Some private condos may become pricier due to new URA rules

Romesh Navaratnarajah19 Oct 2018

URA this week announced that the average unit size at non-landed projects outside the Central region will be increased.

A real estate industry body believes that private condos in some parts of Singapore could become more expensive after the government raised the average unit size, reported the Business Times.

On Wednesday (17 Oct), the Urban Development Authority (URA) announced that the average unit size at non-landed residential projects outside the Central region would be increased from the current 70 sq m to 85 sq m.

More: URA To Adjust Guidelines If Developers Build Too Many Shoebox Units

For nine areas where a large number of homes can negatively affect local infrastructure, the mandated average size is 100 sq m. Currently, only four areas are covered by this, but it now includes Loyang, Shelford, Balestier, Marine Parade, Pasir Panjang, Kovan-How Sun, Stevens-Chancery, Joo Chiat-Mountbatten and Telok Kurau-Jalan Eunos.

According to the Real Estate Developers’ Association of Singapore (REDAS), the higher average unit size could impact affordability for those seeking to downsize and retire as well as people looking for smaller private condos.

The new rules on average unit size will take effect on 17 January next year.

Moreover, REDAS revealed that the URA reduced the 10 percent cap for bonus gross floor area (GFA) for private outdoor spaces of non-landed housing projects to 7.0 percent after noticing that developers don’t usually maximise it.

These private outdoor spaces include a condo’s balconies, enclosed spaces and roof terraces.

“The new guideline of seven percent bonus GFA cap aim to provide home buyers more choices of units with and without private outdoor spaces and allow developers the flexibility to choose from a menu of available bonus GFA incentives that best fit their own business needs,” it noted.

Furthermore, REDAS lauded the new bonus GFA for indoor recreation spaces (capped at one percent of GFA), such as libraries, gyms and function rooms. Unlike the other new rules, this scheme takes effect immediately.

“It allows developers to provide additional facilities and covered communal spaces for residents,” added the industry group.

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Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email


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