority of its units sweeping, unobstructed views of the city – an enticing proposition for young professionals. The locale boasts a robust rental demand, courtesy of its vicinity to esteemed tertiary institutions like LaSalle College of the Arts, Nanyang Academy of Fine Arts (NAFA), School of the Arts (SOTA), and Singapore Management University (SMU), not to mention its closeness to the Central Business District (CBD).”

 

3. The Arden previews units from $1,688 PSF

the-arden-condo-singapore

Boutique condo The Arden, located on Phoenix Road, off Choa Chu Kang road, opened for preview on 29 July 2023. With 105 units total, the upcoming major new condo launch will be 2-bedroom units at 657 sq ft to 4-bedroom-plus-study apartments at 1,389 sq ft, including a flexible layout titled “CoSpace”.

Starting prices for The Arden units is $1,688 PSF.

Dr Lee Nai Jia said that The Arden is perfectly poised to attract both upgraders and first-time homebuyers in the West. “Showcasing the innovative CoSpace concept, it offers adaptable living spaces designed to seamlessly meet the changing needs of homeowners throughout their life stages.

Nature enthusiasts will appreciate its close proximity to the rail corridor, Dairy Farm Nature Park, and Bukit Timah Nature Reserve. Additionally, with LRT stations just a short walk away and unit pricing starting at a competitive $1688 PSF, The Arden presents an attractive and affordable opportunity for those looking to elevate their living experience.”

 

4. August BTO 2023 launch postponed to September 2023

HDB has pushed back the August BTO 2023 launch to September 2023, reported The Straits Times.

This comes as the ballot results for May BTO 2023 launch will only be announced in the first week of August 2023 instead of July 2023 while the results for the Sale of Balance Flats (SBF) launch will be released in the last week of August 2023.

The new timeline will enable interested flat applicants to know their queue position before applying for a flat in the next sales launch.

The move will also provide HDB more time to “finalise the system changes needed for the new First-Timer (Parents & Married Couples) priority category and other changes which will take effect from the next sales exercise”.

The May BTO 2023 sales exercise saw system glitches, which resulted in long waiting times for some potential buyers in the virtual waiting rooms, among others.

 

5. Private home prices dip by 0.2% in Q2 2023

Private home prices slightly dropped by 0.2% in the second quarter of 2023, marking its first decline since Q1 2020, showed Urban Redevelopment Authority (URA) data.

This comes amid a decline in non-landed property prices and a significant moderation in landed property price hikes.

In Q2 2023, non-landed property prices fell 0.6%, reversing the 2.6% increase posted in the previous quarter. For landed properties, prices rose 1.1% during the quarter, significantly moderating from the previous quarter’s 5.9% hike.

Meanwhile, rentals of private homes grew by 2.8% in Q2 2023, lower than the 7.2% hike seen in Q1 2023.

 

 

6. HDB resale prices are up in Q2 2023, and transaction volume drops

Prices of HDB resale flats increased for the 13th consecutive quarter, climbing 1.5% in Q2 2023, according to The Business Times.

While it is higher than Q1 2023’s 1% growth, it is still lower than the average quarterly increase of 2.5% in 2022, showed HDB data.

HDB attributed the price moderation to the implementation of a strong pipeline supply and the introduction of cooling measures to moderate demand and encourage prudent borrowing.

Nonetheless, 21 out of 26 HDB towns posted price gains during the quarter under review, compared to 12 in the previous quarter. Geylang recorded the biggest price growth of 18.7%, followed by Central Area and Bedok at 8.6% and 4.3%, respectively.

Meanwhile, resale transaction volume fell 6.7% to 6,514 cases in Q2 2023 – its lowest in the past three years since Q3 2020.

With about 16,000 HDB flats set to enter the market as they hit the five-year minimum occupation period this year, Dr Tan Tee Khoon expects HDB resale prices to be further moderated.

“In the coming quarters ahead, we could see prices oscillate between slight increases and decreases,” he said.

 

7. All signs point to HDB resale prices hitting a peak, says Dr Tan Tee Khoon

With HDB resale prices modestly growing by 1.5% in Q2 2023 and resale volume declining by 6.7%, Dr Tan Tee Khoon said all signs point that HDB resale prices are hitting a peak.

“While buyers are still willing to pay price premiums for space, there are clear indications that government intervention has worked. The September 2022 property cooling measures have deterred more private property owners from ‘rightsizing’ to HDB flats due to their 15-month wait-out period. This can be seen by the stabilising number of million-dollar HDB flats,” noted Dr Tan.

 

8. Property cooling measures effectively dampen foreign buying activity

The April 2023 property cooling measures have been effective in bringing down the number of private properties purchased by foreigners by almost 23% quarter-on-quarter (QoQ), said Dr Tan Tee Khoon.

Aside from tempering foreign buying, the cooling measures also encouraged Singaporeans and permanent residents to buy for occupancy.

“Singapore citizens can now be described as having a single ‘bullet’ when buying a home, following the April 2023 cooling measures; the raised Additional Buyer’s Stamp Duty (ABSD) rates also encourage them to prioritise buying for occupancy,” said Dr Tan.

In fact, the number of non-landed homes bought by foreigners significantly declined to only 27 units in June 2023, which works out to about 2.5% of the total non-landed transactions.

Looking ahead, Yip sees the proportion of acquisitions by foreigners to stand at about 2% while acquisitions by permanent residents are forecasted to increase by up to 20%.

 

9. Government to explore more equitable access to housing for singles

National Development Minister Desmond Lee said suggestions to providing singles with more equitable access to housing types in mature and non-mature estates as well as prime locations will be studied, reported The Straits Times.

Notably, singles are barred from directly purchasing Prime Location Public Housing model (PLH) flats from HDB and the resale market.

Speaking at the Forward Singapore exercise, Lee noted the diverse needs of singles and second-time buyers when it comes to home ownership.

“We know that if we leave everything to market forces, and only provide a rental social safety net, we will become like other cosmopolitan, successful cities, but also inherit the same housing woes they have… where home ownership is dismal and rental stresses mean that landlords determine the fate of tenants,” he said.

To address affordability, ideas being considered include variations of the “rent-to-own” model and the possibility of purchasing flats with shorter leases to cater to singles who prefer to rent initially due to financial reasons or for flexibility.

Aimed at shaping the city-state’s future and social compact, the Forward Singapore exercise has engaged more than 16,000 Singaporeans since its launch in June 2022.

Related article: HDB Single Scheme and Joint Singles Scheme: Guide to Buying HDB Flat As a Single in Singapore

 

10. Construction works on the new Brickland MRT station to start next year

Construction works for the new Brickland Station MRT station on the North-South Line (NSL) are set to start in 2024, revealed the Land Transport Authority (LTA).

The new station – which is expected to be completed in 2034 – will be located between Bukit Gombak and Choa Chu Kang stations.

LTA noted that it will be the third MRT station to be constructed on the existing elevated rail line, following Canberra station on North-South Line and Dover station on East-West Line (EWL).

Aside from the station, a viaduct and crossover tracks will also be built so that modification works can be carried out on the existing NSL tracks.

“Brickland Station will help commuters in the area save up to 15 minutes in travel time towards the city centre and the commercial hub in Jurong Lake District (JLD),” said LTA.

It will also provide better MRT connectivity for residents in Bukit Batok West, Keat Hong, Pavilion Park as well Tengah’s Brickland district.

“It will also serve existing educational institutions in the vicinity, such as ITE College West, Swiss Cottage Secondary School, and St. Anthony’s Primary School by providing more direct access to the rail network,” added LTA.

 

11. PUB, URA identifies site for new Kranji water reclamation plant, NEWater factory

An approximately 26-hectare (ha) site around the former Keretapi Tanah Melayu (KTM) railway has been identified for the new Kranji Water Reclamation Plant (WRP) and Kranji NEWater Factory.

Located north of the existing Kranji WRP, the identified site includes a portion of the former KTM railway alignment, a cemetery at the former Kampong Wak Selat and a 10ha plot of vegetated land, revealed national water agency PUB and URA.

It will also include a part of the existing site for the new facilities.

PUB and URA said the site selection factored in environmental considerations and the long-term land use needs of Singapore.

They expect construction works to start in 2027, with the new Kranji WRP and Kranji NEWater factory set to be operational by 2035.

PUB and URA noted that this critical infrastructure will “support existing and upcoming residential and industrial developments in the north and north-western areas, including Admiralty, Woodlands, Sungei Kadut Eco-District and Tengah New Town”.

 

12. North-South Corridor to free up 30 football fields of road space

To be completed in phases from 2027, the 21.5km North-South Corridor (NSC) – which runs from Admiralty to Rochor – is expected to free up surface road space equivalent to around 30 football fields for other uses, reported The Straits Times.

Senior Minister of State for Transport Amy Khor said this would mean wider footpaths, bus lanes and dedicated cycling paths, new community spaces and more greenery for residents and workers near the NSC.

She revealed that surface road traffic within this stretch will be diverted to a 12.3km underground road tunnel in the south, currently under construction as part of the $7.47 billion project, and an 8.8km viaduct in the north.

Dr Khor made the statement at a public engagement session jointly organised by the National Parks Board (NParks) and the Land Transport Authority (LTA) to seek ideas on how to redesign the freed-up road space.

“(Thirty football fields) is a lot of space in land-scarce Singapore. Valuable space,” she said.

“What we are working on today is how to reimagine, rejuvenate, repurpose these spaces,” added the minister.

Related article: Turf Club Closing, Kranji Redeveloping: 4 Biggest Changes to the North of Singapore By 2033

 

Looking for a property in Singapore? Visit PropertyGuru’s ListingsProject Reviews and Guides.

Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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<![CDATA[The LakeGarden Residences and Altura Open For Preview, May 2023 BTO and SBF Results Delayed till August 2023, and More]]> https://www.propertyguru.com.sg/property-management-news/2023/7/209830/the-lakegarden-residences-and-altura-an-executive-condo-ec-open-for-preview-may-2023-bto-and-sbf-results-delayed-till-august-2023-and-more www.propertyguru.com.sg:news:209830 Mon, 24 Jul 2023 08:42:00 +0800 The LakeGarden Residences and Altura Open For Preview, May 2023 BTO and SBF Results Delayed till August 2023, and More
The LakeGarden Residences and Altura Open For Preview, May 2023 BTO and SBF Results Delayed till August 2023, and More

18 to 24 July 2023

The LakeGarden Residences, Wing Tai Holdings’ condominium project in Jurong, has opened for preview, with prices starting at just below $2,000 per sq ft (PSF). Meanwhile, Qingjian Realty and Santarli Realty have opened Altura Executive Condominium (EC) for preview on 22 July 2023, with sales bookings set to start on 5 August 2023.

 

1. The LakeGarden Residences opens for preview

lake-garden-residences-condo-singapore

The LakeGarden Residences, Wing Tai Holdings’ condominium project in Jurong, has opened for preview, with prices starting at just below $2,000 PSF, reported The Business Times.

The 99-year leasehold development comprises two 19-storey towers with 306 units of one- to five-bedroom units. Unit sizes range from 484 sq ft for 1-bedroom units, 592 sq ft for 2-bedroom units, 926 sq ft for 2-bedroom units, 1,270 sq ft for 4-bedroom units, and 1,550 sq ft for 5-bedroom units.

It also has four duplex penthouses, which come with private lift access and spans from 2,002 sq ft to 2,260 sq ft.

Dr Tan Tee Khoon, Country Manager – Singapore, PropertyGuru commented on The LakeGarden Residences’ opportune launch within the Jurong Lake District (JLD), “This project places its bet on the likely pent-up demand for that location since the last new launch was in 2016.

Given that the government has ‘high ambitions for JLD to be a demonstrative site for sustainable living’, the fact that this is Wing Tai’s inaugural sustainable development with low-energy and renewable energy features built into the development aligns it with the broader goals of the region.

It is also a huge plus for property seekers as energy-efficient appliances are provided with each unit for just below $2,000 PSF.”

The first condo launch within the area in seven years, the development will open for sales booking from 5 August 2023.

Related article: Blossoms By The Park, Tembusu Grand, and More: How Did Major New Condo Launches in Q2 2023 Perform?

 

2. Qingjian Realty and Santarli Realty preview Altura EC

altura-executive-condo-singapore

Qingjian Realty and Santarli Realty opened Altura EC for preview on 22 July 2023, with sales bookings set to start on 5 August 2023.

Located on Bukit Batok West Avenue 8, the development features 360 units of 3-bedroom to 5-bedroom apartments.

A 980 sq ft 3-bedroom premium-plus-study unit is priced from $1.348 million or $1,376 PSF, while a 4-bedroom flexi deluxe spanning 1,206 sq ft is priced from $1.668 million or $1,383 PSF.

A 4-bedroom flexi premium unit is offered from $1.988 million or $1,388 PSF, while a 5-bedroom premium-plus-study unit is priced from $2.188 million or $1,422 PSF.

The project is the first EC to be launched in Bukit Batok area since 2001, when The Dew, a 248-unit EC project, was launched.

 

3. Dr Lee Nai Jia comments on the rising divergence between the public and private housing market

While public housing is considered attainable in Singapore, private housing is not, with the median private home price 13.7 times the median household income.

In particular, the median price for a newly launched condo stood at $1.95 million last year, bringing the housing affordability ratio for the past five years from 10.84 to 16.06. This means an average household needs around 16 years of income to afford a median new condominium.

Despite this, demand for new homes remains robust, with buyers including younger households with higher disposable incomes and possibly assistance from their families.

“It’s intrinsically tied to the aspiration of social mobility … Therefore, we need to rethink housing solutions that don’t just address affordability, but also foster a healthy social fabric and personal development,” said Dr Lee Nai Jia, Head of Real Estate Intelligence, Data and Software Solutions, PropertyGuru Group as quoted by CNA.

He believes that such economic chasm “poses a threat to societal stability”.

But while the affordability of private homes remains a concern, the government has been successful in providing affordable housing compared to other cities such as Hong Kong and Seoul.

 

4. Co-living operator The Assembly Place commits to integrating blockchain tech with their real estate and hospitality offerings through a strategic investment in 2MR Web3 Launchpad

the-assembly-place-founder-eugebe-lim

The Assembly Place (TAP), a co-living operator based in Singapore, recently announced their strategic investment in the 2MR Labs Web3 Launchpad.

By alliancing with 2MR Labs, Southeast Asia’s first Web3 launchpad which aims to build and integrate technologies with brands through digital assets, TAP looks forward to implementing the most up-to-date blockchain tech, among other exciting breakthroughs into its real estate and hospitality offerings.

“As TAP is approaching our 1,500 rooms target in the coming months, it is the correct time to adopt a Web3 strategy through 2MR Labs in our co-living business,” said Eugene Lim, CEO and founder of TAP.

“We believe the future of brand power lies in the power of their community, and we aspire to maximise the potential of brands, empower communities with blockchain to achieve more and build a sustainable future,” said Arthur Lin, CEO and founder of 2MR Labs.

 

5. New private home sales dropped 73.2% in June 2023

After five consecutive months of increase, new private home sales, excluding ECs, fell 73.2% to 278 units in June from 1,039 units in May 2023, reported CNA citing Urban Redevelopment Authority (URA) data.

On an annual basis, private home sales dropped 43% from the 488 units transacted in June 2022.

Analysts attributed the decline in sales to the lack of significant project launches, with 17-unit Lavender Residence being the sole project launched in May 2023.

In fact, the number of units launched in June 2023 plunged 98.1% month-on-month (MoM) and 92.2% year-on-year (YoY) to 31 units.

Other reasons cited are the June 2023 school holidays and the cooling measures rolled out in April 2023.

The 278 units shifted in June brings the total number of private homes sold in 1H 2023 to 3,463 units, down 18% from the 4,222 units transacted in 1H 2022.

Looking ahead, analysts expect new private home sales to pick up in 2H 2023 as more projects are slated for launch.

 

6. Punggol BTO units were further delayed after HDB replaces the main contractor over unsatisfactory progress

After around six to nine months of delay, the 991 buyers of Punggol Point Cove BTO flats will face further delays of up to three months due to the termination of the project’s main contractor, reported TODAY.

The HDB revealed that the termination of CKR Contract Services was due to unsatisfactory progress as well as repeated failure to meet construction targets, despite the various assistance measures extended to it.

Notably, the affected units are spread across five of the six blocks at Punggol Point Cove.

HDB said it has informed the project’s affected flat buyers of the latest expected completion dates for their blocks.

Germaine Chee, one of the affected buyers, said the news is “disappointing” as she had to push back many of her plans.

“The delay was expected as we’ve been getting rumours of the termination for quite some time now and seeing how the progress of the construction has been over the past few years,” she added.

 

7. More seniors monetising their HDB flats

To supplement their retirement income, more seniors have monetised their HDB flats, with around 2,860 availing of the Silver Housing Bonus Scheme and Lease Buyback Scheme in 2022, up from 2,790 in 2021, reported The Straits Times.

Overall, seniors got about $429 million, of which around $202 million were in the form of cash bonus and take-home cash while the other $227 million were used to top up their CPF Retirement Accounts.

The amount that seniors have been receiving by tapping the two HDB housing schemes has been increasing in the last few years, rising from $325 million in 2020 to $382 million in 2021.

Despite this, the take-up rate for the Lease Buyback Scheme and Silver Housing Bonus Scheme has remained low, due to uncertainties affecting seniors’ decisions to monetise their flats.

These may include their desire to bequeath their homes to their children, uncertainties about their life expectancy and medical expenses during retirement.

The hot housing market may also be deterring some seniors to tap into the HDB schemes as it could mean paying higher prices for the smaller flats that they are exchanging their larger units for.

 

8. Longer wait time for May 2023 BTO and SBF ballot results and HDB Flat Eligibility (HFE) letter applications due to ‘system glitches’

HDB has announced that the May 2023 BTO and Sale of Balance Flats (SBF) ballot results will be announced only during the August 2023 BTO launch, an extension from the usual approximate three-week turnaround time.

HDB said also the longer processing times that some flat buyers faced to secure their HFE letter were due to system glitches.

Required since 9 May 2023 for both new and resale flat buyers, the new HFE letter has a processing time of up to 21 working days.

However, this could take “longer during peak periods, such as in the months of and before a sales launch, in view of the higher volume of applications received”, said HDB.

CNA reported that several flat buyers complained of long wait times, which they described as unnerving and frustrating. In fact, some of them waited for more than 30 days for their applications to be approved, while some were unable to view their application on the portal.

Resale flat buyers, especially those not taking an HDB loan, also faced delays due to the HFE letter requirement. Property agents noted that approval for this group of buyers was previously almost instant once they have registered their intent to purchase with HDB.

With this, HDB assured applicants that approvals for their HFE letter, “where applicable, will be granted before their flat booking appointment, and their flat applications will not be affected”.

Meanwhile, resale flat buyers in urgent need of the HFE letter can seek HDB’s assistance.

 

9. Fewer foreigners purchased condominiums in Q2 2023

Private non-landed homes bought by foreigners declined 22.6% to 2015 units in the second quarter of 2023, from the previous quarter’s 265 units, reported The Straits Times citing OrangeTee and Tie.

Foreigners were apparently deterred by the increase in Additional Buyer’s Stamp Duty (ABSD) in April 2023 as part of the government’s latest round of cooling measures.

With this, the proportion of foreign acquisitions also declined from 6.9% to 4.2% over the same period.

Americans, who are subject to the same stamp-duty treatment as Singaporeans due to a free-trade agreement, emerged as the top foreign buyers in Q2 2023.

Mainland Chinese, who were the biggest group of foreign buyers in Singapore between 2017 and Q1 2023, came in second, buying 51 condo units in Q2 2023, compared to the 56 units bought by Americans.

Transactions by mainland Chinese buyers dropped 53.2% from 109 units in Q1 2023, while transactions by Americans dipped only by 11.1% from 63 units in Q1 2023.

 

10. Tampines Street 62 (Parcel B) attracts seven bids, Jalan Tembusu site gets two bids

The tender for the EC site at Tampines Street 62 (Parcel B) closed on 18 July 2023, with seven bids received, revealed HDB.

Of these, four bidders submitted alternative proposals on top of a base prefabricated, pre-finished volumetric construction (PPVC) bid.

Meanwhile, demand for the residential site at Jalan Tembuso was low, with only two bids received during the close of its tender, revealed the Urban Redevelopment Authority (URA).

Sim Lian Group emerged as the highest bidder at $828.8 million or $1,069 PSF per plot ratio (ppr). This is just 0.1% above City Developments Limited (CDL) and Frasers Property’s $828 million bid, noted Knight Frank.

Huttons Asia attributed the low interest for the site to its large quantum and the high interest rate environment.

Related article: Government Land Sales (GLS) Programme Guide (Updated With GLS Sites for 2H2023 Singapore)

 

11. A 5-room DBSS flat in Bishan sold for a record $1.43 million

A 5-room Design, Build and Sell Scheme (DBSS) flat (aka as ‘premium’ HDB flats) in Bishan has been sold for a whopping $1.43 million, making it the most expensive five-room resale flat in Singapore, reported Lianhe Zaobao.

The record was previously held by a 5-room flat at The Peak @ Toa Payoh, which was sold for $1.42 million.

Spanning 120 sq m (about 1,291 sq ft), the flat is located between the 35th and 40th floors of Blk 273B Bishan Street 24, which corresponds to Natura Loft, a DBSS project.

The unit’s realtor revealed that the sellers – a couple who are in their 30s – purchased the flat seven years ago. They sold the flat to a small and medium enterprise (SME) owner since they want to move to a private home.

Want to read more about this million-dollar HDB flat transaction? We spoke to the property agents responsible for this sale.

 

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Marcus Lee, Content Executive at PropertyGuru, edited this story. To contact him about this story, email: marcuslee@propertyguru.com.sg.

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